Successful business can indeed grow beyond the financial means of their owners. It happens quite often, but of course that doesn’t necessarily sound like a bad thing. A growing business sends signals to banks and investors that there is money to be made. Of course, sometimes business owners are stuck presenting their ideas for growth, trying to prove to banks and investors that they need additional capital to get things going.
So you’ve got a thriving business, and you might already be striving for growth in certain areas without needing extra capital. What do you need this capital for? Are you absolutely sure it’s necessary? Would you be comfortable borrowing the money, or do you want to raise the money in other ways? There are all kinds of things First Avenue Partners can do to help you creatively fund the growth of your business.
Depending on how you plan to raise capital, you might need money to do so. Hey, you know what they say about having to spend money to make money. You might have to think about accounting fees, legal fees and much more. Again, it really depends on how you plan to raise capital and what you need. There are of course small business owners who avoid all of this altogether and simply just borrow money to keep growing their companies.
You definitely are going to have to consider what your promotion and distribution plan when it comes to reaching out to investors. You can have the best idea for growth, but if you’re not reaching investors, you might not get anywhere. It also matters what types of investors you’re reaching out to as well.
Some investors are simply going to throw money at an idea they like and expect you to take care of all the planning. Other investors provide what is known as ‘smart money,’ which means they are going to be more heavily involved. You don’t want the investors taking over, but you surely could use some help, insight and extra resources to bring your business growth idea to fruition.
Sometimes you might not think that those investors are paying any attention at all. However, while you do have to get their attention, you might have more eyes on your idea than you realize. As you make your way towards your budgeted goal, keep pressing investors to join the party. If you’re well on your way, you have your eyes on the prize, and hopefully you will soon have the capital needed to grow your business.