Tips for Attracting Equity Investors
Most entrepreneurs who succeed have “it” – the undefinable characteristic that allows them to clear hurdles with unnaturally clever or masterful judgment. When you see someone who has achieved wild success in their field, you hear people say they were “born to do it” or a handful of other clichés. It is a remarkable feat to be flawless at every single aspect of business, and to be honest, being flawless in one aspect of business can get you fame, fortune or whatever pleasure you desire out of your hard work.
Creating the idea for a winning product, building a stunning business plan and recruiting a rock star team mean nothing if you can’t attract investors. Selling your idea to an angel investor or VC might be a walk in the park for some entrepreneurs, but when it comes to equity crowdfunding, they might be staring at a maze asking, “How the…..…..” It’s ok. We’re here to help.
Attracting crowdfunding investors requires a multifaceted approach. 21st century consumers expect total access, entertainment, personal attention and a certain amount of company prestige. When all of these pleasure centers of the investor psyche have been triggered, the odds of them hitting the “Pledge” button for your offering are much higher.
Here are four simple ways to attract crowdfunding investors:
- Offer Transparency
Business plans and offering pitches provide a considerable amount of information, but some investors want to see everything. You may not be obligated to post sensitive information in your public offering, but portals like truCrowd allow you to share this information privately. Be sure to tell your audience to message you if they want to see more specific and privileged information. By having nothing to hide you will instill trust in your investors.
- Show Pitch Videos
One of the more effective marketing tools of the past five years has been video or whiteboard presentations. In addition to satisfying all cognitive learners in the audience, a pitch video gives you the power to express your message exactly how you want your investors to see it. Clever imagery or music can help brand your company and the possibilities are endless. And if you’re lucky enough to create a masterpiece, be sure to include a “Share” button so it has the opportunity to go viral.
- Send Updates
A proven way to keep your company in the minds of investors is to keep them updated. Create a social media schedule and stick to it. Even if you don’t have any groundbreaking updates to share, pass along a funny or uplifting story. Having your company name pop up in their feed 2-3 times a day will keep your company fresh in their head. Social media for equity crowdfunding is a critical element to achieving your funding goal – take it seriously.
- Get Press Coverage
Exposure outside of your social media is also very important, and to keep it simple – you need to make it happen. Work your connections to get a press release published on a major investment website or an article posted on a popular blog. Much like the big brother – little brother dynamic, if the little blogs see the big blogs doing something they are much more likely to think it’s cool and do the same. Place high emphasis on getting your name noticed outside of what investors think you control.
There are thousands of impatient investors (probably more) tapping their foot behind the locked door of Title III. When the door is flung open, these investors are going to be running around looking for the most honest, polished, informative and popular offering they can find. Be the one.
Thank you for reading and please leave your comments below!
Please note that you are not allowed to post public information about your equity offering campaign on your social media channels.
On other online communication channels (e.g. blog, website, etc.) outside of the communications channel on truCrowd’s website, you are allowed to distribute a limited notice. Dissemination of the notice must be restricted to Texas. The content of the notice is limited to a statement that the you are conducting an offering, the name of the platform through which the offering is being conducted (truCrowd), and a link directing potential investors to truCrowd’s website. The notice must contain a disclaimer that the offering is limited to Texas residents and offers and sales of the securities appearing on the Internet website are limited to persons who are Texas residents.
Follow the link for more details about online promotion regulations : http://trucrowd.is/1EZj07M