Is Your Business Ready for Investment? Are You Investment Ready?

10-01-18
Investment Investment Ready Mentor Business Advisor Investment Pitching Seeking investment business plan Financial plan How investment ready is your business? Business advisors can get your business ready for investment investment by story telling Why is your business not investor ready?

Is Your Business Ready for Investment?

Your business idea has become a reality. At last. You’ve spent months poring over business plans and marketing strategies, followed by focus groups, the hunt for premises and recruitment. You’ve probably already started trading, and you may even be paying yourself a salary. But what’s next? You need money, and lots of it. You know there are people out there who should be fighting to invest in your business, but how do you find them? And how do you persuade them that you can make their money grow? Before you set out to seek investment you must be able to answer one basic question:

Are You Investment Ready?


Most businesses approach investors at some stage, and the disconcerting news is that the fundraising failure rate sits at a whopping 95%. But it’s not all doom and gloom. A solid business seeking investment from an appropriate source can certainly succeed and thrive.

Investors will want to know what steps you’ve taken to finance your business until now. Let them know that you’ve done your due diligence, you’ve explored various options and you’re completely ready for their financial backing.

Before You Seek Investment:

  • Turn to an experienced mentor or advisor for guidance
  • Try to get on an accelerator program, or a cash-for-equity programme
  • Seek out crowdfunding or angel investment opportunities
  • Exhaust all self-funding avenues before seeking external investment

Before you approach investors you must be completely ready or they will send you packing before you’ve started pitching.

Be prepared!

  • Realign your business as an opportunity for an external investor
  • Be prepared with a well-researched business plan
  • Pinpoint the ideal investor for your business
  • Plan a pitch that you can deliver successfully
  • Be fully prepared to answer questions on marketing, services, personnel, operations, sales and finance

Tips for Investment Pitching:

  • Sell your business through a story, rather than a business plan
  • Taglines and elevator pitches are a clear and succinct way of getting your message across
  • Go into detail on scalability and traction
  • Validation is important to demonstrate that others believe in your service or product. Show customer testing and market research
  • Benchmarking – Compare yourself with existing data from past experience or from the experience of  mentor
  • If you’ve had similar success in the past, tell them about it
  • You must be trustworthy, genuine and well-prepared

Do Not:

  • Investors will not be impressed if your founders are taking home bumper salaries
  • Do not refer them to your website for information. This comes across as lazy. You’re making them do the work for you
  • Be careful you’re not giving them information overload, like handing them 50 page documents
  • Have everything to hand. “Business plan will be ready next week” is not impressive
  • Do not fill your presentation with flowery marketing speak. They can spot spin and hype a mile off

Call to action

If you think you’re ready to seek investment, we can help you find out with an easy-to-use online tool which takes 15 minutes to complete. At Evoke Management we’ve partnered with D-Risk to help you assess your investment readiness.

Click here to find out if you’re investment ready.

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About the author

Rob Boll

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Rob is a forward-thinking CIMA qualified Management Accountant, who has held senior roles within large multinational and small specialist Financial Institutions. His more recent experience includes advising fast growing small and medium enterprises.

Rob has worked extensively in Finance and Business Development, accruing 10 Years at JP Morgan and 4 Years at KCG (formerly Knight Capital). In April 2015 founded Evoke Management, where he offered strategic business advice to SMEs with a finance focus. He strives to provide Strategic Business Performance Advice, and offers his expert and cost-effective services as a part-time FD and COO to businesses looking to grow yet retain flexibility and control.

Rob understands the challenges faced by SME owners in today’s fast moving economy. Generally time-poor and unable to divert the necessary resources to improving the performance of their business, they turn to Rob for a tested and effective solution.

He works with organisations on removing barriers to growth, examining high level but vital aspects of the business. Using a unique and innovative approach, Rob helps businesses identify issues, make a comprehensive plan and tackle problems efficiently and effectively.

When he’s not working, Rob loves spending time with his family, and can often be found near or on water – he’s a passionate Yachtmaster, partial to sailing and motorboats.

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