Advice From The Angels: How To Raise Finance in 2019
When looking for EIS fundraising tips and tricks, it’s easy to become confused by the multitudes of conflicting advice. To eliminate the confusion, we went straight to the source and asked four angel investors (and one CEO) what advice they would give to businesses looking for equity investment in 2019.
Forgot your headphones? You can read a summary of the transcript below.
Do not make outrageous forecasts and projections
“For many of the offerings I see, you look at the projections, shake your head and look up at the sky for the flock of pigs flying past”.
Peter, Investing in growth businesses for 35 years
Do your research
“You need to know who you are going to be working with and all the terms and conditions that come with the investment”
Alex -Investing in growth businesses for 5 years
Produce a very clear, simple and well-written business plan
“Investors are busy and will want to read your business plan easily, quickly, succinctly and understand what that business does.”
Caroline – Investing in growth businesses for 5 years
Have a realistic valuation
“A lot of companies are out there looking to raise finance, so a company needs to have a sensible valuation which is commensurate with the risk of investing. [Your valuation] should be compared to other companies and their valuations, not only private companies but those on the stock exchange as well.”
Oliver – CEO, Envestors
Employ the right management team
“You’ve got to be absolutely convinced you have the right management team. A management team that knows there will be a lot of pressure on them to spend the money quickly to get traction and momentum going in the business.”
Debs – Investing in growth businesses for 10 years
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