When it comes to convincing investors, it may be a hard thing to do it. However, there are many people who may have great persuasive skills. First of all, when it comes to convincing investors, you must be honest about your business. being dishonest is not only unethical, but it will also damage your reputation as well. So, how would you convince an investor to invest in your business?
How To Convince Investors To Invest In Your Project?
- Thread starter Passiveearner
- Start date
I think for me I would explain to them through illustrations and based on the books of the business records about how the business can generate more profits if at all they chip in with their investments on the business and how successful the business can be in five or ten business years to come.
I think it all starts with having a good business plan. Most investors will use a business plan to gauge your seriousness. If your plan is faulty, they won't invest. So start with proper planning and clarity on what you want to do.
A positive reputation in the eyes of the public would come in handy when it comes to convincing investors to put their money in a business. Such reputation comprises both the way members of the public view a business owner as well as his/her business.
I agree that one has to be honest with potential investors. Other than that, prepare a business proposal with details on your business idea, capital required, your product's target audience and the competition out there.
Sometimes this goes with the one's luck. At times investors would just desire your business after realising the potentiality of the business and decide to chip in with their investments bearing in mind that they can make good profits out of it.
- Thread starter
- #8
Well, I would not "lure" people and I may not think that it may be a proper word to use. I would invite people because even if I were to start a business project, I would try my best to start a legitimate business project which is intended to serve people and benefit the society.
I think it is best to present a whitepaper or a well-structured roadmap to potential investors, if it may be to have some kind of contact with them where you explain in detail your strategy, your business vision and why they should invest in you.
Your project should be already functional, your products should be already selling and generating revenue, and your project should be sustainable and show signs of potential growth. You might be able to get investors
- Thread starter
- #12
I think that when it comes to inviting investors, you must have a vision and a goal. You must be prepared to deal with challenges and be hardworking. Investors prefer investing money with people who have a good vision.
This is why you need a plan that clearly states your mission and as well your vision. And how the project would generate profit in the long run. The Truth of the matter is people tend to invest in what they know would help them make more money.