As an entrepreneur, your goal is to grow your business and make it profitable, right? Of course it is! And in order to do that, you need investors willing to inject money into your startup so you can take advantage of the great opportunities ahead of you. However, attracting investors may seem like an impossible task to you if you’ve never done it before, but there are actually plenty of tips and tricks you can use to get them on board with your company in no time. In this guide, we’ll cover five of the most effective tips for attracting investors and securing their investment in your company.
1) Start with Passion
If you want investors to take you seriously, it’s important that you are passionate about your business idea. If you can’t talk about your product or service all day long, then there is a very good chance that it won’t be successful. You need an invisible fire in your belly, and if other people see that passion as well, then they will see potential and will invest money.
2) Use Keywords Effectively
You may not be able to attract investors without your business idea being great, but you can certainly make it easier on yourself by using keywords effectively. All too often business owners use terms that don’t help other people understand what they do or what their product is. Use keyword tools to research what potential clients are looking for and then include those words in your messaging (and website content) as much as possible. The more search-friendly you are, the better shot you have at attracting investors when they come across your site.
3) Develop an Elevator Pitch
The elevator pitch is an investor’s first glimpse of your idea. It’s your chance to convince them that you have a viable business plan and that it’s worth their time and money. And, yes, as with any sales pitch, it can seem like sleazy sales tactics when viewed from afar—but most investors realize it’s just how things work. Even if they don’t initially agree to invest in your idea, an effective elevator pitch will always be remembered long after you leave that initial meeting; a bad one leaves room for improvement down the road. So always aim high when crafting your elevator pitch and make sure to present yourself professionally; many successful entrepreneurs owe much of their success not only to their ideas but also to building (and maintaining) a solid personal brand around themselves or their company.
4) Create an Outline with Hooks
I’m a little old-fashioned when it comes to blogging; I like having an outline with a few hooks before I sit down and actually start writing. Before writing, think about some of your readers’ biggest pain points. Think about what makes them hesitant or unsure. Hook them from the start by addressing those issues head on—it’s just one way you can attract investors to invest in your business . In fact, crafting an engaging introduction is probably my favorite part of any project. And it doesn’t have to be long: in fact, sometimes shorter is better!
5) Create a Checklist
Before you start actively pursuing investors, create a checklist of all of your company’s current assets and liabilities. This list should include everything from financial documents (i.e., a balance sheet) to non-financial details like a list of all your company’s contacts and information about its business model. Once you’ve completed your checklist, have it reviewed by an expert in business financing—investors are more likely to invest in companies that have compiled exhaustive lists of their strengths and weaknesses. In addition, seeking outside counsel will help alleviate any anxiety you may be feeling about asking people for money. If there’s something wrong with your company, getting that feedback upfront will help you fix it or decide whether starting a business is right for you.