I was now able to start approaching investors with the certificate of incorporation in hand. A registered company made me look more serious and legitimate than approaching them as an individual. I had my business plan that at the time I thought would suffice. I feel I need to state that at this stage I was not an expert in my field. Most of what I had written on the business plan was theoretical. If you are here and you do not have enough information about the industry you do not need to worry. Your first attempt should be used as broad brush strokes. This allows you to see an overall image of what you want to achieve. But I digress from the story.
My father had a few friends that we believed would be able to provide the capital for the business. So we approached them. Their distance allowed me to have control over the business. The investors loved the idea. They said that it was a fantastic. They could see the potential. They saw the vision and loved it. Here is where I wish I could say bags of money were handed to me and the rest is history. Oh I wish it was that simple. Regardless of their praises not one investor was willing to take the risk and invest in my business idea at that particular juncture.
The idea was fantastic but was it viable and most importantly was it profitable? I did not have the answers to these questions. All I simply had was a mere thought. Who would invest in a thought? Well, not the investors we approached. They all required a proof of concept.
A proof of concept is when you have a pilot project to show viability of the idea. My idea was new to the market. There were a lot of risk and uncertainty involved. That is why we needed a pilot project before the investors could commit. The problem was I did not have any finances to even establish a proof of concept. Needless to say the investors bore no fruit and my idea remained just that, an idea.
Until next time