A lot goes into getting the best investors to invest in business. No wonder looking for investment can be stressful and time consuming, especially when doing it for the very first time. Fortunately, you will easily get through the search by making ample preparations before you get started.
The best way to go about this is by learning from the mistakes made by other entrepreneurs who missed out on lucrative investment deals. In this post, we will take you through some of the mistakes to avoid when seeking investment for your small business. Read on to find out more.
Getting Thrown Off by Questions
Before you attend the meeting with prospective investors, ensure you put yourself in their shoes. This will mean thinking about the kind of questions you would want to ask. You can think about the size of your target market, who your competitors are, how much money you’ve made to mention a few. Through this action, you won’t get thrown off by the questions asked.
When an investor asks you a question, be sure to answer it in a calm and collected manner. It does not stop there since you ought to answer the questions as completely as possible. That way, you will be in a better position to attract their attention.
Talking More about Your Product
Both you and the potential investor are after money. That’s why you should never get carried away talking about the product during your meeting. Even though the first few minutes should be spent on explaining the service or product you offer, the meeting needs to revolve around the financial opportunity. Keep in mind an investor is always going to ask more about what you offer if they need to.
The Bottom Line
The simple mistakes you make when meeting with an investor for your small business will certainly spoil the experience. That’s why you should never leave room for mistakes if you are to land the deal. Ensure you carry out a detailed research and learn from the mistakes made by other entrepreneurs.