Starting a New Business...Never Say Die

Starting a new business can be one of the most challenging things one can do. A person must have very thick skin, the ability to listen even when you disagree, put up with people that glanced at material sent and understanding the larger the company the less flexibility they will have.

Here are some tips or things you will have to do:

• Really, really learn how to listen

• After a while develop typical questions & answers

• Understand that most venture capitalist have some requirements because they just might be getting some government funding.

• Beware of those that ask for any money upfront & won’t give references

• Always ask for references

• Plan on re-doing you business plan several times over and remember anything over 10 pages won’t help

• Always have a professional prepare and develop your business plan, executive summary & financial projects.

• Do not even think about starting a business if you do not have the experience to support your business development.

• Make sure you have a team that supports the skill set you lack

• Have a nice Demo web site that is functional & can be edited text wise your end. The $500 web site will not do & the $4,000 will make you look like you know what you are doing. No pictures of you, your family, or dog, investors do not care.

• Do not debate your position but point out your company’s benefits profitability.

• Incorporate the business name and work with someone that has done it before, even if you give them 5% interest, having it done right key to success.

• When you go to public events like trade show to even talk to people and learn, dress professionally.

• Run your idea for review by people who have no idea what your industry is about and if they understand its bull eye. If not, then re-write the business plan to the point that a 10 year old could understand it.

• Laugh at yourself when you make a mistake & learn how to be humble.

• Do not lie even about the littlest thing. If you did not attend college, do not tell them you have.

• Learn how to accept rejection because for every rejection you learn how to improve.

• Let us say your budget for funding your business is $3 Million and someone offers to fund the whole package for 20% of stock but then want you to come up with $3,000 for legal expenses. Think, if someone has $3 Million, what is the need of $3,000 for legal cost?

• The time line from beginning to end in starting a new business for funding can be 1-3 years and that if it is a good idea.

• Big thing, keep every email you send anyone with any information about your company and print a hard copy as well.

I hope this helps and the question you might have is where do I get off giving all this advice, simple, I created Video Suspects, Inc. of which just in the past week acquired the services of Miller-Gold and international investment banking group. Prior to them, I had turned down four offers from a person who wanted us to hire his 23-year-old son in-law for $120K per year to the company that increased their fee by 3 times after their initial offer. So as you can see, been there and done that.