When it comes to investing their hard-earned money, investors want to be sure that their investment will be worth the risk. There are a number of factors that investors take into consideration before deciding whether or not to invest in a particular company or venture. Bill Schantz will now explain what investors look for before they invest their money in a business.
5 Things Investors Want to Know Before Investing in Your Business per Bill Schantz
The Numbers
According to Bill Schantz, investors want to see cold, hard numbers before they invest their money. They want to see financial statements, sales figures, and other data that will give them a clear picture of the company’s past performance and current financial health. This information helps investors determine whether or not a company is a good investment.
Numbers will also help investors determine the potential return on their investment. They want to know how much money they can expect to make if they do invest in a company. This information helps them weigh the risks and rewards of investing in a particular company.
A Business Plan
A well-written business plan is essential in convincing investors to invest their money. The business plan should outline the company’s goals, strategies, and how it plans to achieve them. It should also include financial projections and other data that will give investors an idea of the potential return on their investment. Having a solid business plan shows investors that the company is serious about its business and has a plan for success.
A Unique Idea
Investors are always on the lookout for companies with unique products or services. They want to invest in companies that have a good chance of succeeding because they offer something new and different. This is often a major factor in deciding whether or not to invest in a particular company.
It is difficult to get funding for a company that is selling a commodity product or service. Investors want to see that a company has a unique selling proposition that will make it successful in the marketplace.
A Powerful Narrative
Investors also want to hear a good story. They want to know why you are starting this company and what your vision is for the future. Bill Schantz believes that a powerful narrative can go a long way in convincing investors to invest their money.
The narrative behind your business idea tells the investor how invested you are in your business plan and if you have got that drive to achieve success or not.
A Strong Team
Investors also want to see that you have a strong team in place to execute your vision. They want to know that you have the right people on board to make your company a success. This includes people with the necessary skills and experience to get the job done.
It is also important to have a team that is passionate about your idea and believes in your vision. This will go a long way in convincing investors to invest their money in your company.
Conclusion
Bill Schantz has mentioned some of the things that investors look for before investing. If you can show them that your company has a good chance of success, then you will have a better chance of getting funding. Remember, investors will comb through every inch of your business idea if they want to be assured of your success and consequently their ROI.