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4 Ways to Help You Acquire Funding From International Investors

International investors can be a great opportunity for businesses just starting up who are in need of capital.  Let’s take a closer look at ways you might be able to get the international funding you are looking for.

Many startup businesses face challenges in obtaining working capital for growth.  They are continually competing in a world that is overcrowded with businesses referred to as a business ecosystem. The business ecosystem comprises of organizations such as suppliers, distributors, competitors, etc, that are involved in the delivery of products or services. Unfortunately, this is the biggest reason why so many new ventures will fail.

A study performed by CB Insights discovered that approximately 29% of new startup businesses fail because they run out of money.  Now you can see how really critical having enough money is for both small and medium-sized businesses,  even though there are other factors that add to a business not having access to funds.  Not having a good ranking makes it very difficult to receive funds because of the strict demands set by most financial institutions.  Adding to that, there are hundreds, if not thousands, of startups, both small and medium, popping up on a regular basis, making it very difficult for businesses to get investors from normal sources.

Businesses that are determined to succeed, despite the challenges, are now broadening their searches in the global arena for better opportunities instead of staying local.

There are several other avenues for receiving needed funds such as private equity firms, venture capitalists, and other investors that are more than willing to place their money on businesses that are located outside their own countries.  As an example, Finland attracted approximately $241 million from foreign investors last year alone.  This shows just how hungry foreign investors can be for businesses that are looking for funds.  If you decide this is a good option for you, here are a few things you should keep in mind when searching for global funding.

Place Documentation & Compliance In Order Of Importance

Regulations and compliance issues vary greatly from one region to another.  Investors from foreign countries must ensure your business is in compliance with the regulations in your country so they will know their investments will not be fined for breaking rules.  You must show that your business complies in all areas including relevant employment, benefits regulations, FDI and banking regulations.  Your business structure must comply with all set rules and regulations within your region or country.

Your documentation must be up-to-date and complete in order to remain in the market of seeking investments.  Your documents must have detailed descriptions of your competition, pricing, and financial model, organizational structure, your business leadership, description of your products and other relevant documents that will ensure that your business is ready to take off running once you have delivered your pitch.

Understand Fees & Charges When Using A Finder Service

There are many businesses who choose to use a Finder Service when looking for overseas funding.  Finder services can be an individual or a company that helps a business locate potential partners or investors.  Even though these services make it easier to secure funding, they also come with a high price tag for their finder’s fees.

In the United States, it’s common practice for finders to use the Lehman Formula to calculate how much they should charge a business once funding is secured.  Therefore, be aware that paying anything over 10% for any amount of funding is considered exorbitant.  You must stay on top of finders’ fees and choose wisely.

You will be dealing with dozens of currencies from potential foreign investors so it’s really important you know your way around the forex market.  Banks and other financial institutions will usually add as much as 3% markup above the market rate or most currency pairs, costs that may lead to your business getting less in the way of funding.

Also, stay up on recurrent charges such as taxes and annual fees that your investors will have to cover before agreeing to an investment with your company.

Don’t Overlook New Opportunities

There’s no doubt that technology has changed the face of investments.  ICOs or Initial Coin Offerings have helped startups raise billions of dollars in funding over the past few years and are literally surpassing investments from traditional investment avenues like VCs and private equity funds.

New investment avenues like Initial Coin Offerings will allow investors to put money on businesses outside their own countries and sometimes without intermediaries that usually make it more expensive to invest.  They also allow businesses to interact with potential investors that operate outside your typical banking systems.  According to data accumulated and published by Payday, approximately 13 million Americans have limited to or have no access to aspects of your traditional banking system.  That said, it doesn’t mean that these same people wouldn’t be interested in investment opportunities as long as it’s the right platform.

It’s highly advisable you do your homework on absolutely every opportunity that presents itself as a result of rising technologies.  Look into blockchain-powered peer-to-peer lending platforms, AI-powered investment avenues, and other related opportunities to make sure your business does not miss out on opportunities for going global.

