How to get an investment from investorsby Gold Marry Content writer
Capturing the attention of investors to obtain financing for starting a business is a challenge for many entrepreneurs says Rami Beracha. For my part, over time, I realized that there could be different versions of investors' expectations of entrepreneurs. According to François ramiberacha,, the traditional answer would be to demonstrate that there is a market, an effective solution and a realistic business plan. "This classic vision forgets the fact that, fundamentally, it is the entrepreneur who is the most important element of success in a start-up business," he says.
Stop being afraid to share your ideas
Whether at an event or on the Web, you gain a lot to share your idea while still keeping a little discomfort in terms of background details. This can help you better communicate it, find serious collaborators and partners, create your community that will help you evolve it, learn more about your target market and your industry. By sharing it, you can also save money from the start of your business and structure a future team.
Bear in mind that everyone can have ideas and that they are worthless if they are not executed. Many entrepreneurs make the mistake of forgetting to make a demonstration of their product during their presentation to investors.
Determine the right time to get financing
You have to make a journey before going for financing. For Davender Gupta, President of Plus + 11 Entrepreneurial Amplifier , the good time to approach investors is when the definition phases (discovery of the correspondence problem-solution / problem-solution fit) and validation (product-market / product-market fit) are realized and you have metrics, a MVP that demonstrates them and an MSP (Minimum Sellable Product) that begins to demonstrate traction. " Stop dreaming. The venture capital investor does not invest in a project (start-up or otherwise) - nor in a contractor. It invests in discovery (English = "insight") that the entrepreneur learns about his market. This discovery must be so fundamental that implementing it causes a sudden change in the status quo of the market (the so-called "disrupt"), he says.
Show an investor plan
Your presentation should be tailored to the needs of investors. Albert Dang Vu, President and CEO of Mirego, who has already raised funding, shared with me that the presentation needs to be summed up differently through slides that talk about the vision, the market and its size, the business model, the competitors, the product, the benefits complete and team. According to him, the plan does not have to show a return on investment. It must show interesting potential and show aggressive growth. Note, however, that the order of slides mentioned above may also be different depending on the story you want to tell. Some elements can be adapted or added if necessary. I invite you to read the interesting article " The investor presentation we used to raise $ 2 million ". My article on the anatomy of an elevator pitch can also be helpful.
Communicate your vision and passion
The vision of your project and the passion that you will put to achieve it will have a great impact if they are clearly communicated during your presentation. Tell a story about your presentation. It is so easy to get an idea, but being passionate and determined to execute it is not given to all. Your do not have to use complicated language to achieve it. Stay in simplicity. "The vision, the ability to adapt, the determination and the ability to listen to the entrepreneur are all very important elements to interest investors. I do not think we have to subdue investors, we rather benefit from sharing with them our vision, our passion, "says ramiberacha.
Network and know the investors before whom you want to pitch.
Today, there are many events in Quebec City or in Montreal or elsewhere in the world that bring together entrepreneurs and investors to give you the chance to learn and test your ideas. Be aware that when you decide to pit for such events, especially if they are mainstream, you will not necessarily find yourself in front of investors who know your market well. Some may not even be able to judge where you really are in your journey because of lack of experience. So do not expect to have an investment on the first try. This type of event is, however, excellent for receiving constructive feedback to improve your presentation and to see how people respond to it. A good way to find an investor, according to the president of Mirego, is first to network and win the trust of these before telling them that you are looking for an investment. Take the time to look at their profiles on Linkedin or ask your friends about their topics. Also find out about their attendance in more targeted events. I would also opt for this approach to better target those who are really interested in my market, or even make sure to be referred by one of these people.
Of course, these are suggestions for leads. Take what suits you. Personally, I have not yet experienced any fundraising. It is difficult for me to go into details. Be aware, however, that if I experience such an experience one day, I will let you know.
Created on Jun 26th 2019 05:30. Viewed 241 times.