Innovation Capital: The Hot “New” Global Contact Sport
Money Alone Never Helped Any Business
Securing capital is only partly about getting money. Investors—from Branson to Buffet—are scrutinizing (to trust) the managers of the business.
Understand this. You are receiving credit from private lenders and banks. Lenders and investors put steep claims on your business.
Nonbank lenders are neither underwritten nor subject to standards under the Federal Reserve system.
The introduction of challenge currencies (crypto), hyper-fast global market trades, crowdfunding… and hacking have added risk to your proposals.
In the New World, private lenders are businesspeople. As such, they act with a more critical sense and vision than most bankers dream about. They are also more exacting when it comes to telling your story to get money.
Investors will sometimes judge the innovator’s character as if it is the project itself. The most common mistake borrowers make in the current climate–not being transparent and honest. Breaking trust.
Lenders and investors want to know the character of the borrower as a measure of reliability; they want to know if a borrower has his “skin in the game“; they want to know the project’s actual near-term cash flow. They will explore the sources of cash the business generates toward payback and profit.
They are looking for the return of the principal–much as banks do. But, unlike banks, they are often also intensely focused on payment quality, consistency, project completion, and eventual expansion or sale.
The Art of Business Finance for Med-Tech
Proper financing is a value-adding process, not an event. (Please re-read this.)
I assist in preparation for, introduction to, explanation and management of the loan/deal due-diligence process. I have acted as a borrower broker and legal representative. Targeting and selecting the right business financing comes out of a wide and ongoing discussion about how what advantage this business brings to its industry.
Invariably, the business will need a partner, strategic refocusing, a better plan, and a marketing message that will achieve the revived purpose.
Strong relationships, the know-who and the know-how in real business, foster critical management decisions. Generally these understand the nature and power of accurate, full and meaningful communication between key parties.
Throughout my research I have confirmed that clear leadership and business discipline are complementary sufficiently to make a business fun.
Interdisciplinary thinking adds measurable value and fosters scalability. This means marketing and financing are co-contributors to success. Such coordination by management allows and enable new approaches, structures, technology, processes, and products—and the growth of your best people. These results can and should be documented and measured.
How We Start
If you have a project you intend to scale and would like to see what we would do for you—contact me by email: email@example.com. Attach a (general but concise) business summary–your project parameters, cash into the project so far, your contact information. If there appears to be a fit, we might schedule a 20-30 minute call.
Deal-based coaching programs are available. You will master your business and know exactly how to present its maximum value. I provide everything you need to prepare, refine, and present yourself and your project/business for growth and when you’re ready, for fresh funding or a partner. Interested? Ask about this.
Who Does Best With This Process?
Ask yourself these questions…
* Capital Are you short critical funding for a well-researched & design project, technology or innovation? [Most businesses limit their ask out of a sense of false humility, when strong, steady, growth is an investor’s measurement!]
* Externals Are Federal/State financial “policies de jour” choking your decisions? Are they affecting your staff and employee ability to grow your company?
* Image Are your design, innovation, or development project failing to achieve REAL traction with investors? [Most often this is a repositioning effort—an ineffective message about of perfectly good idea. Or, you may be talking to a competitor and now know. Consider these methods to overhaul your marketing.]
* Exit Do you think more often about (building up) your business for acquisition or merger? [It may be easier than you think.]
* Sophistication Are you are open to debt, equity, trade, structured, note or bond financing, or a combination of these–but not sure where to get started? [Federal regulation and global volatility have changed the rules the landscape—sometimes for the BETTER.]
Ever hear this expression: “You’re too close to the trees to see the forest?” Please don’t be offended. The world HAS ALREADY changed, lots of people are changing their views, and their processes and practices. It’s not easy. You probably cannot go it alone.
If you have a project, let’s talk.
But please, first…
Summarize your project. In a brief note summarize your needs, what problem your business solves/what it is about, who you key people are, and your budget summary. Add your phone and email contact info. The review is confidential.
If you provide neat and accurate contact and business information we will respond, directly and personally, within 48 hours. Worst case? You will learn a lot about your business from our process.
Best case—you will be on your way!
Managing Partner, Trusted Advisory, Innovation+Funding Advisory
Note: To support all parties we adhere to a very strict self-imposed code of ethical and professional conduct. Your confidence is assured.