Perhaps now, more than ever before, you might be sensing an opportunity to start your own business. A once-in-a-lifetime event such as the global pandemic presents opportunities for the right individuals, whilst reminding us time is short, writes Nick Morgan co-founder of Vudoo.
If you have a great idea which deserves to see the light of day, the time is now.
Fortunately my co-Founder and I, Andrew Spalding, had that moment a little over three years ago when we founded our business, Vudoo, an interactive video technology. Rather than bootstrapping (self-funding), we sought initial seed investment and then further funding eighteen months later.
I can tell you neither occasions were a walk in the park. Far from it. However, the investment we secured has helped us develop our technology and build the foundations of a great business.
Are you aligned?
So, how to go about making your dreams a reality and finding your dream backers? Very, very carefully. It starts with the right potential investors. Remember the saying ‘birds of a feather flock together’. Although it is terribly tempting to vet as many potential suitors as possible, focus solely on investors who have backed businesses in your field before. It is vitally important you are on the same page. This will save you something more costly than investment dollars; time.
Share your purpose
Secondly, be sure the investors you’re courting are valued individuals you actually like. Shared beliefs and a forum to speak openly are critical. Yes, you’re asking them to put their faith in you, but you’re also asking them to accompany you on your journey. We always hear about the ‘value’ investors are needed to provide, but it’s just important that you’re like-minded humans.
A note on the current climate. Try to find experienced individuals who may have been through a crisis before. Individuals that can guide, advise and provide a sense of perspective. Investors who have navigated the GFC, dotcom bubble, etc know there’s light at the end of the tunnel. Their perspective is priceless. They also understand and have seen for themselves, that on the other side crisis is opportunity. These investors will be seeking to invest in the future. Your future.
The time is now
Thirdly, there’s no time to lose. When is the best time to start raising capital? Yesterday! If you are thinking about funding your business then you need to make an evaluation sharp and get moving. Soon as you start you’ll have wished you started sooner.
Lastly, raising capital can be tough. I won’t sugar coat it. For some, it’s a breeze, but for most, it can be a soul-grinding, taxing process, so steel yourself. But you started a business in a pandemic, so raising capital? You got this.
Want more? Get the latest coronavirus news and updates straight to your inbox! Follow Kochie’s Business Builders on Facebook, Twitter
Now read this: