How to attract investment in a startup idea

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For start-ups, investing in startups becomes a fundamental success factor. There are minimal assets to start development - well, you have only an idea - it will be more difficult. Upon closer examination, it turns out that even if you have a base, it is usually enough for a “start”, but there may not be enough resources to start promoting it. In both cases, the question of attracting investors quickly arises.

Search in the immediate environment

Many are afraid to tell their friends and relatives about ideas - they are afraid of condemnation, ridicule, and they do not want to frighten off luck. It turns out that one of the channels for finding financial injections into a startup is blocked. If not among friends, then perhaps already in their circle could be a person who finds the idea interesting.

Bank lending and funds

Here the situation is ambiguous: bankers will evaluate your potential not only by the creativity of the idea, but also by the attractiveness of the collateral. How can you reinforce your idea and provide a loan repayment. If you have only ideas, they will most likely refuse you. Funds are considering a lot of applications and you cannot rely solely on this option - it is long, tedious and not always productive.

Project Fundraising Platforms

Here, investors can be immediately a large number of individuals. Do not confuse crowdfunding with charity - depositors will also have to report and offer them favorable conditions for cooperation. Compared with large investors, there are more chances to find not a patron, but a like-minded person who is ready to support the project with the ruble. Surely you came across another concept - “business angels”, these are also investors who are ready to support, including long-term projects.

Benefits of Finding Startup Tools at B2Bingo.com

The social network for business combines all the possibilities for finding startup capital. By placing a project on a platform, you demonstrate your idea to a large number of people and companies:

• Your partners and specialists working in related fields.
• Large investors and small companies.
• Like-minded people with whom you can unite.
• Foundations and philanthropists.

 B2Bingo.com is a social network that opens up opportunities for work in Russia and abroad. By placing a project on the platform, you increase the chances of success by several times, as you go beyond the boundaries of your city or region. 

How to attract investment in startup: declare your business plan

Among newcomers to the business world, there is a strong belief that it is impossible to talk about an idea. Minimum - acquaintances dare, maximum - steal the idea. This domestic belief can significantly complicate the task at the stage of searching and attracting investors for a startup. Practice shows that a negative assessment from acquaintances is just their psychological defense. They didn’t venture into business. As for theft - then 95% of people simply will not share your enthusiasm, another 4% who would like to steal - will not be able to translate it into reality. As for the last 1% - we must still try to find it.

Tell us about your project.

Naturally, information needs to be conveyed to the target audience. For example, to gather friends whose opinion will be really useful, to discuss the idea in business forums, to offer partners with whom I had previously dealt. The project can be put on a crowdfunding site or presented to business angels.

Useful Demonstration:

• they will indicate errors and disputed parties that need to be finalized;
• if an expert likes your idea, he can recommend it to his friends;
• businessmen will talk about their real needs, which you can also include in the package of services of your company;
• acquaintances can invite their friends who have the means to meetings;
• participating in contests, you get an expert assessment, check the startup idea for competitiveness, and get a chance to support an interested investor.

Feedback from other people is important information: experts will point out flaws in the technical part and documents, and acquaintances “not in the business topic” will show the point of view of a simple client. By testing your business idea in this way, you get a really interesting business aimed at solving specific problems.

Be objective, do not exaggerate

Investors calculate the risks and the amount of potential profit. Your overpriced prospects will cause healthy skepticism. An adventurous idea with potentially high profits is much more attractive than frankly exaggerated opportunities.

Talk to the investor just

Clearly articulate the idea of business, what is uniqueness, advantages over competitors. Do not hold back information - no one will play in the detective, gaps in the narrative are not needed. Immediately stipulate the conditions: how you are ready to cooperate and what is unacceptable to you.

 B2Bingo.com allows you to get a large audience. Presenting the project on our platform, you get the opportunity to discuss, negotiate and quickly disseminate information about the startup project. 

This is an automatic translation.
Click here to read the publication in the original language.