How vital selling skills are in the pursuit of raising finance. We have been working with a group of early stage entrepreneurs looking to put propositions together for funding, many of which are high technology businesses. The biggest challenge that we have encountered is the entrepreneur’s ability to articulate their propositions simply and with a high degree of clarity.
A corporate financier recently referred to the fact that there is no shortage of funds, however there is a shortfall of well thought through business ideas. The financier also went on to state that many great ideas just get lost in the mass of business plans, primarily because they are not presented in format that stacks up commercially.
To successfully raise funds entrepreneurs must start from the basis of putting themselves in the financier’s shoes and then think:
What is important to them? - Research their investment portfolio
Why is my business idea relevant to them? - Will it deliver a great return?
Can you articulate the proposition in a nutshell? Can't explain it, can't sell it
Is my proposition credible? - team, market, capability, resources
Do the numbers make sense?
Entrepreneurs must remember that raising money is a selling job! Hone your selling skills, view the financier as a customer, live in their world and think their way - get your head around this and the task will become easier!