How To Find Investors For Your Business

How To Find Investors For Your Business

Investors play the role of pillars for a business start-up. There are many investors available in the start-up business market. All of them have different terms, policies, and investment criteria. Before dealing with any investor, you must know about all their capital rules and expectations they have for your business. Here are some ways you can get a loyal investor:Venture CapitalistsVenture capitalists are investors who provide private money to raise a business. Venture capitalists are not part of any investment organization or providing investment through a partnership. They have their own money to invest in the start-up business, and in-return they just lend you money and in-return get a profit, according to the predefined rules. You can easily contact any venture capitalist around you. Some websites provide the facility to ask for investment from these investors. Also, you can use social media platforms to find them. And if they will consider your business profitable for investment then they would like to invest.Online platformsThere are many online fundraising platforms through which you can get money for investment. These platforms offer loans for business or donations. Some of the popular platforms is SeedInvest, StartEngine, and CircleUp, etc. You can get loans from such platforms, and you can monthly pay them some profit as a capital.Social MediaSocial media has now become a great source of business advertisement. You can share posts about your business and products. Through this people will get a chance to know more about your business. In this way, you can contact your social media friends for investment. The more they would know about your business, the more they will trust you for investment.Business planBefore investing in a new business, investors check the business plan. If investors would find your business plan interesting, then they will surely invest in your business. Your business plan should be strong enough that investors do not doubt the loss of their investment.Tip: investors like to invest in businesses that have more chances of profit, therefore it is vital that your business is somewhat high in market demand.Equity FinancingEquity financing is an investment method, where a person invests in your business for a share in the business. You can easily access equity investors online or from your friends and family. This investment method can be an effective way to enhance your business.Choose investors and an investment method carefully, because if you want to do a partnership with any investor, there are different rules to be followed and they will get profits according to the shares they have in your business. However, if you want to be the only owner of the business, then avoid investors who look for a partnership, i.e., venture capitalization and equity financing are not suitable.

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How To Access The Best System For Ad Management

Ad Management SystemsAd management systems allow people to advertise their products on social media to reach more users. Content providers connect with an ad management system and provide content according to the products.Ad Management ToolsThere are many ad management tools available that can handle campaigns across different platforms, including HubSpot, AdRoll, RollWorks, Influ2, Adstream, 6Sense, and Celtra. These systems can help you execute complex strategies for your marketing, enabling founders to understand their user journey to acquisition, as well as running optimisation to reduce CPA or improve conversion.Improving performance, retargeting, and mapping the cadence a user will go through from awareness of your product to buying, is not a simple exercise especially across many social media platforms. Other systems can help founders aggregate and normalise data:HubSpotHubSpot helps to lead the audience to get new opportunities. It also enables an adviser to get the targeted audience. It allows you to share your ads on social media such as Facebook, LinkedIn, or Instagram to increase the reach of your product to as many people. You can keep track of your marketing campaign and get an idea about the public engagement of your content. It is a free tool, but you can also use its premium version to get advanced features.AdRollAdRoll is a tool that helps you to manage your ads by providing many features. It provides AI-based recommendations to target an audience. It also helps you to increase customer lifetime value by offering affordable product deals. And it also allows you to connect with the customers through email or other sources of connections.RollWorksRollWorks is an account-based tool. It helps to target the audience through account identification. It handles sales tasks and prioritizes account-based advertisement. It keeps track of your marketing campaign and helps you to automate your sale emails. Its starting plan costs almost $975 per month.Influ2Influe2 is a tool used to identify your business progress through the engagement of each individual in an advertisement. It provides informative content to engage customers through ads. Moreover, you can collect data about the customer’s email or other social media accounts that show the engagement on your ads.AdstreamAdstream is an all-in-one tool. It helps you to handle customer engagement, media analysis, and automation. It automatically adjusts your content of ads through the content comparison shared around social media or the Internet.6Sense6Sense also provides all the features that other tools are providing. But it uses AI, big data, and machine learning to identify the marketing value and audience behavior towards your advertisement and products. It is also an account-based tool that collects customer data to maintain its audience record.CeltraCeltra is a cloud-based advertisement tool that provides a user-friendly interface. It provides dimensions and metrics to understand your campaign better and achieve your marketing goals.Find out more about Ad Management solutions on Capterra.

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Juice VS Revenue-Based Lenders

Revenue based lenders (RBLs) are the next new thing in Europe, with many new funds dedicated to this new way of non-dilutive finance.It is a simple product, meant to help founders with working capital. Cash is advanced to founders, at a rate of 1x to 1.5x their revenues. The repayment happens at a fixed percentage of their revenues, between 10% to 25% which is dependant on the risk rating.Unfortunately, with RBL’s there are cases when pricing is not necessarily clear to the founder, especially if you consider multiple loans throughout the year or are gradually increasing your debt exposure.Often, it is presented as a friendly solution, and it can be for founders with a slightly elongated sale cycle where they have the ability to manage cash-outflows from equity or reserves.With RBLs, the payments are not fixed, and vary from month to month until the balance is repaid. The lender gets the regular amount of income dependant upon the percentage of revenue.Many founders are starting to realise that there is more to the story than a what RBLs advertise (‘simple fixed fee’). In some cases, they end up being higher than what was originally presented to the founder.One thing is clear the fixed fee is not an annualised interest rate. The reality is that if you took the facility again, another fixed fee would apply to the new loan. If your company is growing quickly then you could end up recycling the cash and taking 3 or 4 RBL facilities per year. It means that a great company end up paying somewhere 18%-36% on an annualised basis depending on their credit rating. If we add to this the fact that many of these companies will be increasing the loans to cater for a growing business activity, it is easy to see how lucrative the model is.At Juice, we are fundamentally entrepreneurs, building businesses similar to those of our clients. We think that both our message and the way our products operate needs to align.We have created products where founders can access a revolving credit facility without having to apply for multiple credit applications. In some cases, we need to scale our facility sizes over time, to allow them to grow and build resources for their ad campaigns, or inventory. In other cases, we would not want our companies to be over-exposed, especially if they are dealing with cyclical or seasonal businesses. Juice has been created for companies that are on a mission to bring unique products to their consumers.What to keep in mind before going for RBL?Although revenue-based financing has many benefits and appears as a simple product, there are elements founders should pay attention to before opting for this source of funding:Not for new businessesLenders always check the revenue graph of a company before investing money in its business. They have certain rules and eligibility criteria. And if any business does not fulfill the criteria the lenders do not invest their money. So, the revenue-based financing is not for the newly established businesses.Capital costIn Revenue-based financing cost of capital is very high. Because you have to invest much more interest rather than the real investment. However, the monthly payment process makes the high-interest rate accommodatable.Prepayment incentivesA revenue-based lender does provide you prepayment incentives. Prepayment incentives are the discounts or pre avoided interest that lenders offer to the borrowers to encourage. But the revenue-based lenders do not provide such kinds of incentives So, that’s the reason revenue-based financing is not preferred.Monthly paymentsRevenue-based lenders require monthly payments.In starting a business may face some financial issues and maybe they are not able to pay monthly payments. So, revenue-based financing is not suitable if you have not started selling your products or the profit graph of your business is not high.Long-term paymentsIn revenue-based financing, a borrower has to pay interest for the long term because of the high amount of loan. So, it becomes a very long-term process to pay all predetermined amounts to a lender.

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