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If you start a business, you should fully explain to the business the purpose of the investor, and your vision should also be aligned with the investor's vision so that the investor knows what your goal is and what you want to achieve.
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3 Proven Techniques Prove your worth to the investors
Why Important? Investment is important for any business, especially for startups. Therefore, startups need to prove their and their business’s worth to investors. As, at the end of the day, if they want to set up their venture, then initially, they would want some bit of investments. 2
And, only after a certain period, they can expect their business to grow, and generate profit. Investment is required not just in the initial phases of the business, but later on as well. Therefore, there is no doubt about the fact that businesses will have to prove themselves often against investors. 3
Here are the top 3 ways to prove your mettle: ◂ Explain to them your vision ◂ Show them what you have achieved so far ◂ Don’t accept or set unrealistic goals 4
Explain to them your vision If you are starting a new venture, then you must be trying to achieve something. You must have a vision and a goal too. Also, you must have some expectations from the business as well? Therefore, it is important to make sure that you explain the motive of the business and your vision very clearly to the investors. They should be able to understand, why are you even planning to start your business and how can it help you, the society and the investors. Your vision should also align with the vision of the investors. But, the first step is to make sure that the investors at least understand what you aim to get. 6
Show them what you have achieved so far One of the best ways to lure investors is by showing them what you have achieved so far. If the investors are confident about you, then you will definitely won’t hesitate to invest in your firm. But, as they are also putting their money, they need to make sure that you can achieve your goals as you have in the past. 7
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Don’t accept or set unrealistic goals Investors are smart people, and they meet various entrepreneurs regularly. Therefore, they have a good understanding of the psyche of the entrepreneurs. The investors know that at times, the budding entrepreneurs try to set unrealistic expectations to form the business, just to showcase a very fancy picture in front of the investors. But this should not happen. The entrepreneurs should only portray what can be expected from the business in the initial stages. At times, entrepreneurs are willing to accept any goal or, it is set by investors, even if the goal is not met. But, you should never do that as this will not create a good impression in front of the investors. 9
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