Is it the Right Time to Bring an Investor on Board?

Investors are able to invest in shares of your business, giving you more capital to grow your company. They can be a good source of business finance, offering you flexible options to bring money into your business so that you can move it in the direction you want to. Some times will be better than others to bring an investor on board, having more of an impact on your business and allowing you to make bigger changes. There may be times when it isn’t really appropriate to bring an investor into the picture, as you have the money you need already within your business, or you have personal finance options that you can utilise. However, there may be times when that extra injection of cash will make all the difference and will allow you to do things with your business that you didn’t even know were possible.

Are you wondering whether now is a good time to offer shares of your business for investment? There will usually be something that happens, or a specific goal that you have, that will tell you whether the time is right. It’s then up to you as the business owner to think through your options and perform in-depth analysis to come to the best conclusion. These are some of the situations in which it might be beneficial to seek out investment:

  • You need a cash injection to expand your business physically. You initial business ambitions will often see you outgrowing your premises as you succeed, which is a good reflection of your success, but means you need money to grow. An investor could help you take the next step towards bigger premises, or perhaps premises that you actually own.
  • You’re taking your business to the next level. Many people choose investment when they are moving their business into a new area or are looking to take a slightly different route. This can help you to plan for the future and adapt your business.
  • You are just starting out. If you own a start up business, investment can help you to get it off the ground. This will allow you to have the cash you need within the business, so that you can begin putting your plans into place.

How to find out more about investment options for your business

Of course, just deciding that you would like an investor isn’t the whole picture. If you want to follow this course of action, you’ll then need to actually find appropriate investment opportunities. One option that some businesses are finding useful is crowdfunding. This is where people can invest in your business without needing lots of capital. Your investment comes from multiple sources, making it more viable for everyday people to invest. If you want one investor (or a couple of investors), talking to a business investment planner can help. They not only offer advice, they also have lots of contacts so they can connect businesses with suitable investors, based on the criteria that both parties have.