a revolutionary way to raise funds

NEW FUNDING PLAYERS

WWW.AVPTGLOBAL.COMPresented by Diane Shawe CEO

a revolutionary way to raise funds

Diane Shawe M.Ed

Founder and CEO of Academy of Vocational & Professional Training Ltd.

Membership: IOD, FSB, PSA, IFL,IEEE

Named VIP member by Cambridge Who’s Who: Excellence in Online

Training 2012

Entrepreneur, Consultant, Author, Speaker. Winner E.B.B.W. Award 2003

AVPTGLOBAL is a Globally Accredited Academy provider of over 390

Soft Skills courses using a cutting edge online Learning Management

system to supply fluid transferable and live curriculum supported by

qualified Virtual Tutor Facilitators both in the virtual and traditional

learning environment.

BBA, M.Ed, IEBE,MGHT

Diane Shawe CEO

SIX WAYS TO FUND YOUR BUSINESS!

Category: Finance , Education, Enterprise in

Education

Friday 7th June 2013 13.15pm

NEW PLAYERS IN BUSINESS FUNDING

FUNDING YOUR BUSINESS WITHOUT A BANK LOAN

GRANTS

MICRO LOANS – COMMUNITY SCHEMES

We need Virtual Tutors and we will pay you

ENTERPRISE FINANCE GUARANTEE

FUNDING CIRCLE

BORROWING AGAINST ASSETS✓

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CROWDFUNDING

HAVE YOU COMPLETED YOUR BUSINESS CHECKLIST?

REGISTER FOR OUR 3 HR BOOTCAMP AT

STAND 330 £9.99 PER SECTION TODAY

12 STEPS TO PREPARING YOUR

BUSINESS DETAILS

YES NO

1. The Business Plan

2. Developing your USP

3. The Perfect Pitch

4. Adding Value

5. Calculating your prices &

worth

6. Create your brand

7. Design your business process

8. Use Social media

9. The marketing plan

10. Goal Setting

11. Working on yourself

12. Raising the finance

Total 3 Hour Bootcamp

With bank lending figures continuing to fall, thousands of entrepreneurs are looking for alternative sources of

funding to get their business off the ground

YOU WILL NOT SUCCESSFULLY RAISE THE

FINANCE FROM ANYONE IF YOU DO NOT

HAVE ALL THE ANSWERS IN ADVANCE TO

DEMONSTRATE THAT YOU KNOW WHAT

YOU ARE DOING!

• Over 60,000 people have raised millions of

dollars on Indiegogo in over 200 countries

worldwide.

Looking at the trendsWhat is happening in crowdfunding

When you are happy with your business plan, it

needs to be turned into a professional presentation,

which should communicate memorably what the

business does.

If the core purpose cannot be explained in 30

seconds, the pitch is too complicated and investors

will lose interest before the client has a chance to get

into the supporting facts and figures.

PITCHING FOR FINANCETHE PRESENTATION

The questions the investors might ask should be

anticipated and strong well-researched responses

prepared. Once in front of the potential investor, the

approach needs to be open and not defensive.

There will be detailed questioning and the

entrepreneur and his team must be able to

demonstrate why their skills and experience will justify

the risk the investor is being asked to take

HOLDING YOUR NERVETHE PRESENTATION

The time frame is also crucial.

How long do you have to raise the money?

And what risks are you prepared to take in order to

get what you need? For example, are you prepared to

use your own money, invest relatives and friends’

TIME FRAMESHow long do you need the money for?

Crowd funding and CrowdSourcing

1 Crowdfunding

What is Crowd sourcingWhat is Crowd Funding

21

Crowdfunder is a new

way for people to pool

small amounts of money

to back a good idea or

project.

If you need funding for a

project or idea;

Crowdfunder really is a

no-brainer.

Today, crowdsourcing has

transferred mainly to the web.

The web provides a

particularly good venue for

crowdsourcing since

individuals tend to be more

open in web-based projects

where they are not being

physically judged or scrutinised

and thus can feel more

comfortable sharing.

It enables creative fundingThe social way

How does crowd funding work

Anyone, anywhere can create an online 'pitch' explaining

their project and what they plan to achieve with the money

they raise. The Pitch will include 2 important sections:

- The Target – the total amount of money they

wish to raise for their project

- The Rewards – the benefits that people who

donate to a project get in return for their donation (see

Rewards section below)

Project founders then promote their project to potential

funders. Funders then invest money in the project and over a

period of time (60 days is the maximum time available to

raise the funding required) the funds accumulate until the

Target is reached.

How long does it take?

Once the Target is reached, the funds are transferred

to the Founder's Bank account. Following this the

Founder will begin to distribute the Rewards directly

to all contributors.

What happens

when target

amount is

raised?.

How Long can

you fund raise

for?.

The project

founder can

choose a duration

of 30, 45 or

60 days to raise

the Target

amount.

• If the Target amount is not raised within the time period then the Pitch will

be closed and all monies will be automatically returned to the Funders'

PayPal accounts.

•

The target amount represents the amount of money needed for the project

to work and be successful. If that amount of money is not raised and the

project can't achieve its aims then the Funders wouldn't get their rewards,

so no-one wins!

• So when working out the amount you require for your pitch, don't be greedy,

think of a realistic amount that will enable you to get your project running -

the more achievable the amount, the more likely you are to get the funding.

What happens if target fundsAre not raised?

1. It sure is. The Pitch will stay available for

contributions until the end of the funding

period. But watch out some crowd funding

may charge a higher rate of commission

on the extra amount raised.

2. There are no maximum amounts to any

project, but there is a minimum target

amount of £100

3. Most Crowd funding use this model "All

or Nothing" funding means they only

release the funds to the pitch owner when

the target has been reached.

