Looking for investment...don't know where to look!

[The_Splat_Centre]

Hi all,

I'm new to this site but it seems you guys have many pearls of wisdom to share so thought I would ask for some help.

Myself and my husband are in the process of setting up a new business, we have identified an appropriate property, done a comprehensive business plan, been to a business clinic, had design drawings done etc so in terms of initial work, we have done a fair bit. We have secured an investor who is interested in buying the property for the business and we went to the bank yesterday in an attempt to secure the remainder of the money needed for start up (about £110,000). The bank love the business idea and feel our forecasting is very realistic but they have said they can only fund 50 -70% of the start up costs. My husband and I have very little savings so we are now in need of the final 30-50% (about £40k-£50k) and we cannot proceed without it. Our current investor has accepted a 20% stake in annual net profits and we are looking for an investor who will willing to offer the remainder of the money for a 5% stake (this is negotiable). The forecasting suggests a very promising return, with 5% generating 15k in just year 1. The figures continue to rise over years 2,3,and 4 and then we are planning to return the investment in full during year 5. So potentially, it could be a very profitable arrangement for an investor. The bank have said they think our business will be a highly profitable business, we have done lengthy research on the market and location and totally believe in the business but the fact of the matter remains, we cannot start up or take any further steps towards start up unless we have secured the rest of the money. We have registered for things like business angel agencies etc (which is where original investor was introduced to us) but was wondering if anybody knew of anywhere / any one where I could approach in search for another investor? The business clinic suggested that sometimes more informal networking for investment can be more successful but we are new to business so our network is very limited and we really do want to find an investor quickly so that we can take the next steps. Does anybody have any advice?
Thanks

[which_08]

Hi all,

I'm new to this site but it seems you guys have many pearls of wisdom to share so thought I would ask for some help.

Myself and my husband are in the process of setting up a new business, we have identified an appropriate property, done a comprehensive business plan, been to a business clinic, had design drawings done etc so in terms of initial work, we have done a fair bit. We have secured an investor who is interested in buying the property for the business and we went to the bank yesterday in an attempt to secure the remainder of the money needed for start up (about £110,000). The bank love the business idea and feel our forecasting is very realistic but they have said they can only fund 50 -70% of the start up costs. My husband and I have very little savings so we are now in need of the final 30-50% (about £40k-£50k) and we cannot proceed without it. Our current investor has accepted a 20% stake in annual net profits and we are looking for an investor who will willing to offer the remainder of the money for a 5% stake (this is negotiable). The forecasting suggests a very promising return, with 5% generating 15k in just year 1. The figures continue to rise over years 2,3,and 4 and then we are planning to return the investment in full during year 5. So potentially, it could be a very profitable arrangement for an investor. The bank have said they think our business will be a highly profitable business, we have done lengthy research on the market and location and totally believe in the business but the fact of the matter remains, we cannot start up or take any further steps towards start up unless we have secured the rest of the money. We have registered for things like business angel agencies etc (which is where original investor was introduced to us) but was wondering if anybody knew of anywhere / any one where I could approach in search for another investor? The business clinic suggested that sometimes more informal networking for investment can be more successful but we are new to business so our network is very limited and we really do want to find an investor quickly so that we can take the next steps. Does anybody have any advice?
Thanks

Hello Where is your business going to be located?

[Funding Operation]

Investment and business angels Ah. firstly I wouldnt waste your time with a business angel network for the return you are looking at, business angels will be looking for a 10 times return on there investment within 3 to 5 years, government grants may be available but you have to jump through hoops. The best route is nothing you have not heard before family and friends, if you can get money there the other option to to secure a loan against your house or property, if you need help with this then we can help, the only other thing is to re-evaluate the business plan, can I ask are you purchasing a property for the business, if so is that necessary, We all the the notion of owning the business and property but does it make sense.

Also in my experience all banks love your business idea, especially if bricks and mortar are involved and they do love to say yes yes yes then a NO so be aware to get and receive a formal offer for any monies before you commit yourself. Any help needed just ask. GOOD LUCK

[chalkie99]

So, to cut through your post -

You want someone to pay for your premises, the bank to put up as much money as they can and A.N Other to put up the rest.

You are asking for a business with no risk to yourself! Not the way it usually works.

[The_Splat_Centre]

Hi guys, thanks for your responses.
Which_08, the business is going to be located in a coastal town just outside of Newcastle upon tyne.
Fundingoperation - Thanks for your advice. We would love to have family / friends in a position to invest but unfortunately they aren't. We are in the same position as many others in this economic climate in that our house is in negative equity so there is another option that we don't have. We are having to consider any other option available to us because acquiring this last amount is the difference between the business actually making it to start up and it not.
Chalkie, thanks for your 'observation'. I had posted on this forum under the impression that this forum was a place where people in business provided one another with good quality support and advice. It is all too easy to read a few lines from someone and cast a judgment or opinion but if that judgment or opinion isn't going to be in any way helpful to the person posting, you have to wonder the purpose of your reply, ie what is the point?. A forum like this is a fantastic resource to hundreds and thousands of people, but only if it is used properly. I can understand your response based on the limited information I had given you in my original post, but the information was exactly that: limited. Every situation, person, business is different - be aware of casting uninformed judgments.
Genuine thanks to everybody who responded.

[Ibebito Media]

Hello,

You can try http://www.angelinvestmentnetwork.co.uk

I have submit proposals and had some good responses.

