How to start a business
Tips to search for funding for your Company
27 Oct 2016
27 Oct 2016
Are you searching for funding to implement your project but you don´t know how to it?This is one of the matters of business that more concern to those entrepreneurs who needs an initial investment to launch their business project. The fact is that is not that easy to find finance.
To ignore how or where to search for funding is the main concern for theentreprenuers who wants to lauchn their project
Many of them begins their search going to banking institutions . But, what happens if we don´t comply with the requirements? In this case. You must known that there are different types of alternative financing who are usually a very valuable option. Here are some of them:
When you don´t get funding for your business through the conventional channels, Crowdfunding is one of the best alternatives because it´s based on the contribution of small amounts in exchange for original rewards, related to the project. That is a collective microfinance through the Network.
This option is based on Crowdfunding, the difference is in the consideration, that allows to different people to invest in companies in exchange of finantial benefits (the return through rents, stocks and shares of the company).
It is a type of financing similar to the one that the Banks carried out with thedifference that in that case it is a private person or a Company which lend themoney, with set conditions between stakeholders. It should be noted that Crowdlending has generated in Spain in the last years over 100 millions euros came the 6th in Europein terms of volume.
Also, before you choose what kind of financing do you want for your company or startup, you have to bearing in mind the following tips in order to not make any mistakes, note that!:
1. Be confident of your project
Before you introduce your Project to the investors, you have to be completelysure that the plan is going to wok out. If you dont believe in your Project, who will ?
2.You should have a good business plan
Define how much money would your Company need, as an investor would like to see balances sheet and documents accrediting how are you going to gerate enough profits and scalability.
3. Be optimist, but also down to earthBe forward looking and cautious at finacial level and, the most important, thing, have knowledge of the market where your Company is going to enter. so your product or service suits their needs and stands out from their competirors.4. Be advised for a professionalIf it is necessary, engaged the services of a financial consultant in order to help you to identify what kind of credit your business need.
“If you're not a risk taker, you should get the hell out of business.”
Ray Kroc
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