Billions For Business Funding

Psssst. Hey, you. How would you like a few billion dollars in business funding?

Guess what. It is there. Waiting patiently for the right project to come along.

$44.8 million funded from venture capital today. $77.1 million funded yesterday. $63.3 million funded the day before.

These numbers are not made up. They are actual numbers from actual reported venture capital funding. I get these notices emailed to me day after day, rain or shine.

Where in the dickens does all this money come from? You?d think that with the economy in the trenches, everybody would tighten up. The truth is that everyone IS tightening up. But the truth is also that there is still a lot of money there for the taking.

This seeming contradiction is actually very valid. Venture capital works on a delayed time frame. A few years ago when things were really good, venture capital firms gathered together hundreds and hundreds of investment funds. Literally billions of dollars was put into these funds.

Well, prudent venture firms can?t invest all of this money all at once. So a lot of it is still sitting in those funds, waiting for the right opportunity for business funding to come along. These numbers are a constant reminder to me that companies ? lots of companies ? are getting funded every day, that there is still a lot, a LOT of money in those funds.

And these numbers just reflect the reported venture capital funding. There is probably double that amount from angel investment and unreported business fundings, and millions more from the multi- billion dollar pool that SBA has this year.

All in all, it?s a lot of money. That?s a lot of companies and banks and groups and individuals actively investing in small business.

So how come you?re still looking for financing?

Perhaps you aren?t presenting your company effectively.

Or perhaps you haven?t located the right lender.

It?s also possible that your concept just isn?t very good, but I doubt that. The fact that you are reading this article means you are a serious entrepreneur, with a serious business.

So where do you go to find all these investors? Here are some starting points:

Small Business Administration. A lot of businesses do start there, and a lot of businesses do get funded there. There are great new business funding programs for veterans, and a number of special business financing programs for minorities.

Your Local Banks. Yes, that is plural ?banks?, not singular. Don?t depend on just one bank. Talk to several and see what they can do by way of line of credit or loans.

Angel Investors. There are now several hundred Angel groups throughout the US. Find the ones near you and apply to submit your proposal.

Venture Capital. Many venture firms are using venture lending as a way of learning about a company before investing many millions. It is a great option for a lot of startup companies, or those ready to take their companies to the next level.

Small Business IPO. The NYSE is notoriously expensive, and the process is hugely time consuming. But there are other options for the serious business that wants to raise financing.

Cash Advances. For existing companies that use credit cards, this is becoming a very viable form of business funding.

Equipment Leasing. With an equipment lease, your initial investment costs will decline dramatically, and is a strong option even if yours is an existing company.

There are lots of other options too, but these are the major ones for most businesses.

Most of these options require that you have a business plan. And not just any old business plan. In tough economic times, it is only the strong business plan that will get funded. A strong plan won?t guarantee your funding, but a weak one will guarantee defeat.

No matter how much money is there, all lenders and investors are very wary of every type of business funding. Your proposal needs to be great, and it needs to be presented well.

A window of opportunity is still open. No one knows when this amazing window of business funding opportunity is going to close. Spiffy up your business plan and go for it. Now.

MaryAnn Shank, webmaster of http://www.BusinessPlanMaster.com and http://www.YourNetworkMarketingCoach.com, helped slews of businesses survive after the dot-com bust, and it is at it again with our current business slowdown.