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Fundraising For a Start-Up

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Fundraising For a Start-Up

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Entrepreneurship is the best way to improve your standard of living in the way you had dreamed all along. But the irony is that not everyone with great ideas gets the required funding at the right time. Yet, it’s justified, because it differentiates between a deserving entrepreneur and others. But there are certain ways by which you can get this tedious process simplified to suit your needs. Below are the some important points that can help you make sure that you get your funding on time.

Making the central theme

The first and foremost thing that you have to do to draw the attention of funders is by highlighting the most striking factor of your idea, which is otherwise known as USP or unique selling point. This is also the most valuable point, as far as you are concerned. This should both be precise and sharp enough to catch the attention of the funder. This is because the first point you are going to present to the funder is the only chance you will ever get, “There can’t be a second chance to make a first impression”, and this should be your trump card.

Try your luck at contests

Moreover you could try the most encouraging way that supports small business start-ups. There are a number of contests that encourage your innovative ideas by offering large financial rewards. And for those deserving innovations, there are lot of investors stretching out their palms. For instance, “The Amazon Web Services Start-Up Challenge” offers annual rewards of $50,000 and a higher bounty depending upon the level. Similarly, MIT offers a hefty $350,000 as reward each year for its “pitch, accelerate, and launch” contest. All you will have to do is to either present your idea in person, or pitch it through a presentation.

Doing your home work right

John Rampton, a start-up expert, advises fund seeking entrepreneurs to try calculating their expenses prior to seeking funds. Investors are anyway going to be looking for your expense information as well, as they can get a fair knowledge of your business. They will need to know how much money it will take to get your start-up going.

Open source funding

At times, instead of trying through too many sources, you could also try sticking to the basics. You can raise funds by making potential investors your partners in business. Maybe you can make use of some of the best portals for exchanging ideas. There are lot of sites and business consultants like Sign-up or LinkedIn and start interacting with the people who match your ideas. They offer a number of business ideas besides investing in your start-up, like most mentors do.

Keep knocking at the right doors

There may be some hard times in the course of raising funds, and nothing falls into place easily. Of course you don’t want to have a heated argument with your potential investors. Checking in every now and then until you get an answer shows that you are serious, with a never-die attitude. And, even if you’re denied, you can know the reason why you weren’t funded. Remember, learning from our mistakes is one of the best ways to find eventual success.

To sum it up, it is obvious that getting funds for a start-up is not an easy job though. But still, if you try all the above mentioned points and be persistent enough to get the fund, then you will be on the receiving side. Below are the papers that you have to get it ready to get the funding.

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Source by Thirumurugan Chellappa

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