Welcome to Wholesale Forum.com



For Buyers
Wholesale Forum is the fastest growing online business community dedicated to retailers, auction sellers, surplus and overstock buyers needing a quick and safe solution for sourcing trade stock. Join our free and friendly forums today and gain knowledge, offer your advice, and discover new partnership opportunities:
For Suppliers
For wholesalers, dropshippers, manufacturers, distributors and trade services providers. Advertise your business today on WholesaleForum.com for free to reach potential trade buyers on a more personal level. Promote your latest offers, interact with buyers in real time, distinguish yourself as an expert in your field, and attract sales instantly.
Sign up now | More benefits for Buyers |
Sign up now | More benefits for Suppliers |
Thread: Promotion and Funding Strategies
-
05 Mar 2011 04:35 AM #1
Promotion and Funding Strategies
It’s highly unlikely that you’ll go throughout the week without hearing about your fellow entrepreneurs bark about cash flow problems. A few have big dreams, and the lack of capital is the only thing that’s slowing them down. While others prefer to expand slowly, but their cash flow barely covers their rising expenses. Still, the rest usually suffer from first year losses and they need the money to stabilize their efforts until profits pour in. Whatever your situation, we all have to have the same thing – cash in the bank.
Acquiring funding is pretty hard, whether you’re looking for investors, financing, or squeezing out a couple of bucks from your personal contacts. But there’s something that will keep your business afloat – happy customers.
Yep, it’s really that easy, with one thing to keep in mind – you have to work a smart business model that’ll eventually make your business profitable and, at the end of the year, successful.
Investors
The number one priority for investors is this – paying customers. Without the people you serve and the power to show how their involvement will increase the value of your business to your customers, most deals will fall apart before they’re even considered.
Paying customers
A few will trust you enough to pay in advance for your products and/or services. This is key if you want to optimize your pricing structure and monetary strategies to increase your cash flow. For example, letting your happiest customers pay in bulk to qualify for X% discount.
Banks love your numbers
Banks love to support companies with a solid history of paying customers –more the merrier. It doesn’t matter if its startup capital (ranging on the amount customers) or equipment, they won’t lend to a company without a track record of repeat business.
Bring in more business
The thing with new startups is this: Creating features to attract potential customers, and then use that money to add more features to bring in more customers. Most companies continue to operate like this for years, even decades.
Angel investors
Angel investors conduct an extensive background search that centers on customer satisfaction. They know that your business plan is all theory and your numbers are action that can be turn for the worst in a couple of months. They’ll probably ask for a list for all of your clients, and they’re going to call each one. Happy customers are gold when it comes to investors opening up their wallets along with a strong management team, working business model, and a reachable market.
Happy customers will increase your value
If you’re looking for more money from your customers, you’re in the right spot to look for more money because you’re past the buying phase and now focused on keeping your customers. Why is this important? Because your ability to have all sorts of funding options available increases your long-term value.
Why does it increase? Because you have the power to defeat risk. Having other people or another business pay with their cash for whatever you’re offering is a big break. You’re batteries are now recharged to outpace risk, and the value of your business increases as well. Actually, the happier your customers are, the better off you’ll be on paper. Repeat customers are gold in the world of business.
The people around you will see your progress
When you start to become more profitable, the people around you will feel better about loaning you money, and you’ll feel happy about taking it, knowing that you’re only holding onto it for a month or two.
If you still think you need more money, then scrutinize your current business model. It’s highly unlikely that companies go bankrupt because they have too much money coming in, their mistake is in managing or working their business plan and sticking to solid financial moves.Want To Be An eBay Powerseller?This is the Service You Need.
Got something to say? Sign up now and join the discussions.
Similar Threads
-
What is cross-promotion? I’d like to learn more about cross promotion for my site.
By KellyAnnB in forum Marketing, Advertising, SEO & SEM DiscussionReplies: 26Last Post: 12 Nov 2010, 07:53 AM -
Funding Your New Business
By wholesaleinsight in forum Business Articles & ResourcesReplies: 0Last Post: 04 Mar 2011, 02:49 AM -
Where do I begin to find funding for my start up?
By Copythat in forum Starting & Growing Your Business DiscussionReplies: 2Last Post: 06 Dec 2010, 08:07 AM -
How Do I Use YouTube for the Promotion of my Business?
By Youngfrank in forum Marketing, Advertising, SEO & SEM DiscussionReplies: 29Last Post: 26 Oct 2010, 02:43 PM -
Website Promotion Tips
By wholesaleinsight in forum Marketing, Advertising, SEO & SEM DiscussionReplies: 6Last Post: 15 May 2012, 09:41 PM -
Use Bundling Promotion to increase sales
By foolsheep in forum Starting & Growing Your Business DiscussionReplies: 0Last Post: 15 Sep 2010, 11:18 PM -
The good, bad and ugly of promotion codes?
By cpeekel in forum Marketing, Advertising, SEO & SEM DiscussionReplies: 0Last Post: 18 Aug 2010, 12:04 PM -
The Best Holiday Sales Promotion? Free Shipping
By Otter65 in forum Business Articles & ResourcesReplies: 0Last Post: 03 Mar 2011, 06:36 AM