Let's face it - your million-dollar business idea is never going to get off the ground. You'll push it on company after company until you've drained your piddly seed money and your network's resources. Eventually, you'll end up eating Dinty Moore Beef Stew on a futon in your parents' basement, complaining about how nobody "gets" you.
At least, that's what will happen without a little financial help. Venture capital firms are comprised of private investors who research, negotiate and (hopefully) fund businesses in their early stages of development. Even some of the leaders in business today - Home Depot, Starbucks and Google, to name a few - relied on venture capital in their early stages. (To learn more, check out Cashing In On The Venture Capital Cycle.)
In Pictures: 8 Tips For Starting Your Own Business
Studying the Competition
Applying
for venture capital isn't quite as informal as the ABC TV show "Shark
Tank" would have you believe. Before you have the opportunity to present
your idea or invention to the sharks, paperwork filing, business-plan
writing and demographic analysis must be conducted. Many of these firms
receive up to 5,000 business plans per year, all competing against your
business plan for funding consideration. Only 10% of these plans are
seriously considered, and 1-2% are actually picked up and funded. And
this process can often take years.
To read the full, original article click on this link: How To Attract Investors For Your Small Business
Author: Sean Joyner
