The World of Funding

The World of Funding

There are so many great companies that stay stagnant in growth because they are crippled by resources.  We all know money walk and the rest talks. The quickest way to obtain resources needed is to have money to purchase them. Now I know what you are thinking, how am I suppose to get the money to obtain the resources. Well first as you may have read in my last blog you make a business plan, to A see what kind of money you really need and where it goes and B to procure investors to give you the money.  There are organizations that are there to help business obtain funds needed. The Small Business Admiration (SBA), the National Venture Capital Association (NVCA) and Equity Net are organizations dedicated to helping you receive funds for your business.

“Since it’s founding on July 30, 1953, the U.S. SmallBusiness Administration has delivered millions of loans, loan guarantees, contracts, counseling sessions and other forms of assistance to small businesses. SBA provides assistances primarily through its four programmatic functions:

Access to Capital (Business Financing) SBA provides small businesses with an array of financing for small businesses from the smallest needs in microlending - to substantial debt and equity investment capital (venture capital).

Entrepreneurial Development (Education, Information, Technical Assistance & Training)

SBA provides free individual face-to-face, and Internet counseling for small businesses, and low-cost training to nascent entrepreneurs and established small businesses in over 1,800 locations throughout the United States and US territories.

Government Contracting (Federal Procurement)

In keeping with the mandate of Section 15(g) of the Small Business Act, SBA's Office of Government Contracting sets goals with other federal departments and agencies to reach the statutory goal of 23 percent in prime contract dollars to small businesses. This office also provides small businesses with subcontracting procurement opportunities, outreach programs, and training.

Advocacy (Voice for Small Business) Created in 1978, this Office reviews Congressional legislation and testifies on behalf of small business. It also assesses the impact of the regulatory burden on behalf of small businesses. Additionally, it conducts a vast array of research on American small businesses and the small business environment. The Chief Counsel of this office is appointed by the President of the United States.”

“ The National Venture Capital Association (NVCA) empowers its members and the entrepreneurs they fund by advocating for policies that encourage innovation and reward long-term investment. As the venture community’s preeminent trade association, NVCA serves as the definitive resource for venture capital data and unites nearly 400 members through a full range of professional services.”

“Crowdfunding is the use of small amounts of capital from a large number of individuals to finance a business venture. Crowdfunding makes use of the easy accessibility of vast networks of friends, family and colleagues through social media websites like Facebook, Twitter and LinkedIn to get the word out about a new business and attract investors. Crowdfunding will increase entrepreneurship by expanding the pool of investors from whom funds can be raised beyond the traditional circle of owners, relatives and venture capitalists. EquityNet is the original and only patented equity crowdfunding platform. It is used by entrepreneurs, investors, government entities, business incubators, and other members of the entrepreneurial community to plan, analyze, and capitalize young, privately-held businesses.  Thousands of entrepreneurs have used EquityNet to efficiently plan and fund their business and have raised over $217 million to-date.”

In the day and age option range from traditional loans to crowd funding, I saw try them all and give it your all.

References:

http://www.sba.gov/

http://www.nvca.org/

www.equitynet.com

Creating a Business Plan

Creating a Business Plan

We all know you have to have money in order to start a business successfully, how much vary on the business plan and business goals. The problem is a lot of people have great goals and ideas…but do not have the funding to see these goals through. There are a few steps and options that I would like to share with you today that may help you get your business goals in progress. First thing is first write out a business plan. When I say write out a business plan I do no expect you to give an 80-page report if this is something you are unfamiliar with. I mean write out the simple things like the company description, what you are selling, who are you trying to sell to, how much does it cost and how much do you plan on selling monthly, what will it cost to create, how are other businesses like yours doing, what makes yours different from the others and what are the start up cost and operating expenses. I know it sounds like a lot but most of these questions can literally be answered by just brainstorming what you know about your product. The other option is paying a company to write the plan for you. You will have still have to answer the questions that I have listed prior, but the company will do the research needed to incorporate charts that explain growth in your industry and give numbers pertaining to demographics and targeted markets. There are also programs that you can purchase for cheap that help you develop a plan like Live Plan or Bplans. Lastly there are free templates online that you can apply to you company. You can Google words that pertain to work business and the word business plan for example consulting business plan or recording studio business plan. There are many ways to get this done but it is important to have a business plan to help guide you and to motivated investors to give you money to execute your goals.