Look Into Networking Opportunities

Foreign investors are continually dealing with unfamiliar tax rules, legislation, and various markets that make global investing a risky business.  Therefore, it’s always a good idea to have an intermediary or a common platform that both a potential foreign investor and your business will share to lessen some of the risks.  International communities and events might offer a perfect platform for risk alleviation while building trust.

Always be on the lookout for events that connect global investors to small and medium businesses along with startup businesses.  Some events might include Startup Grind and TNW Conferences.  Look into international opportunities such as 500 Startups and make the effort to join international trade associations across the world.

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6 Smart Ways To Invest $1,000

You are better off investing that spare $1,000 in your wallet, rather than spending it on some other things that will bring no returns.  Yes, your $1,000 can bring you more money quickly if you invest it rightly. How? Read along!

Although there are other ways of making money fast – from running odd jobs to doing email marketing and affiliate marketing, making money through a $1,000 investment will most likely come with bigger risks, compared to the options mentioned above. However, if you can get it right, it could be your best financial decision ever. Moving away from risks, you can still raise a $1,000 spare money to invest even as a full-time worker that lives on salary. 

There are some basic investment principles you must understand before going into this.  First is to overcome the mentality of scarcity.  We all tend to believe that we simply cannot get enough of things – from money to time, connections, or opportunities to grow and become better.  However, there is no truth in this.  We need to understand that our thoughts shape us, and the wrong mindset can get us stuck instead of moving forward. 

If you have a pre-formed opinion that investing some significant cash into lucrative short-term investment channels cannot get you rich, you are already failing even before you start.  The truth is, these strategies do not require you to invest heavily before you get to make some money.  So, there is no need to have a special ‘investment funds’ before investing and making money. 

What you need is to identify the ideal strategy that works for you, and then scale.  Consider it as a process of building an offer online, where you start with getting the ideal conversion rate by optimization and finally scaling it out.  The logical approach will be to start small and continue to grow.  Do not be afraid try out various methods, and while at it, track and analyze the outputs. 

Do not get carried away by the fantasy – there is nothing like getting extremely rich overnight.  However, if you can jump on one of the investment vehicles below, you stand good chances of making steady returns.  Start by investing small and scale with time – it is as simple as that.

Ways To Invest $1,000 To Earn More Quickly

The options here are diverse, but some are obviously better than others.  It all depends on speed.  Contrary to the usual long-term buy-hold techniques, which best applies to long-term investments, these options are structured to bring fast returns. You will agree that applying the right techniques can get you quick profits and gains even in investments with longer cycles.

The next question is how to determine the right strategy.  If you are not in a hurry, you could stick to real estate and similar time-intensive strategies, and with time, you will make considerable profits. To stand better chances of making profits from long-term investment, you must be willing to invest time. So, if you are the type that enters and exits long-term investments at will, you will most likely not get the desired results.  On the other hand, you can make significant returns with short-term investments if you get the timing right.

‘Timing’ here doesn’t translate to looking around for the latest trend.  Rather, it is more about being very observant of some indicators capable of bringing fantastic results in a short time. Likewise, it involves applying the right investment strategies without necessarily risking too much.

Keep in mind that you will still eventually need a long-term strategy, but a perfect short-term strategy can help you to start strong and quick while making some capital in the near term.  Let’s consider some of the investment strategies suited for short-term success.

1.    Investing In The Stock Market

This is a bit tricky and requires a lot of effort and determination.  To get it right in the stock market, you must have a good knowledge of how the market and its forces work. Amateurs will most likely fail, but if you can take time to learn very well, you can make some good money in a matter of hours even without putting too much on the line.

You should also know the best methods of hedging your bets as a player in the stock market. Do not trade without putting stop-limits in place, whether you are running the trade penny or the general market stocks.  Stop-limits, as the name implies, ensures that you do not incur substantial depreciation.  Advanced traders will probably understand that most market makers move stocks to play as a result of greed or because they are afraid of failing.  And most times, they end up playing right into their pockets by pushing a stock down to a specific level due to the fear. 

