You should therefore obtain appropriate advice before

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Unformatted text preview: ture capital is right for them. You should therefore obtain appropriate advice before seeking a financial investment in your business whether by venture capital or any other means. This is not an exhaustive guide and businesses wishing to raise finance are advised to seek their own professional advice to ensure the particular circumstances of their individual case are considered. The nuts and bolts of finance for the small business… This publication will help you get the right advice and finance for your business, in particular it will help you identify whether venture capital is an option that you should consider. It may be appropriate for even the smallest businesses. "Finance without debt" asks the business person to consider the basic questions which face every business: What further financial risk exposure are you willing to take? How much control are you willing to give up? Does the business have a long-term strategy? Have the effects on the rest of the business been considered? It recommends you to prepare an outline plan for your business over the next one to three years. This will help you identify your business objectives and answer some of the fundamental questions above. It will help you identify the right solution for your financing needs and then seek advice from one of the sources listed in this publication. Assess whether the adviser has the appropriate skills by asking them what experience of fund raising they have. It is likely that many business people will decide, for good reasons, not to seek venture capital funding. This publication also helps them to identify what other forms of finance may be suitable. The glossary provides a description of these. Venture capital can offer many attractions but raising it can be time consuming and expensive. It is important that each business assesses carefully how the balance of advantages works out for them. 2 Sources of Venture Capital under £250,000 Contents FUNDAMENTALS OF FINANCE An explanation of the basic question related to raising finance - Why are you in business?" The answer to this question will affect how you run your business and what type of finance package is suitable for you. THE RIGHT FINANCING PACKAGE This section aims to guide you to the most suitable form of finance for your business. It includes a flowchart, together with a commentary on the questions. You should look at the flowchart and think about the questions before consulting an adviser - this will provide your adviser with a useful starting point for a discussion on your business' financing needs. Remember that the flowchart on its own is not enough - you must seek advice to ensure that you have properly understood and considered the questions and to help you select the other elements of your package of finance . SOURCES OF ADVICE This section describes a number of organisations that you may approach for advice and will help you work out which one is most suitable for you. RAISING FINANCE An outline of how to go abou...
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This note was uploaded on 02/27/2013 for the course GBMT 300 taught by Professor Javierwujie during the Summer '12 term at University of Wisconsin.

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