How to Find An Investor For Your Business

March 15th, 2009 | by Nutria |

You have your business idea, and are sure it will be a success. You’ve studied your market and know who your competitors are. You have completed your business plan and have income and expense projections for the next five years. All you need now is start-up capital. It should be easy to find an investor, right?

Well, yes and no. It’s true that _gwt_noimg=1&gsessionid=Zb_fvEqFh1QFgxRVM2GZLQ”>private investors, also known as business angels, reside in every country in the world. It’s also true that there are different investors for different businesses. Locating them can be a challenge, as they don’t walk around with a sign saying ‘free money.’ There are a couple of different places you can start your search, however. Some investors hook up with local university programs because they are always looking for fresh new ideas; so you can talk with some of the business professors to find out what they know. You should also be able to locate them on the internet. Finding the right investor will depend largely on the type of business you’ve chosen. Let’s have a look at the types of investors.

Core Investors – they will invest in a business of any industry or sector, as long as they can see the value in your product or service.

High-tech investors – they will invest only in high-tech or highly innovative products. This sector is usually high-growth with a huge profit-potential.

Medical investors – they will invest in products or services that are part of the medical field. These investors are usually doctors, or have extensive medical knowledge.

Specialized investors – they will invest in businesses that are close to their own areas of expertise. They feel they can offer more value as a mentor if they have first-hand experience in that industry.

There are some criteria that all private investors will need to investigate; they all look for businesses in which they are confident will provide value to the market as well as a hefty profit for them. They will also count on you to provide at least some of the start up funds. They will want to see a thorough business plan. Most important they will most likely want partial ownership in your company.


Watch the video related to investor

Real estate giant Donald Trump now faces over 70 investor plaintiffs who are now suing him after loosing millions of dollars due to a failed resort in Baja. Ben Tracy reports.

Help answer the question about investor

How do i become a successful investor and quit my 8 hour job?
I've seen many people who don't work, just stay home and claim that they are successful investors. I want that kind of life. How do i spot a good investment? Where do i look for these good investments? sorry if my question doesn't make any sense, what i'm trying to figure out is how to also be a successful investor who stays home and makes good money by just "investing". How many kinds of investments do you know of? and how many have worked for you? how many can you keep doing to make enough to quit your job?

About Author

One of the best websites in this regard is entrepreneurinvestornetwork.com.au, which aims at uniting angel investors looking for business investments in Australia with budding entrepreneurs in the country.Log on to the website today. You will not be disappointed.

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Recent Post

  1. 18 Responses to “How to Find An Investor For Your Business”

  2. By Home Improvement on Mar 15, 2009 | Reply

    Type in Tripping Up Trump! Check out the farmer standing up to trump.

  3. By Anonymous on Mar 15, 2009 | Reply

    I can’t feel sorry for greedy people who believe the hype.

  4. By Home Improvement on Mar 15, 2009 | Reply

    look, there should only be 1 person looking after your life savings, and that’s YOU!

    wake up,.

  5. By Jenkins77 on Mar 15, 2009 | Reply

    probably not here. you're going to do some knocking on doors and some phone calls I suspect. best of luck.

  6. By godsgirl3178 on Mar 15, 2009 | Reply

    go to http://www.breadstreet.com there you can post a funding request for a 49.95 monthly membership fee that has a 15 day money back guarantee if you are not happy with the service.But the way it works is you post your funding request and you will have investors contact you as well as you being able to contact 10 investors per day from their database of investors. If you have never raised capital from private individuals then go to http://www.breadstreet.com/regdetail.htm and do some research it is very good information

  7. By Home Improvement on Mar 15, 2009 | Reply

    Even thats an exageration [$100-$200m].

  8. By Friendly Frank in America on Mar 15, 2009 | Reply

    Talk to medical professionals in your community. I have found if you can show them a good return and a 3 to 5 year payback, they may show interest.

    Go to a local financial planner and see if they can find five people willing to put up $10,000 each. They usually have a large number of clients that would be willing to risk that amount. Before you go make a business plan, have facts and don't act desperate.

  9. By Home Improvement on Mar 15, 2009 | Reply

    I say the rich give everyone else a share of their money; the poor will be happy and the rich will have less to lose and less to stress out about.

    The world would be sweet.

  10. By noble_onyx on Mar 15, 2009 | Reply

    Just sell the investor stock in your company. As long as you hold more than 50% of the stock, the investor has no real power. You can have contracts with stockholders giving you proxy votes also.

    Or issue bonds.

  11. By FireFly on Mar 15, 2009 | Reply

    If you live in the US, look in the phone book under Small Business Administration. It will be in the government pages.

    Then find SCORE (service corps of retired executives).

    They won't help you with investors, but they will help you with the right tools to get there.

    I started my first business with their help. Twice my mentor shook his head and basically said "I made that mistake once, why don't you cosider… xyz" Both times he was correct.

    LOL no need for the phone book go here:

    http://www.score.org/index.html

  12. By finmanaus on Mar 16, 2009 | Reply

    " Rather than keep placing the loans I want to use my own funds "

    No clearly with your question you want to use someone else's funds as you have none.

    I don't think many investors will chomp at the bits to get into such an endeavor.

    Just curious but what kind of interest are we talking here that you can pay an investor 36% per year on their monies?

  13. By Home Improvement on Mar 16, 2009 | Reply

    yea right trump is suing them over this trump is worth billions still dont fall for the hype

  14. By buildleverage on Mar 16, 2009 | Reply

  15. By patrick a on Mar 17, 2009 | Reply

    Be leary of Larry from Trans Gobal Services, sounds like a scam. My suggestion is that you go to your local bank and seek direction from the bank manager. He/she can direct you to available options either through their departments or other "reputable" sources. DO NOT rely on any internet source when it comes to confidential matters…..

  16. By Home Improvement on Mar 18, 2009 | Reply

    i agree. a real billionare will not come to the convention center and will never give out speach how to make money for 10 dollar ticket. he is a scam. we will see how good he is now.

  17. By Home Improvement on Mar 18, 2009 | Reply

    lol you must be gay

  18. By tambos67camaro on Mar 18, 2009 | Reply

    Contact the local Small Business Development Center and ask their advice. They might be able to connect you with an Angel investor.

  19. By Home Improvement on Mar 18, 2009 | Reply

    Only a fair few people know that Trump is all smoke and mirrors,alot of people fall pray to people like this thinking he has the brains and knowlege.I don’t understand why people are still blind thinking that this guy is some sort of god.
    He doesn’t understand shit it’s all contracted out , outsourced and he gets royalty from them using his name .
    he is full of shit

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