Scale Up Funding

Funding to scale a business is the holy grail for many founders.  Thousands of books, networks and advisories are literally dedicated to navigating the incredibly complex and tumultuous terrain for accessing and obtaining funding for a business to scale internationally or nationally. 

New Day can help you identify what your funding needs, short and long term goals are and help founders get clarity on the pros and cons of the type of funding they seek and assist them on their funding path.

There following are the primary ways businesses are funded to achieve scale: 

  • Loans: Loans you to retain full control over your startup; however, you must repay with interest. Most traditional lenders, such as banks, will lend only to established companies with strong financials. 

  • Investors: These come in a wide variety for founders looking to scale their businesses.  They include but are not limited to:

    Family Offices

    Venture Capital Firms

    Corporate Venture Funds

    Private Equity 

    Crowdfunding: Investment crowdfunding is an effective way to tap a community or crowd of supporters that are willing to  invest in your business.  If you are an underrepresented founder such as a female, Black, brown or veteran who has historically been denied access to traditional VC funding, equity crowdfunding has proven to be a very successful alternative.

    Franchising: Most founders NEVER think of franchising as a fundraising vehicle. However, franchising is one of the most effective best kept secrets to funding a scale-up.   And most importantly founders lose no equity.  Founders gain:

    Capital

    Brand Recognition

    Human Resources

    New Market/Location Traction

To determine the right type of scale-up funding for your business and improve your chances of receiving it, follow these steps:

  • How much funding do you need?  Determine  how much money you need before you start submitting applications or reaching out to your network.

  • Develop a strong, financially sound business plan. Many potential investors will require a business plan. This document should outline your business model, funding needs and how you plan to turn a profit, among other things.

  • Compile key documents. These can include business and personal tax returns, bank statements, business financial statements and any legal documents relating to your business (such as articles of incorporation, a commercial lease or profit and loss statement).

  • Decide which type of funding is right for you. Do your research to make sure you understand which type is best for your business and then target your applications accordingly.

  • Create pitch, sales or investor decks. These are critical for getting your business noticed and funded. 

If all of this seems overwhelming to you, please reach out to New Day.  We have a team of advisors that can help you with every step of this process.  

 

Do not go it alone, waste valuable time and money and end up aborting your business dreams.  Call or email us today.