No matter what type of company you’re hoping to secure investments in, it’s important to understand what all investors look for. Whether you’re a tech company or an apartment complex, it’s vital to determine what investors are seeking before you present them with your ideas.
Quality of the team
Believe it or not, teamwork is high on the list of importance for investors. Before you’re ready to meet with investors, carefully evaluate your team and look for any weaknesses that can be improved upon.
Each person of the startup company should work well together and be willing to put in long, hard hours for the success of the business. If there’s a certain member of the team that consistently displays a negative attitude or isn’t willing to work with others, it might be time to reevaluate his or her future at the company.
When you’re trying to get a company off the ground and into the next stage of growth, it’s natural to consider any and all investors. However, this can be detrimental when it’s time for the initial investor meeting. Before reaching out to an investor, be sure to do your homework and find out what kinds of projects the investor is typically interested in.
For example, a real estate investor like Fahad Al Rajaan would be a wise choice if your company is centered around real estate endeavors. It’s all about developing an understanding of what kind of investors you’ll have the best chances with so you can avoid time wastage.
After you’ve secured the coveted meeting with an investor, be prepared to speak at length about your marketability and how your company is different from all the rest. If there are other companies with a similar product or service out there, it’s important to be able to clearly communicate how you intend to forge your own path to greatness and continued growth.
Preparing a presentation for an investor can be intimidating, but don’t feel too shy to ask for a fair amount when it’s time to discuss your financial goals. Even though this might seem counterintuitive, many investors are driven away if you ask for too little.
This shows a lack of faith and commitment to the company, so it’s best to think critically about how much you’ll ask for before consulting with your potential investor. By having a realistic figure in mind, you’ll up your chances of catching the investor’s attention.
As the founder and CEO of a startup company, leadership skills are of the utmost importance for the long-term success of the business. In addition to leading your team through the tumultuous startup period, leadership skills are on the checklist of necessary qualities that investors need in order to put their trust in a company.
If the CEO and managers show poor cohesion and management styles, it’s likely that the investor will move on. In order to give yourself the best chances of success with investors, evaluate the leadership skills of yourself and other managers and work on problems, if necessary.