I have done MBA in Marketing . My aspirations towards the tech field inspired me in building a whole new set of business ideas with relation to the portals business line. My project consists of seven ideas which can be developed into seven Business Verticals having a revenue generation system of its own. How can I get the help from the VC community to build my ideas into real project and business.
How and where can I approach a Venture Capitalist to convert my ideas (7 Ideas) into a business opportunity?
One thing to remember about VCs -- they hardly ever give to startups especially one that still doesn't exist! Unless you can get a recommendation from a top brass or you're a student at Stanford with good VC connections, it is almost impossible to get them to invest early on.
VCs hardly do seed financing. Venture capitalists invest in long-term capital and not for interest income. They look for three to five times their investment in five or seven years. Most venture capital firms' investment interest is limited to projects proposed by companies with a sound operating history -- which means that you must have proven that your business idea works.
For seed financing to help you convert your ideas into a business opportunity, angel investors are more likely to support you. CNN Money http://money.cnn.com/2006/02/28/magazine... has a very good article on angel investors, what they typically look for, what kind of investments they support, etc.
You may want to go and pitch your ideas where investors gather. Here are some places where angel investors come and those looking for funding can come and pitch their business plans. Be sure to have a strong business plan and describe what makes your business idea stand apart:
Angel Capital Association http://www.angelcapitalassociation.org
Angel's Forum http://www.angelsforum.com
Band of Angels http://www.bandangels.com
Common Angels http://www.commonangels.com
Keiretsu Forum http://www.k4forum.com
Launchpad Venture Group http://www.launchpadventuregroup.com
New World Angels http://www.newworldangels.com
New York Angels http://www.newyorkangels.com
Prairie Angels http://www.prairieangels.org (charges $125 to submit idea)
Robin Hood Ventures http://www.robinhoodventures.com (charges $250)
Reply:Hi there,
You just answered my Q, and I saw your Q!
Please email me some of your details, and some of your ideas.
I think I will be able to help,
Rishi Anand
Rish@reload.com
Reply:I'm surprised your MBA didn't include "Small venture capital" class. They usually do. You need to get a hold of "Pratt's guide to private equity sources", which is the most respected publication of its kind. Check with your library or google. It is unlikely that you will find a copy online, as the publisher charges something like $700 for it.
Also, consider getting a small business loan from your local bank. Check as to what their requirements are. At a minimum, you'll need a business plan. Finally, check with your local economic development authority - they may have a directory of investors and/or host networking receptions which may help you.
Reply:Please visit my website for more information:
Creative programs for funding available. We accept funding request from $100K. No maximum.
Contact me today for details or visit: www.secondchancetofinance.com/m.giddens to submit your project.
HONESTY AND INTEGRITY ABOVE ALL
Marla R. Giddens
Managing Director
FDP Financial Solutions
(609) 882-1456
e-mail: marlagiddens@yahoo.com
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