M.J. Gottlieb, a startup and entrepreneur blogger and author, offers tips for entrepreneurs on how to avoid common mistakes when trying to secure capital.
• Dont over-sell your product or service: Pitch your product or service to your potential investors once. When entrepreneurs fail the first time, its hard to keep the attention of the potential investor on a second try.
• Listen while you pitch: Engage your potential investors by offering them opportunities to respond during your pitch. Also, if your investment is denied, listening to feedback will help you learn how to make your next meeting with a potential investor successful.
• Dont overvalue your company: Approach investors with a figure in line with what the company is worth.
• Offer realistic revenue projections: Its hard to project revenue when your company is not yet operating. However, entrepreneurs should do research to come up with realistic figures.
Source: M.J. Gottlieb/N2ITIV Solutions