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Los Angeles Music – The Music From the City of Angels

One of the best ways that you can attract an angel investor is to first launch your business to the best of your ability prior to seeking an outside capital investment. This is important for a number of reasons.

First, you will be able to show to a third party funding source that you have or will have an economically viable business that is operational and will provide a strong amount of income and capital appreciation during the life of the business.

Second, you will be in a much better position to negotiate as it relates to selling a portion of your business to a third party.

Third, the potential number of angel investors that you can pitch your business idea to will increase substantially as private financiers always prefers to place capital with businesses that have already launched their operations. grabovoi codes list

This method of starting your business is not applicable to all types of companies. For instance, if you intend to launch a new restaurant then you may need the immediate assistance of an investor as the costs associated with starting a restaurant are extremely high. However, if you are starting a small service based business then you may be able to start your company with little capital. For instance, if you are starting a small bookkeeping service then you can initially eliminate the need for an office or expensive personnel. Due to the power of the internet, you could easily start a business like this with minimal expense.

Typically, you would need a computer, a website, and a small amount of specialized software. As such, once you are up and running you can then solicit outside investment in order to aggressively expand your business. As an alternative, you may be able to forgo finding a private funding source and find a business loan instead. As we have discussed before, although you will be required to pay a monthly interest fee, you will not be required to sell any portion of your business to a third party. We strongly recommend that you review this alternative financing option if you are already in operation and generating a profit. Banks and financial institutions have begun to heavily favor small businesses that can support a loan with their positive cash flows.

In closing, your ability to start your business on your own without any outside capital assistance may be in your best interest. Again, you will not only have a plethora of financing options available to you, but you may be able to completely self finance the growth of your business as time progresses.

Angel Investor List  Download. No registration required! Includes Free Business Plan Template.

 

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