Raising Capital Regardless

DELICIOUS
EMAIL A FRIEND

X

Email to a Friend

Please fill out the following information and click submit

Friend's Name

Friend's Email

Your Name

Your Email

Comments

 

Submit

Sending Email...

Thank You! Your email has been sent.

Editor / Associate Publisher, Catalyst magazine

Drew Ermenc

August 13, 2008

For most small business owners, raising capital is a complex game of selling yourself to folks with deeper pockets than you. Typically, investors are hit up by the entrepreneur when cash flow is tight or money is necessary to grow the company. On the contrary, says Forbes columnist and investor Dileep Rao, who believes owners need to seek out capital when times are good, not when times are bad. Here's an excerpt:

"While the travails at Bear Stearns, Fannie Mae, IndyMac and others have drawn serious attention, you don't need a full-on credit crisis to get a glimpse of how fast things can unravel when financials falter and you are short on capital. The fact is, undercapitalized small businesses crumble by the scores in any economy. Lines of credit (not committed until you draw down the money) get cut, loans get called in, more assets (like houses) get pledged and toys get sold."

Click here for Rao's four tips to being proactive in raising capital for your healthy business. 

Related Articles:

• Learning From Pro Basketball
  Understanding pro athletes drive and determination can also help you be better in sales.
• 30 Questions Before You Commit
  Love at first sight can strike even a hardened business mind. Luckily, even entrepreneurs usually aren’t rash enough ...
• Using The Web Locally
  If you’re a local business – as opposed to national or global – do you still need a website to capture new customers? Is word of mouth enough?
• 5 Myths Of Sales
  I have finally realized that sales is more about serving someone else's needs and can be extremely rewarding as you help others become more successful.