Since everyone else is pitching their ideas to you, I might as well throw in my 2 cents worth. Better late than never. I am a new poster, so feel free to correct me if I am wrong. I am rather long-winded when I get started on a subject close to my heart, so accept my apology up front. Hopefully I won't make anyone too mad or get banned from the forum. From what I have read on this site and every other site I have visited over the past 4 years, it seems evident that most VC's and Angels DO NOT want to invest in small, start-up business opportunities, even if their involvement would only be for 2-5 years. They are all looking for the "Quick Money" investments and are expecting a return of 10, 20, 50, or 100 times their initial investment within a couple of years. That is great for an up-and-coming Tech firm, a software company, a financial venture, or the likes. You can go to almost all VC company site and read what they invest in....high tech start-up, medical, software. After all that, if they decide your venture is worth further evaluation, they invite you to come and pitch it to the Board. And they give you the great honor of letting you pay them to present your idea to them. This investment strategy is meaningless for a small business that is trying to capitalize on a market opportunity and create a long-term income source. Most small business entrepreneurs are living paycheck to paycheck. They are trying to start and build a lasting business that will bring a needed service to their community, provide for their family and hopefully have them ready for retirement when that time comes. They are not looking for a hand out; they are looking for a helping hand up. Hard work and long hours are a part of the business plan, something I think many VC's and Angels have forgotten about. Have the VC's/Angels always had their money? Has it been so long since they didn't have the money that they have forgotten how hard it was to get started in the first place? Are they so focused on the next "super return" investment that they cannot see the $100,000.00 return for the $1,000,000.00 return (the trees for the forest) ? DR. VC, in the "World Famous DR. VC Advice Forum" in the post "who do I turn to next" on 2/10/2006, you stated; "Here's a dirty secret, Dr. VC loves "dirty businesses." You know, businesses that are decidedly non-tech: used car lots, bowling alleys, bars, car washes, laundromats, and so on.". You are one of the lonely few that I have ever heard/read of. But then, where are they rest of your brethren? No one else bothered to reply to the post, except the Commercial Agent wanting to sell the poster his services. With all that said, let me move on. I have been quietly searching for funding for my business for 4 years now, to no avail. Just can't seem to find the right investor. Oh, I had had a few potential investors: The "professional co-worker/friend" that took my money and tried to screw me for $15,000.00. Took me 2 years to get my money back plus interest, court costs and lawyers fees all paid by him. Lesson learned. The "investor with money" that said he was interested. Needed 3 months to tie up some loose ends and then decided (3 months later) that he wasn't interested after all. Another lesson learned. I can't openly advertise for investors locally. I have to do it quietly. If my plans get out, others in town will jump on the idea and I will be out in the cold. I have posted on Go4Funding.com. All the replies so far are offering advice or don't check out. Here is my plan for a business. We are looking to open a 24-lane laceName w:st="on">BowlinglaceName> laceType w:st="on">CenterlaceType> in 100,000+ population city. Short (3-month) start up time + Bowler-rich market + Lack of available local lanes = Long-term money making business. The total start-up cost for this project is $676,000.00. This includes all costs for equipment, remodeling, licenses, fees, inventory and the 1st year lease. We are looking for investor(s) to back our venture for a period of 5 to 10 years, depending on the investor’s needs/wants. Potential returns of the investment vary from $1.3 to $3.4 million, depending on length of investment and performance of the business. Want to be open before the fall '08 season. Business Plan is completed. Have seasoned manager lined up. Bank will finance with adequate down/equity/guarantee. Thanks for reading my thoughts… Sorry, again for the long post.
Just tryin' to live the Dream! |