Entrepreneurs have come to accept that traditional bank financing poses several challenges when starting a business, particularly because it requires collateral, a strong credit history, and a proven track record of profitability, which can be difficult for SMMEs still in the early stages of growth. As a result, entrepreneurs are needing to find alternative strategies to make their businesses more attractive to investors.
Do you have any such understated best practices you can advise aspiring entrepreneurs on?
Interesting topic.I would like to contribute by starting by asking a question.What are we doing as BMF community to support underrepresented Founders in our communities?On my side I have started an intuitive called Township Angel Investment Network(TAIN).At Tain through our business school we empower underrepresented Founders to become ready for investment.When they are ready, we then link them with investors in our ecosystem.Members of BMF are welcome to be part of the ecosystem by registering on our portal as investors at http://www.tain.co.za.You can invest as little as R10k as some of founders in the townships are looking for small amounts
This is such a good conversation colleagues, apologies I missed it. I am responsible for the SMME Desk in the Western Cape and we have come up with a strategy that we need to engage big businesses. I believe the best form of funding is access to opportunities guys, I don’t knwo what you think. So if we can rally businesses give access to our businesses as service providers instead of thinking about hand out that will be sustainable for our small businesses.