Startups | Venture Capital | Angle Investing | Loans | IPO | Smart Investments
Startups | Venture Capital | Angle Investing | Loans | IPO | Smart Investments
RAISING FUNDS
THROUGH MOTIVA8
RAISING CAPITAL
How Raising Capital Works
It’s all rather simple !
Hidden underneath the fancy jargon and unnecessary complication, the raising capital for business is alarmingly straightforward. Investors are rich people (or representatives of rich people) who give you money on the basis of your promise to return a lot more money back to them at a later date.
Your promise to give them more money back is just that, a promise. So they must assess the likelihood of you keeping your promise. This process of investors assessing how likely you are to keep your promise is called “diligence” .
They receive hundreds of such unsolicited promises every week. These promises come in the form of business plans, presentations or “pitch decks”.
Almost all of these promises will not be kept.
Usually only 2% of businesses that try and get funding are successful in raising money and of that 2%, only 1 in 10 will be successful in keeping their promise of returning money to their investors. In other words, of all the promises that get made to investors while asking them for their money, only 0.02% of those promises will be kept.
It’s not hard to see why investors are right to be cautious. In most cases they will lose all their money.
What Are My Chances ?
Let’s not mince words ! If you try and raise capital on your own, your chances of success are less than 2%.
There are over 10,000 pitch decks and business plans generated every week and almost all of them feature an incredible idea backed by a founder who believes that all that stands between him and incredible fame and fortune is the ability to raise capital. If he could just get his hands on the money, great success would immediately follow.
This is simply not true.
Without the right advice and guidance, almost all businesses fail. Good ideas, like good intentions, are never enough.
If you choose to embark on this challenging journey of raising capital, on your own, it is possible that you will succeed but it is highly likely you will not. Statistically speaking, your chances at successfully raising capital are less that 2%.
Partner with the right advisor and the story begins to change. Your fund raising partner brings along invaluable experience and all the learnings that come from having successfully done it all before. Think of it as driving to your destination with the best navigation tools in town.
Unlike some of the other advisors you may come across, Our approach is honest, forthright and sometimes brutally direct. Very early on from our engagement,We will be able to form a view on your chances of being successful at raising funds.
- Does your business need capital ?
- Can you build a successful company ?
- Can you be trusted with capital and
- will you use it carefully ?
These are some of the key questions investors will consider and if We feel that the answers to some of these are in doubt, We will simply say so and we will part as friends who chose to not work together.
If on the other hand, you are one of that rare breed of founder that has the sheer courage, determination and perseverance to build a truly valuable company that can create value and keep its promises to investors, it would be both an honour and a pleasure to join your team and help raise the capital you need.
If we decide to work together, your chances of successfully raising capital are closer to 51% .
We look forward to hearing from you inspire@motiva8.com
GETTING YOU FUNDED
While there is no magic formula, our chances of success are greatly increased by following a process.
1 . First, we will connect and engage and get to know each other. We will be happy to hear about the business and the details of your journey so far. What were your motivations ? How did you come across the idea ? How far along the road are you on execution ? How is your company set up ? Why do you need the capital and have you tried to raise capital before ? There is whole lot more to this mutual discovery process. Are we the right fit for you ? Have we worked in your industry before ?
2. Next, the hard part. Decision time. How sure are we that we will be able to help successfully raise the capital. How convinced are you that We can get you the results you would like. Do we get along and are we likely to enjoy working together ?
3. Once the match-making is successfully done, that’s when the real work begins. Business plans, pitch decks, investor target lists, communication plans, introductions and connections and everything else that we may need. We will jointly create a “roadmap to achievement”. Milestones, timelines, course-correction mechanisms, all woven in to what Brian Tracy calls “The Flight Plan”.We will drive the process but always with your active participation. It’s a “two-man” job, at the very least.
4. Together we will create an action plan. Decide a set of responsibilities and accountabilities, keeping us both true and committed to the process and focused on the journey. We will create our very own “who/what/when document” (who has agreed to do what by when) to guide us along the way.
5. Together we will then set off on this exciting adventure to transform your life and deliver on what you know deep down, to be your real potential. It can take anywhere from 6 to 8 months to complete a successful fundraise. We will work together and partner till we achieve the outcome we desire and get your company funded.
FEES AND CHARGES
Fund raising is a very intense process. It takes not just expertise and experience but also a huge amount of hard work and perseverance.
We aim to be your partner on the journey from beginning to end. Often these partnerships last for multiple fund raising assignments, lasting many years.
We will be truthful, practical, forthright, constructive but always brutally candid and honest. We must only set off on this journey if we are both convinced that we shall get the results and succeed in our endeavours.
You should be ready to invest between Rs 35000-Rs55000 per month during the fundraise process on assignment and retainer fees. There is a final project fee of 5% of the capital raised along with 1-2% participation in equity from our side, that is payable upon successful conclusion of the fund raise. The assignment fees are adjustable against the final project fee.
All assignments must run for a period of 6 months at least, unless both parties agree to terminate early with mutual consent.
Most fund raise assignments take almost twice as much time and three times as much effort than anticipated. The other assignments? Well they simply never achieve success at all !
A small investment in such a partnership can improve the odds of success from 2% to 51% .
A very worthwhile investment in you and your business success.
Email us to get started inspire@motiva8.com
WORKING TOGETHER
YOUR QUESTIONS ANSWERED
How do you know if you can help me achieve my goals?
We can never be sure, until we get a chance to speak to you or meet you and get to know you. Once we have had our initial consultation, we will very quickly get a sense if we can help. We will work together ONLY if we believe we can help and that we have a proper chance at achieving your goal and successfully raising funds for your business.
How long will it take to achieve the funding ?
That would depend on the nature of your fund raise, how much capital you are looking to raise and how attractive your company is to potential investors. Usually the process can take anywhere from a 180 to 240 days.
Are the consultations in person or remote?
we are equally happy with either. In person meetings where possible are a great start point but video conferencing is often sufficient to get the process underway. Our offices are based in Central London. Kolkata, Jaipur, Mumbai, Delhi, Moscow, but we work with clients and investors from all over the world.
How much will this cost me?
If you have the financial means and you have the desire and intent, the initial consultations are always free of any charge. Helping in any way we can is a joy and we look forward to it.
If we decide to work together on an ongoing formal basis we will agree the fee structure and a payment schedule that would work for us both. Given the nature of our work together the investment is worth it. The fee is is between Rs 35000-Rs 55000 per month and is non-refundable. There is final project fee payable of 5% of the capital successfully raised and some participation in equity.
When is a good time to start?
The best time to start would have been yesterday and the second-best time to start would be tomorrow. How important is your fundraise to your company and how keen are you to achieve results. The quicker you start, the quicker you can see results, there is never the perfect time. It is our job to make the time to help you with whatever you need as soon as you are ready to start.
An initial no obligation conversation is welcome.
We are here to help you with your fund raise efforts.
We look forward to hearing from you
You can also quickly get in touch with us here as well !
32 South View Court, Woking, Surrey GU22 7RP
