2010/11/04

When Do I Need International Investors?




There are countries that lack the variety of business investors that you can find, for example, in the US, Canada or the UK. What should an entrepreneur do in this case? Having learnt their lesson, that is, to always consider investors’geographic location and preference, in order to increase the chances of getting funded and of receiving management assistance from those investors, business owners may be at a loss. This uncertainty can only make one postpone or even give up their dreams of building a successful company. So, what is the solution?

Well, for entrepreneurs based in those countries where the number of local investors is quite limited the solution is to contact international investors. There are angels, venture capitalists and private equity firms that actually fund overseas businesses. The condition is that those enterprises prove to have high chances of a very promising ROI. It is the main factor that would convince an international investor provide money to a company that is located in another country. Moreover, if the respective private investor or firm has experience with companies in the same business field, they can also provide assistance and guidance whenever necessary.

So, if you are located in a developing country with few investors but with a great economic potential, international investors are an excellent alternative source of capital. All you need to do is have a detailed business plan, a great executive summary and an updated investors software that would allow you select and contact the suitable investors. The process of business planning is as important as writing the teaser email or preparing the pitch. Every little detail matters as long as it shows your business is worth the funding.

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