What does “Investment Ready” truly means?

01-December-2020 by Virtue Ventures

Investors will hear about many potential investments during their time, so why should they give you the time of day? You need to make them see that you and your business ideas are investable! So, how do you get there? Just check out these tips that will help you become investment-ready;

1) Make Your Business, Commercial
If your business doesn’t look professional then no-one will take you seriously. Try and view your business from the investors and client’s perspective – Would you use your service? Have an appealing website, up-to-date social media followings, and make sure that you have researched any potential competitors, what makes you different?

2) Have a strong to-the-point business plan
Don’t fill your business plan with unnecessary jargon. Keep it simple, easy to read, and straight to the point. Use points and headlines with descriptive paragraphs, which will help the investor follow plans in a step-by-step format, but it will display your efficiency, professionalism, and determination.

3) Have numbers that are realistic and achievable
At this stage in the process, you may not have a clear idea of how well your business will do, but investors will see right through any unrealistic targets that you set, it is best to stay honest, take it step by step, and take it from there. Start working out what you would have to achieve with the funding that you would get in order for the investors to see a growth.

4)  Prepare to scale the business
Be prepared for your business to perform well, how will you perform under an increased or expanding workload? How will you maintain a consistent level of performance?

5) Know your market
Who will benefit the most from your product or service? Plan how you’re going to sell. Visualize it as if you are the client – What would make you want to utilize a service or buy the product? Some great ways to make it better is by conducting consumer research, you can do this by; producing and sending out online surveys, engage in focus groups, or do some public product testing. These will give you some target audience reviews and feedback.

6) Have revenue on the board
Action speaks louder than words, nothing will prove more than your product selling compared to already having customers or clients. This shows that your business has potential, which can only grow to a wider target audience. If there is a gap in the market and you are addressing then this is a great way to prove that the world needs your business.

Additionally, any feedback that you gain from your research is an opportunity to make any amendments to ensure more revenue, before approaching to investors.

7) Have a proof of concept
How will your product/service work? You will need to realise which certain methods work in order to demonstrate its feasibility. Investors want to see that your idea has worked in the market, or will work. Is what you are building actually possible.

8) Have a good team of advisors
Ensure you have a group of individuals who have advised you on certain business issues you aren’t sure of like business issues including marketing, sales, finances, operations, etc. It’s great to have a good support network that you trust. Always surround yourself with people who know more than you. It is even better if they can also bring in sales.

9) Have the progressive attitude

If your mental attitude is anything but positive when it comes to achieving your goals, and becoming an entrepreneur, then you will fail. You need to always believe in yourself and your business, even when times are hard. Investors invest in individuals and not just the business at this time. Stay determined, be passionate, and strive for success at all times.