For penny stocks, the fear is even more enhanced.  Thus, it is vital to have a good knowledge and be able to perform an in-depth analysis of the market forces, to ultimately make considerable profits.  Be mindful of moving averages, the chances of either a significant upside or big downside are higher when stocks break through a 200-day moving average.

2.    Investing In A Money-Making Course

This is a form of self-investment.  Investing in yourself may not bring actualized return on investment, but the fact remains that such capital is very well spent.  You get to improve yourself by learning, adapting, and ultimately growing. 

Start by identifying your passion and choose a course that matches it. While you will find a plethora of options when it comes to online money-making courses, including eBooks, SEO, social media marketing, and so on, settling for the right one is usually tricky.  Note that these courses differ in contents, scope, and quality.  So, take your time to research properly and ultimately go for the one that suits you best.

3.    Trading Commodities

You can make significant short-term profits by trading commodities like silver and gold.  It is even better if you delve into it when these commodities are trading at the lower end of their five-year range.  These metrics offer reliable indications of the projected values of these commodities.  Like most other goods, the price of these commodities is determined by the basics of economics – a drop in supply brings a corresponding increase in demand and price.  Thus, when the supply chain is disrupted, the impacts on the prices of these commodities are quite significant. 

Other types of commodities include agriculture, energy, and metals.  Investing in these kinds of commodities require the use of an exchange, for example, the Chicago Mercantile Exchange or the London Metal Exchange among others.  Consider investments in commodities as investing in future contracts, where you have a pre-arranged understanding make a purchase of a predetermined quantity of the commodities in question at a certain price in the future.  There are potentially significant upside and downside in leveraged contracts, thus, it is important to be very careful.

4.    Using Peer-To-Peer Lending

There is great investment potential in peer-to-peer lending. Keep in mind that investing in a peer-to-peer lending network will not make you rich outrightly, but you have good chances of making some significant money.  Start by selecting a reliable peer-to-peer lending platform – the common ones include Prosper, Peer Form, and Lending Club. This platform will allow you to offer some capital to individuals or business that require them, while you keep getting an interest rate on the return. This offers more profit at lesser risks, as opposed to putting your money in a savings account.  You only need to monitor proceedings, while the algorithms do most of the work for you.

After identifying the offer, proceed to make investigations before you decide whether to take the deal or not.  There is a dedicated proprietary algorithm that helps to evaluate your risk once you supply your employment and credit history among other details.  The results of the evaluation will ultimately guide your decision to invest or not. 

5.    Trade Options

There are several trade vehicles to choose from, including FOREX and stocks.  Note that investing in options brings the best returns when you delve into it at around 15 days before the release of the corporate earnings.  Thus, the question always is ‘what type should you trade or buy?’ The answer here is Money Calls.

Money Calls are best sold a day before the release of the corporate earnings by the company.  The price, during the time, is usually high, considering the excitement and uncertainty surrounding the earnings.  Although this gives you a consistent winner, ensure that you do not hold through the earnings, except you are an expert.

6.    Real Estate Contracts

Perhaps you have always seen real estate investment as only a long-term prospect? Well, it is not. This investment vehicle allows you to invest as little as below $1,000 and earn significant profits quickly.  How? Simply invest the capital in flipping real estate contracts.  Start by using a system like the REWW by Kent Clothier to familiarize yourself with the basics of the market.  Then, you will get the data and tools required to detect vacant homes, troubled sellers, and cash buyers.

You do not have to flip traditional homes and fund renovations all by yourself to make money from real estate; you can make fast and significant profits by flipping the actual contract itself.  It is just like buying and selling: you need to link and broker the deal between motivated sellers and cash buyers.  Although the whole process might seem strange at the start, it gets better with time.  And with consistency, you can scale out this strategy and become rich.  It is that productive!

All of the six investment options above can be conveniently funded with $1,000 or less for a start, and if you do it right, you are guaranteed of getting significant returns on your investment in no time. 

So, which one would you be trying first?