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    September-2017
 
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Fund Raising Tips From A Successful Entrepreneur

Obtaining funding and investment for a startup or to grow a business is no easy task, even if the entrepreneurs have a better idea than sliced bread. 

According to Rachel Katz Galatt, CEO and Founder of Maternal Science, Inc., “gaining enough trust and credibility from people to give you their money is still quite a challenge.  But as entrepreneurs we LOVE challenges!  

The creator of the  healthy mama brand  was able to convert a concept into a product and raised close to $500k with no prior capital raising experience. 

Galatt adds “although this sounds intuitive; however, many people don’t really think this through. In order to raise enough money to launch and sustain your business, you must really think things through.”

Here are Galatt’s tips on what needs to be done to raise capital:

  • Have an innovative idea or point(s) of difference from what is currently on the market.  Investing in a “me too” concept is not very appealing to investors.  
  • Have passion for what you are doing.  This is almost as important as the first point. Investors want to know that you are so excited about the service or product you are creating that you will go that extra mile to make it successful.  This made a huge amount of difference when speaking people- they always commented on the passion I have for our brand. 
  • “How much money have you invested?” The third thing that I believe is important for potential investors is letting them know that you are vested in the business and can’t just walk away if the going gets tough! 
  • Create a clear and concise presentation.  This is crucial to generating cash. Not too long, and not too short. Just right. Many investors don’t have time to listen to every single detail about your business (okay, if you checked off yes to point #2, you are anxious to share all the information).  If you get them excited about your product, they are sure to ask additional questions.   Go on line and pull up samples of pitch decks that are short and concise. 
  • Have a comprehensive and well thought out business plan.   This is the key to the piggy bank. After getting potential investors excited about our brand healthy mama®, we sent them our business plan which filled in the blanks.  Know your product and market inside and out as they will ask questions. 
  • Sometimes it’s all about timing.  Maybe they are not interested now, but don’t close any doors.  Keep people in the loop on your business’ progress and perhaps they will come back to the table at a later date. That certainly happened to us a few times.


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