Step By Step Growth
We have been receiving quite a number of inquiries from many of you asking about how to raise financing or grow your business during this economic time.
We love your questions and try our best to give you helpful answers.
Here’s one that we thought we would share publicly for the benefit of everyone reading:
Question: how do I finance and grow my new business?
Answer: The best way we’ve found to build when you’re first starting out is to take manageable steps. If you have identified an initial product you’d like to go with, then find half a dozen customers who will sign a Purchase Order (PO) agreement that states they’ll pay upon receipt of that product.
You can then find trade financing for an agreement and execute that order. Once you do that a couple of times, you’ll begin to attract specific financial partners who can help you step-by-step. It’s not easy and you may have to self-finance the first gig.
Hustling at the start of the deal to prove the market demand will go a long way when seeking financing. Also showing the POs in hand to signify that you have buyers lined up with signed agreements will also solidify your business case.
Then execute. You show yourself faithful in that way and you’ll have no problem financing future orders.
In this economy, that’s the best plan to get a new business funded that offers products and services. Foreign investors aren’t moving cash unless they’re already working in the country. Most of them have paused all of their new financing efforts for the time being.
Take manageable steps and produce as much trust and goodwill up front in your business dealings as you can. Then execute and show faithfulness on the backend.
(photo via vern)
Posted on December 12, 2016
by Tim & Tommy filed under