Opening a Business using Venture Capital

Richard worked as a mechanic for one of the largest automobile manufacturers in Detroit. As an employee of 20 years of experience, this person has moved from one section of the plant to another making some people think that Richard might assemble a car alone.

Unfortunately, the poor performance of sales in recent months the company's management has had to make a great sacrifice. This will involve cutting 20,000 jobs from the job, and Richard was on the list.

Rather than wait for the pink slip to enter, Richard opted for early retirement. With the money saved, that person can start a business, it was always something in the mind of this person.

The plan was to open a store that has restored old cars as well as serve existing ones. Although it was a fact that there are a lot of entrepreneurs who do this, the Richard study showed that there were that many of these in the district.

Richard had a fat check coming in, as part of pension benefits, but the initial capital was not enough so this person has decided to get venture capital funding.

Venture capital financing is when a company startup or existing funds to support the needs of people outside or keep it growing. While there are banks that can help you do this, it is easier to deal with them because interest rates are so high and these supporters become strategic partners.

Who are the people to draw from when it comes to venture capital funds? Since Richard was an engineer who worked on cars, it was difficult to speak with one of the previous bosses and other people who love cars.

Richard wrote a proposal with the location of the site, planned to launch the capital and the sales that will occur in the months and years. Since these investors saw the potential of the business, it was not long before the additional money needed has been given.

After three months of renovation of the old building, the shop was in operation and customers have started to get repaired cars was easy, in fact, people who worked at the plant would drop and the cars have done there. It took longer to restore old cars because parts were hard to find.

Within a year, more than half the amount that was borrowed from the partners has already been paid. As long as the service provided is maintained, it was possible for Richard to pay all out and maybe even expand the business .......