It is easy to think that raising finance for your business will be hard when banks are not lending, people seem to have less money to invest and the economy gets worse.
However, nothing could be further from the truth. There are very generous tax breaks for people who invest in businesses like yours, there is more money for investing than ever before and there is a completely new type of investor that is waiting to invest in you.
After more than thirty years as an entrepreneur, I have come to exactly the same conclusion. I could even go further; I am now convinced that the single most important success factor for any entrepreneur is their ability to find and then retain good mentors.
It is often assumed that raising external, or third party, equity is a prerequisite to business success. In the majority of cases, this could not be further from the truth. Most businesses start with very limited funding. This is typically provided by the founder, or by family and friends on an informal basis. As these businesses develop, they bootstrap their growth, using their own profits and assets to finance their needs. As a result, they get to keep their potentially valuable equity in the hands of the founder or the family, along with the choices and freedom that brings.
The following interview with Stuart Miller, CEO and co-founder of ByBox, the logistics business, is part of ‘The Entrepreneur Interview’ series by Guy Rigby, Head of Entrepreneurial Services at Smith & Williamson.
Getting the right offer for your business will require excellent negotiating skills and a good dose of psychology. The price you eventually receive will be affected by scarcity, demand, emotion, vision and competitive tension. This is a potent mixture and the sell side objective must be to get the buyer to the point where it would be an unmitigated disaster if he lost the opportunity to someone else.
An interesting development in the mergers and acquisitions (M&A) market is the emergence of the hybrid private equity/trade buyer – a kind of private equity buy and build approach, in contrast to the classic trade buyer who bids for businesses in the same industry in order to achieve potential synergies and cut costs through economies of scale.
The impact of management is often underestimated within organisations, and many managers get little or no training or feedback to help them improve. In this article, I want to highlight some of the common mistakes made by untrained managers and some simple tips on how to address them.
Posted on 14th August 2013 in Great British Entrepreneur Awards.
Someone recently asked me ‘what makes an award-winning company?’ I gave them the rather trite answer ‘they win awards.’
There is a searing truth in my response as over the years, while I’ve met some good businesses which have won awards, and I’ve met heaps more who haven’t, and the defining factor was the former bothered to enter.
The best way to prepare your business for sale is to put your mind into that of the buyer. Consider what buyers and their advisers will be looking for when they come knocking on your door. If it’s not available they’ll lose confidence. If they lose confidence, the deal may collapse or you’ll end up on the back foot, compromising on your terms or accepting a lower price.
In the latest in a series of interviews with the judges for the Great British Entrepreneur Awards, Fresh Business Thinking caught up with Molly Bedingfield, founder of the Global Angels Foundation.
When it comes to celebrating successful entrepreneurs and business owners one lady who knows all about it is Rachel Bridge. Following a highly successful career as a business journalist Rachel has gone on to publish several books focusing on entrepreneurs and their success stories.