No matter how great your product or business idea, if you're a new business, how lean you can operate, or even how big you’ve grown already, more capital and financial leverage will inevitably be a necessity for a successful business. Raising money and reaching out to find potential investors is a business skill like any other, and chances are you will keep using this skill throughout your career.
So knowing the difference between venture capitalists, private investors, small business investors, accredited investors vs. non-accredited investors, angel investors etc, will help you when seeking funding.
Keep in mind when securing investors for your small business, the person you’re speaking with has probably heard from many other small business owners, meaning you probably have some competition. So a key in locking down an investor for your small business is to ensure your pitch stands out. Investors need to be assured their money is going into something not only profitable, but unique.
Your pitch will be the first thing that introduces your business, so it needs to have them hooked within the first 10 seconds. Once you have their attention, you can start getting into the nitty gritty.
After you nail down your pitch, you can move onto finding the actual investors. It might be in your best interest to tailor your pitch depending on the particular investor you are speaking with.