Business Venture: Mistakes On Raising Startup Capital

You have a great business venture idea and you are raising startup capital but why is that nobody wants to invest in your business, There is always room for improvement. There are several mistakes on raising startup capital that could be the reason why it is difficult for banks or for venture capital firms to invest on your business. Robin Cross stated in her article that there are 3 groups of mistakes made when raising startup capital: “poor preparation, structuring the agreement and managing the money.” This is truly the reasons why entrepreneurs would find their loan applications and investment applications rejected. By avoiding these blunders, then there would definitely be a higher possibility of having a your business financed. Poor Preparation There are entrepreneurs thinking that enthusiasm and passion would be enough to start and keep a business. Unfortunately, if you are looking for a startup capital, investors are not only looking for proper attitudes, they are also looking for a complete and solid business plan. When going to a meeting with bank or venture capital officers, you would like to be prepared with your business plan. This would show how important the venture it is. Nothing is more disastrous when an applicant files an application that has incomplete business plan. You do not need just funds, you would also need management skills. Another common mistake is forgetting...

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