| As a business consultant, I see more entrepreneurs | | | | What about the entrepreneur who has a unique |
| not able to obtain funding than I see entrepreneurs | | | | product everyone wants but the entrepreneur does |
| obtaining the necessary money to see their ideas | | | | not know how to delegate? He is brilliant and can do |
| transformed into a viable business. This difference is | | | | everything better than anyone else. No one else can |
| very large. It maybe one idea is funded for every 10 | | | | do a task well enough to satisfy this entrepreneur! |
| that go unfunded but it may be as high as 1 is | | | | This entrepreneur needs to make the sales call, make |
| funded with 100 never obtaining a nickel. This kind of | | | | the product, ship the product, and do all the |
| difference and the struggles of the entrepreneur | | | | administrative tasks. The company can make, sell, |
| who is frustrated by not ever seeing his idea | | | | invoice or collect enough to make the company |
| transformed into reality and making him rich, prompts | | | | viable. This is an example of a great idea headed |
| the question; is there enough funding for new ideas | | | | nowhere. |
| and companies? How one market's the idea can | | | | The entrepreneur's answer to what was discussed |
| sometimes be more important than the idea when it | | | | above is that this is can't be the case with his idea. |
| comes to obtaining venture capital. | | | | The statistics say otherwise. Of those ideas that get |
| The entrepreneur would quickly and resoundingly | | | | funded, only one in ten produce a profit. Would you |
| answer the question with a "no"! Many entrepreneurs | | | | invest your money in a company that you have only |
| have a hard time or are unsuccessful in getting | | | | a 10% chance of getting back your original |
| money. Their idea is not the problem; it is that there | | | | investment, let alone a profit? |
| is not enough funding available. The reality is that | | | | If you invested into this company you would want to |
| making additional money available to this group of | | | | understand what it does, why it is unique, why |
| entrepreneurs who have been unable to secure | | | | people would use the service or buy the product, |
| funding, will not create more companies and in turn | | | | who is the competitors or potential competitors. |
| more jobs. How can this be? | | | | What is the potential share of market? Some |
| These ideas, that are not funded, whether for a | | | | entrepreneurs have their company growing by 20% |
| service or a product, are really not "better mouse | | | | every year forever. A company can not grow by |
| traps" or the entrepreneur is seen by potential | | | | 20% forever. There comes a time when the market |
| investors as unable to successfully implement or allow | | | | is saturated and all the need is full filled. How, when |
| the things required to be delegated to achieve a | | | | and how much money will I receive from my |
| successful venture. | | | | investment into the company. Unless an entrepreneur |
| Most people do not appreciate how hard it is to | | | | can answer these questions and more like them, the |
| provide a service or make a product, inform their | | | | entrepreneur will not receive the funding they desire. |
| target market about the product, get the product or | | | | By the way, most entrepreneurs I have met can not |
| service to the person who wants to use or buy this | | | | answer these questions. Nor do they understand the |
| service or product and finally make a reasonable | | | | need for a proforma and market analysis. |
| profit while doing and paying for all the previous | | | | There is, in my opinion, currently enough funding for |
| mentioned tasks. Some entrepreneurs fail to factor in | | | | new products and services, whether this funding is |
| what capacity and talent would be needed to | | | | from private investors or through the government. |
| accomplish the launch of their idea. | | | | What there is, is a lack of is well thought out and |
| Entrepreneurs become passionate about their idea, as | | | | well presented ideas to access these funding sources. |
| they should, but they also need to be realistic. Just | | | | For more entrepreneurs to be successful, they should |
| because you can produce a fuel for the combustion | | | | get help in thinking through their idea, do an objective |
| engine that is made from a renewable source, and | | | | market analysis, write a great business plan, present |
| will not cause pollution why would people pay $10 a | | | | the plan and hire the talent necessary to implement |
| gallon for it when they can get a petroleum based | | | | the business plan. With great planning, thoughtfulness, |
| fuel for under $3 a gallon? | | | | and completeness ideas will get funding. This will |
| Would you invest your money into a company the | | | | create many more successful companies which will |
| produces a product that the consumer is willing only | | | | produce more profits, which then can be used to |
| to pay $15 for and it costs the company $30 to | | | | fund more ideas. |
| make? | | | | |