Setting out as an entrepreneur is an exciting time. An idea enters your head and you are ready to run with it. However, the first setback usually encountered is money. Here are a few suggestions from the founder of James River Capital, Paul Saunders. There are many options to try. If one does not work, try another.
- Crowdfunding: There are many websites out there these days that allow the general public to support business ideas. Just keep in mind, you will have to market your idea to get people’s attention.
- Bootstrapping: Use your own personal funds or borrow from friends and family to get your business going. This can at least get your idea off the ground so that the investment would be more appealing to outsiders down the road.
- Get a Loan: This could be a business loan from a bank or a local loan. There are many resources within communities to help local businesses set up shop. Stop by the Chamber of Commerce or local business development center to ask about available resources.
- Pitch your Idea to Venture Capitalists or Angel Investors: An angel investor is usually an individual and a venture capitalist uses the money of clients to invest in promising companies. Just be aware that these groups will want to see a high return on their money and quick. Go in with a solid business plan and be over prepared for your presentation.
- Trade Equity: Offer stock in your company in exchange for capital. This means you incur no debt, but are giving up some ownership and control of your business.
James River Capital Corp. was founded in 1995 by Paul Saunders and Kevin Brandt. This independent investment firm is located in Richmond, Virginia. James River Capital Corp is a registered Investment Advisor with the SEC and Commodity Trading Advisor as well as a Commodity Pool Operator with the CFTC.