Thanks

[JazMajor]

Hi... check out some lead generating companies.
They can give provide you a list of most profitable investment leads (http://www.qualified-investor-leads.com/investment-leads/) that will suit your requirements. ;)

[mjmark]

Have you tried checking out with some lead generation companies? they may help you get a list of qualified investors that may be interested in your business and meets your requirements.
hope this helps.Qualified Investor Leads is the rapid growing lead company in the country. Our company has launched solid and high reputation and continuously provides excellent service to our valued customer. Not only we put great value to our clients – we go beyond and above quality customer care.

[hopthink]

We are newly launched company, we are here to study how to promote the company.

[JamesCartwright]

We've recently produced an article on funding after setting up a business (http://www.wisteriaformations.co.uk/articles/index.php/start-up-funding-for-entrepreneurs/) - it might not be precisely what you're looking for, and I'm not sure if the avenues will produce the level of funding that you are seeking. However, it is a starting point, and reading it may inspire some of your own ideas and thought processes!

[Kevh1981]

I work for Loven Patents & Trademarks, a firm of patent and trademark attorney's based in Lincoln.

Whoever you approach for investment is probably going to insist that your business / product is adequately protected in terms of Intellectual Property. As a minimum, it may be worth acquiring a registered trademark now. It would also be worth making patent applications for any new product you may be developing.

If you would like any assistance or specific advice please contact me.

Kevin Hanson
<links removed>

[Mpg]

£50k for 5% that values your non existent business at £million. WOW.

What is your total budget for the property, startup, Everything.

How much is the total investment.

[Warren]

Hi all,

I'm new to this site but it seems you guys have many pearls of wisdom to share so thought I would ask for some help.

Myself and my husband are in the process of setting up a new business, we have identified an appropriate property, done a comprehensive business plan, been to a business clinic, had design drawings done etc so in terms of initial work, we have done a fair bit. We have secured an investor who is interested in buying the property for the business and we went to the bank yesterday in an attempt to secure the remainder of the money needed for start up (about £110,000). The bank love the business idea and feel our forecasting is very realistic but they have said they can only fund 50 -70% of the start up costs. My husband and I have very little savings so we are now in need of the final 30-50% (about £40k-£50k) and we cannot proceed without it. Our current investor has accepted a 20% stake in annual net profits and we are looking for an investor who will willing to offer the remainder of the money for a 5% stake (this is negotiable). The forecasting suggests a very promising return, with 5% generating 15k in just year 1. The figures continue to rise over years 2,3,and 4 and then we are planning to return the investment in full during year 5. So potentially, it could be a very profitable arrangement for an investor. The bank have said they think our business will be a highly profitable business, we have done lengthy research on the market and location and totally believe in the business but the fact of the matter remains, we cannot start up or take any further steps towards start up unless we have secured the rest of the money. We have registered for things like business angel agencies etc (which is where original investor was introduced to us) but was wondering if anybody knew of anywhere / any one where I could approach in search for another investor? The business clinic suggested that sometimes more informal networking for investment can be more successful but we are new to business so our network is very limited and we really do want to find an investor quickly so that we can take the next steps. Does anybody have any advice?
Thanks



Hi and congratulations on the new venture... If you are looking for funding you might want to try www . crowdcube .com (to few posts to list URL's so I've had to space it out).

Crowdcube gives the UK's best entrepreneurs and business pioneers a newfangled way to raise business finance by tapping into a 'crowd' of like minded trendsetters willing to invest smaller amounts of cash in exchange for rewards and a stake in their business.

This is the second post I have listed about this company today but I assure you that I have no association with them, I just read a good article on them and they seem to have excellent reviews.

Good Luck

[avalanche]

hopefully the business is up and running by now and making their investors a tidy profit, maybe they will report back

[mjmark]

What is your condition? Have you find what you need?

[Mpg]

My economise and I mortal really younger fund so we are now in require of the net 30-50% (active £40k-£50k) and we cannot occur without it. Our live investor has standard a 20% wager in annual net profits and we are search for an investor who testament fain to act the residuum of the money for a 5% mark (this is negotiable). The forecasting suggests a real promising acquisition, with 5% generating 15k in righteous assemblage 1.

What????????

[internetspaceships]

What????????

50 dollaaarrr I lurvv you looonnnggg tiime

[Mike tells it like it is]

Let me tell you where I am.

I would rather eat my own genitals.

I am out.:D

[internetspaceships]

Let me tell you where I am.

I would rather eat my own genitals.

I am out.:D

Mike, you been smoking something whacky?

[StartUP LunchBox]

Hi there,

I'm not sure if you're still looking for investment as your original post was a few months ago. I do have some suggestions though that might be worth checking out if you are still interested.

There are three routes I would suggest: 1. investment proposal hosting sites 2. crowd funding sites/platforms 3. local enterprise agencies/social investment funds.

Investment/proposal hosting sites allow you to post a description of your business including details on funding requirements etc. They will then have a subscriber list of investors with various interests who will receive details of your proposal. Venture Giant is one you could check out.

Crowd funding sites like Crowd Cube, suggested above, allow you to raise sizable amounts but from a crowd of investors. There are a fair number setting up in the UK and elsewhere.

Finally, and depending on your business and region there are a variety of local development agencies that offer grants, loans or investments. Also social enterprise or impact investment funds may also be worth a look depending on your business model and your interaction with the local community.

Please send me a message if you want more information. We have a database of about 1,000 investors including seed funds, angel groups, crowd funding sources and proposal hosting sites which we keep up to date for exactly this purpose.