Money Magnet (ePub)

The number-one issue for every entrepreneur is Money--getting
money, raising money, convincing investors to give you money.
Whether you are a start up, a small to mid-sized enterprise, or a
$100-million company, your biggest problem is always money. There
is currently a mad rush towards private equity--the new, hot
way to get financing--but it remains a mystery to most
entrepreneurs and owners/managers of SMEs. Money Magnet
unlocks the puzzle of private equity financing and shows how
understanding private equity is the first step to growing wealth in
your business.

Historically, the most common ways to raise financing for SMEs
was through bank loans or through the stock markets. But banks are
notoriously risk-averse and conservative in lending to small
businesses, and the great bull market is over. For most small and
medium sized companies, the small cap public issue market is no
longer a viable source of financing. Enter private equity. There
are billions of dollars of private equity funds available in Canada
and millions of SMEs looking for money, but the two don't
always know how to find one another and, when they do, usually
don't speak the same language. This is the book that explains
to business people what private equity financing is, how it works,
how and where to find it, how to be successful in attracting it,
and all the advantages and disadvantages of raising financing in
this way.

Money Magnet is for entrepreneurs in emerging growth
companies who are seeking financing and want to explore the
benefits of the private equity option. In language that
entrepreneurs understand, Jacoline Loewen demystifies the world of
private equity in this simple yet comprehensive guide. Money
Magnet explains what private equity is and how it works;
compares it with traditional sources of financing, such as banks
and stock markets; explains the different types of private equity
investors (e.g., angels, venture capitalists, fund managers and
institutional investors); outlines the benefits and pitfalls;
describes how to meet venture capitalists and fund managers; shows
how to make a convincing pitch to an investor; reveals what makes
investors cringe and what makes them open up their cheque book;
provides strategies to deal with the four brutal questions all
investors ask; explains in detail the deal process and the deal
sheet; gives advice on common conflicts between investors and
entrepreneurs and how to manage them; includes a detailed checklist
of what an investor wants to know about you and your business; and
much more.