Raising money for your business is a crucial step in the process of developing and growing your company. There are many different ways to go about this, and the choice will depend on what you need the money for, how much you need, and what type of business you have.
There are three types of funding: self-funding, loans and investments. Self-funding means you use your own money to fund the company, which has its perks but also a high risk factor. Loans are loans that you get from banks or other financial institutions – they can be expensive but they have less risk than self-funding. Investments are when someone gives you money in exchange for shares of your company – this can be risky if the company fails but it has a low cost of entry and high potential upside if the company succeeds.
Are You Ready For Funding Or To Collaborate?
Scale, Sell or Collaborate was hosted by Greater Eastside Chamber of Commerce to introduce small business owners to powerful Black women in business that could possibly help them scale, sell or collaborate on government contracts. The business owners got a chance to pitch our esteemed panel about their business and was given some great feedback.
Some of the feedback was to get very clear about how much money you actually need, while other feedback was being able to explain your business better, so that an investor might be interested in investing in you.
There was one young lady there who had a bakery, who will now likely have her beautiful cakes sold in Hartsfield Jackson Airport, because her pitch was amazing and her cakes looked beautiful. One of the panelist who was there have government certifications and can get her in the airport, which could be a big win for her. The question then becomes, can she handle that amount of traffic?
There was another young lady who pitched her business, who caught the eye of one of the other investors. Although the investment company said they only invest in medical and manufacturing business, the investor was really impressed and may seek more information with this young lady.
The Take Away For This Event
If you are thinking about scaling, selling or collaborating for your business, you need to know your business, your industry and your numbers. You need to be able to share the vision for your business clearly, so clearly that a 5th grader can understand it. Last you need to make sure that your presentation is tight and you know exactly what it is that you want.
To become a member of the Greater Eastside Chamber of Commerce go to: https://www.MyGECC.org.