Business Funding Secrets
Business Funding Secrets

Tips for New Finance Consultants

by Brad MacLiver, authorship and profile at: Google

 

One thing that can always be counted on, whether the economy is growing or slowing, is people looking for sources of money. Business Owners/Clients will contact Finance Consultants when they need assistance in assembling their business plan and supporting documentation, and presenting the information to finance companies who can supply the funding, which the business needs for their growth.

 

A number of years ago the basic strategy for Finance Consultants was to have a very narrow and specific niche in the market. Consultants would become experts and successful in that niche. Current strategies employed by many Consultants is to chase anything that crosses their desk. With the use of the Internet, Consultants can blast out e-mails for a funding request to a number of sources. From my personal perspective, this is not a sound strategy to getting a deal funded.

 

Every funding source the Consultants blast the e-mails to, have different parameters for reviewing a prospects data. None of your sources want to have their time wasted by Clients who either can’t, or refuse to provide the information required by that source.

 

The Project Corporation has specific questions that must be answered by the Client. Answering the questions is part of the qualifying process. It is always surprising how many people want millions of dollars of funding, but can’t, or won’t answer these very basic questions. Of course when a Client doesn’t answer the questions, or is vague in their answers, we don’t have any interest in pursuing the transaction.

 

Consultants that are blasting e-mails are usually supplying the Client’s marketing hype, which does not provide information indicating whether it is a financially sound deal. It may be well written and provide an interesting story, but any one that will be making a financial decision needs to see numbers that add up, and not just the sales hype.

 

Too many Consultants want to quickly pass on the Client’s information and receive a quick commission. Consultants need to slow down and actually spend some time reading the Client’s material. As someone who wants to get paid for services provided, Consultants do need to actually do some work. Is there additional information the Client should supply before contacting a funding source? Many new Consultants aren’t sure which questions to ask. If the prospect has a business loan or venture capital deal, ask the questions listed at: http://www.businessfundingsecrets.com/reviewtransaction.html.New Consultants should not expect to make much money, or even be in business very long, if they are not ready to spend time working.

 

For Consultants that are willing to put the time and effort into their successful business, a strategy we recommend is for Consultants is to target a specific market. Consultants who target an industry will become experts at the industry terms used, the work processes, etc. When you can talk their talk, you will be more successful. When you contact a prospect don’t ask whether or not they are looking to factor their receivables, because you are going to get a negative response. Ask whether or not they are looking to expand their business. Will they need financing to assist their expansion? As a financial consultant you have access to many forms of financing. Depending on what the business owner is trying to accomplish, you have financial solutions available for them.

 

Print shops are an easy example because there is one in almost every town. A good portion of the customers for a print shop are other businesses. This provides factoring opportunities. Print shops may be located in a leased space and want to purchase a location - a real estate deal. They may buy property, but need to build - a construction loan. Whether staying at their present location or expanding into a new one, they may have some equipment needs - equipment leasing. They may not need to buy new equipment, but need some additional cash for other purposes - sale lease back opportunities. Are they looking to retire and have an employee who needs acquisition financing? On contact, but many possibilities for a Consultant that asks the right questions.

 

Within the printing industry there are also paper and ink vendors, companies that manufacture the printing equipment, etc. A Consultant can find 50,000 businesses to call in the printing industry, or any industry they wish to focus on. A targeted market segment will provide plenty of finance opportunities.

 

When a Consultant finds a prospect, ask qualifying questions  to help ensure that the prospect is a good deal and not something that will never get funded. Consultants earn commissions for finding good deals, not just any deal. Don’t waste time on transactions that will never get funded. Use the parameters your sources provide for the types of transactions they are looking for. Targeted marketing will find the prospects. Knowledge of what you can actually get funded will result in good deals that pay commissions.

 

Tips:

1. Many new Consultants waste time chasing deals that will never close. Learn about a market segment and then target good deals.

2. Consultants should work with a limited number of sources until they have obtained a level of expertise and income. When all the bills are being paid by your Consulting business, then expand into new markets.

3. Providing financial solutions to a specific market segment will be more financially rewarding than trying to be all things for all people.

4. Understand the basic aspects of marketing for financial transactions: Due Diligence, Business Plans, Funding Requests, Financing Growth, Balance Sheet Basics.


Business Funding Secrets is a newsletter provided by the consulting firm The Project Corporation. The intent of the newsletter is to provide free information to both Clients and Consultants looking for business loans and venture capital.

 

 

***********************



A team of experts is looking to add to their Consultant base. Are you looking for a quality project to work on? There are great financial rewards for someone who can commit to 10 – 20 hours a week to a national project. Contact: TheProjectCorp@msn.com today!



 

***********************

 

 Something Green

                             

Interesting concept: www.DrivingGreen.com  is a website that fights global warming by allowing people to calculate the amount of harmful greenhouse gases emitted by  their vehicles, flights, or events, and then to offset that amount by supporting an agricultural project that reduces greenhouse gas emissions and creates renewable energy. Offsetting essentially erases your carbon footprint, neutralizing the damage.

.

.

.

.

.

.

.

.

.

.

.

.

.

 

Print Print | Sitemap
© Business Funding Secrets