One of our Business Doctors, Kevin Cook, was recently asked to contribute to Gazprom Energy’s monthly Business Basics series. The series provides a platform for industry experts and business leaders to share tips for entrepreneurial business owners and SMEs, guiding them through some of the most difficult aspects of running a small business.
For the latest edition of the series, Kevin discussed one of the most pivotal stages in the lifecycle of a young business – securing funds. Sharing his wealth of experience and expertise, Kevin provided detailed insight into how to identify the level of funding needed, where to find it, and how to secure the necessary funds.
One of the big questions many businesses face when starting out, or attempting to stimulate growth, is where can they source the necessary funds? From securing the patronage of an angel investor to identifying the most appropriate bank loan package – there is a range of financial resources available to small businesses.
Whilst there isn’t a one-size-fits-all answer to the question of where to source funding, Kevin dug deep into his experience to share his knowledge of different financial resources, and the situations they best suit.
After identifying the most suitable financial resource, business owners must ensure their operation is in the best possible shape and health, to improve the chances of securing the most favourable financial resource. In this Business Basics entry, Kevin goes on to discuss how to make sure an SME is in the best possible shape, and how to demonstrate this good business health.
This point brings us onto the value of a well-crafted business plan, and series of fact-based and proof-backed forecasts. Kevin discusses the importance of demonstrating a high-level visionary plan, giving potential investors something to get excited about, and something to reassure them that their funds are in safe hands. Alongside the numbers and facts, Kevin suggests this is a time for businesses to be a little creative, demonstrating exactly what sets their business apart from the competition, and what makes them a worthwhile investment.
During the make-or-break stage of a small business’ life, there is a whole host of potential pitfalls and problems to avoid. From insufficient business plans to insecure financing details, there are many potentially-damaging problems to avoid. Kevin’s Business Basics Q&A can help SMEs navigate the most difficult waters during this decisive stage – and can increase the chance of successfully applying for funding to take the business to a whole new level.