Your Credibility as an Authority Can Attract
Investors When
You Need to Raise Capital
by Andrea Reynolds, Copyright 2000 - 2008
Andrea Reynolds is a marketing strategist for consultants
and specialists
Here's my story...
On an email discussion list for publishers someone asked
the question, "How do I secure venture capital for a book
publishing project?" Another publisher replied, "Venture
capitalists don't usually consider a project unless the
financial need is greater than $100,000 or even $500,000."
Well, I decided it was time to share my experience with
investors who backed my book publishing project with the
$25,000 I needed.
In 1986 I wanted to publish my book The Halo Factor: How to
Get Attention and Recognition, but like many authors, I was
discouraged by many rejections from traditional publishers.
My friend, a lawyer, said simply, "Just find investors. How
much money do you need?" "Twenty-five thousand." "Easy," he
replied, "Sell 25 shares at $1,000 each."
OK! I set about to write the Investor's Background
Information and the Offering Memorandum. What really helped me write a
successful proposal was that I'd paid my dues over the
years by having established myself as an authority.
Here's how:
1. By publishing a
directory, a few years
before, which listed my competitors across the country, the
business press and media began to quote me as the
spokesperson of my profession.
2. Having generated
national and international press
coverage, I had
clippings from Time Magazine, Success, USA Today, etc., to
add to my portfolio.
3. As a result of the press coverage, I was invited to
speak at various
conferences and meetings and was hired to teach at an "open
university" the course that allowed me to test the book's
material.
4. The data collected from my students provided
specific facts that became my market
research, which proved
there was a need for the proposed book, and gave me a clear
picture of who would buy it.
5. The speaking engagements I was generating were added
to my promotional
plan. My investors
would later love it because having audiences meant having
back-of-the-room book sales.
6. Best of all, the press release I
wrote for the book
project was picked up by the largest talk radio station in
the country. I talked about The Halo Factor; about how many
of us feel invisible and wish we could have a formula for
getting more respect, attention and recognition. And my
book offered the formula.
The interview was lively and animated because I was
passionate about the book's content. At the end of the 15
minute interview, the host offhandedly asked, "So, you're
looking for investors?" Startled, I said simply, "Yes!" and
she gave out my phone number on the air.
By the time I got back to my office, my answering machine
was filled with messages. Ten of those people bought all 25
units, and friends and family bought five more. With my
lawyer's help I put together the Limited Partnership.
I'm not saying it's always this easy, but being recognized
as an expert made the difference to investors. Having
credibility opened to the door to market research,
testimonials from students, promotional opportunities
provided by paid speaking, and poise and confidence from
addressing groups which I could summon when making a
presentation to each investor.
No matter how small, or large, your financial requirement,
your investors will have more confidence in your ability to
make your venture a success if you have established your
credibility as the leading authority in your field or
industry prior to making your proposal.
Read more about the
three investor documents
Andrea developed which
actually raised $30,000. Obtain them to use as templates
to raise capital for your own venture. Or obtain your
copy of Andrea's report:
25 Creative Ways to Raise
Capital for
your venture ...without bank loans, credit cards, or
selling a kidney.
Meeting
Planners: Invite
Andrea Reynolds to conduct an
ATTRACT YOUR OWN "ANGEL INVESTORS"
seminar to your members! (905) 280-0223.