Private equity investors – An excellent source of capital for your business.
Private equity investors are private individuals who contribute their skills and money to start-up companies. Typically these private equity investors are successful entrepreneurs that offer their expertise, experience, and contacts which are invaluable to your new venture.
Private equity investors mainly focus on the personality of the business owners as well at the potential growth of the business. Although their expected rate of return is high, the payback terms are generally more laid back than traditional funding sources such as venture capitalist.
Many business owners have realized the major advantages to having a private equity investor for their company. The benefits include:
• It takes much less time to meet with and receive funds from a private investor than a typical venture capital firm
• The due diligence is substantially less involved and they typically expect a lower rate of return
• Usually they take less control in the management of the business, setting of targets, and staffing
When approaching a private equity investor have a good business plan in place and ready, so that you can represent your business effectively to the potential investors. Include in the planning details on how the money will be paid back, and how the investors will be compensated. Having a good plan is extremely important to the overall success of your approval.
Tell us a little bit about your business and we can help match you with a list of investors and lenders from our free business funding directory. We have over 4,000 sources of funding, and we help narrow down those options to the best companies that will work with your business financing needs.