3 Basic reasons someone might not invest in your business.

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It is easy to get emotional when you measure your ideas in business, when you start talking money with people and seek a personal investment. Things could get ugly! 

Emotional bias aside though there are a lot of good reasons to not invest time, money & resources in someone’s business. If you really want to rebuttal someone’s concerns with investing in you, have an answer for these three things. 

Certification, Education, Regulation – <.< In other words paper work. Personally if I am looking at an investment in a business project I want to make sure paper work is in order. The business had better be registered, they better be recording revenues and since most investments are used to expand they better carefully layout the expansion plan. 


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Purchase a serious business advertising package. 

$120….. Social media boosting, content advertising on Toronto-Businessphere and sales coordination. 

$80 monthly ….. eCommerce management. 

$1000….. SEO website setup, 1 Custom email address, content planning and 1 month as Businessphere’s exclusive sponsor


Under developed idea – I hate getting on an idea that is not developed as far as sales, marketing and advertising. Personally if you are not planning to work in the realm of paid digital advertising, I will have no interest in investing in your idea. “Oh but we work on publicity, free social media and Kijiji.” Said every idiot who thought they would make a killer income doing business on the web. 

Poor Marketing & Sales plan– Look at the relationship with competing services/products or in some cases 0 competition products. Look at target market user/paid user and customer acquisition plan. 

You want to get an investment put in time for certification, look for interested investors not just personal investors and develop your ideas. The reality is people invest in businesses for two reasons. They either want to be paid back in full plus interest. Or they want profit sharing. 

 

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