What happens ifYou raise more or less

1. Is it possible to raise more than

the Target amount?

3. All or nothing rule

2. Is there a maximum or

minimum Target

amount?

The ProcessFAQ

Anyone! Crowdfunder allows anyone from any country and of

any age to start a project and raise funding. However, we do

have some guidelines and every project request will be reviewed to ensure only genuine, honest and legal(!) projects appear on

our site.

It is normally free to register as a project Founder and add a Project

to Crowdfunder.When a project Founder

successfully raises their Target amount Crowdfunder will deduct a success fee of 5% of the target amount (plus 5% of any excess

funds raised)..xt

No there's no maximum amount that a Funder can contribute .

However, if you do want to contribute a large amount eg

£500 or more, this will be arrange by bank transfer instead of a

Paypal transaction.

The ProcessFAQ

No, each project Founder may only have one active Pitch at

any time.

Pretty much anything that is legal can be pitched on but

each Pitch is thoroughly vetted by the team and Crowd funders reserve the right to refuse any Pitch application that they feel

isn't appropriate.

Yes, absolutely. In fact we actively encourage it, we have

found that the pitches that have an initial amount invested in them do better - if you don't

have the faith in your pitch to place money in it, then why

should someone else?.

• Upon your pitch reaching it’s target, usually some paperwork needs to be completed.

Once that’s completed the funds are released to you. It is expected that this will be

done about 7 days after your pitch completion.

• The Statement that is raise will explain exactly how much to expect from each

channel. Due to the different channels that they receive the money in to, Paypal ,

Direct Debit and bank transfers, the money will be released in different ways;

• Paypal -.

• Direct Debit

• Bank transfer

How do you get your money onceTarget has been reached?

Raising Small amounts of money

2 Micro Loans

Community SchemesMicro-Loans

21 If you only need a very small

amount of money, you should

think about a micro loan, which

is tailored to your circumstances

and can be used alongside

funding from other sources.

A number of companies in the

UK offer micro loans; for

example Finance Wales offers

funding from £5,000 to £25,000,

with generous repayment terms

ranging from one to five years

A plethora of community development

finance initiatives, or CDFIs, have

been set up around the country to help

individuals, and businesses, denied

credit by banks and lending

companies.

CDFIs provide help with everything

from bridging loans and working

capital to funds for property and

equipment purchase, but their terms

are usually restrictive; you usually

have to be either a micro-business or

a social enterprise, and be based in a

disadvantaged area to

qualify.

How it works

3 Borrowing against assets

Founder: Paul Aitkenwww.borro.com

21 Cash is advanced against

valuable personal assets, such

as jewellery, fine wines and

classic cars. Essentially, a

business-friendly variation on

the age-old pawn shop model.

In order to access cash, you

agree a value for your car or

rings, and hand the items over

to the provider. They can be

retrieved once the loan has

been paid off.

www.borro.com

Here’s how it works: Borrowers can

approach borro either through the

website or via a financial adviser. The

first step is a 10 or 15-minute

conversation, during which borro will

discuss the available assets and

assess whether it will be possible to

provide a loan.

Valuations

3 Borrowing against assets

www.borro.com

1 The next step is valuation. “Let’s say it’s a classic car,” It will

be collect and valued and a loan offer made. Interest rates

are set at 2.49% per month and the average borrowing

period is four to five months.

No Penalty for early settlement

There is no requirement to repay any percentage of the loan

before the end of the agreed period, although customers can

make the payment early without incurring penalty charges.

ideal for businesses that need a short term cash injection

Loan from individual lenders

4 Funding Circle

What you need to showThe offer and benefits

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Funding Circle offers an online

platform that puts small businesses

in touch with investors who will lend

money. However, Funding Circle’s

focus is on term loans that will be

paid off over a specified term –

typically one to three years.

To qualify to raise cash via Funding

Circle your company will need to

show two years’ worth of accounts

filed at Companies House, so it’s

not for start-ups

Businesses as young as two and

half to three years can participate.

The sums advanced range from

£5,000 to £100,000.

The average interest rate is

currently 8.4%. However, because

money is advanced on an online

auction basis, businesses

perceived as less risky or

particularly attractive can secure

better deals.

Backed by the Department for business

Enterprise and Regulatory Reform

5 Enterprise Finance Guarantee

Who is it designed forWhat’s on offer

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Backed by the Department

for Business Enterprise and

Regulatory Reform

(BERR) this guarantees a

loan of up to 75% of your

desired amount, on figures

up to £250,000

(if your business has been

trading for more than two

years) from banks and other

financial institutions.

The scheme is generally

designed for small firms that

have viable business

proposals but who have failed

to get a conventional loan

because they don’t have

enough security.

To be eligible you must be a

UK company with an annual

turnover of no more than

£5.6m

A one off cheapest form of finance

6 Grants

Who is it designed forWhat’s on offer

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This is one of the cheapest

forms of finance but beware

of the sometimes non-

financial conditions that

maybe attached to the grant.

These could include the

number and type of people

employed and occasional

restrictions on items on

which the money can be

spent.

Some of these initiatives have

their own venture capital funds

supported by the Department

for Business Innovation and

Skills (BIS) which will fund

businesses seeking between

£50,000 and £250,000.

Thousands of other ‘hard cash’

schemes exist and are

provided by banks, the EU and

other large as well as smaller

organisations.

• Tim is going to explain why we need 200

Virtual tutors and how you can earn £800

month

• Register for one of our 3hr business

bootcamp seminars/workshops

• Check out our other opportunities at stand

330

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• Tel 0203 551 2621

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