How to Tackle Fashion Angel Investors
Incredible highs, incredible lows. That’s what the fashion industry is made of. If have made that decision to step out into the fashion world, you might be in need of a little help from Fashion Angel Investors. Being successful, especially in fashion is all about having some good connections as well as good backing. It’s more important even then having talent. This is what a fashion-angel-investor can help you with.
Why would you need one?
When you’ve just started out it’s good to think about hiring someone to invest in the business. A financier is better than a venture capital firm. Venture investment is quite different these days than it used to be. Before the rise of technology, these firms often had smaller businesses approach them for funding, this has changed because of the fact that venture-capitalists have a good deal more money at their disposal. They now prefer to invest in bigger companies and businesses.
Angel investor groups are filling the vacancy left by the venture capitalists. Being an accredited investor is a basic requirement for an angel investor. This means they have more cash than the actual amount at disposal. A cautious angel investor will be able to invest ten percent of what they have into your business.
Financing is very important in fashion business. The fashion industry requires a lot of funding to start out because:
* Lots of money goes towards marketing
* You have to attend a lot of social events in order to meet potential clients.
* Experienced and skillful tailors and seamstresses are necessary.
* You need good designers who have talent and a good education.
* All the material for your clothes, shoes and other accessories should be of the highest quality.
How Do You Get Their Attention?
These are all costly investments. In the fashion industry you need to have enough working capital from the very beginning. At the beginning it’s not possible to generate all the capital you need solely from your business. If you’re rich to begin with, then of course it won’t be a problem for you. Unfortunately most people don’t have enough money from the beginning and will need to find a way to fund the undertaking.
Before trying to approach the fashion angel investors it would be a good idea to create a business plan in order to convince them. Don’t reveal your trade secrets, but do give the necessary details. A lot of times the fashion-angel-investors will be able to understand what you are trying to do without a great deal of explanation.
You can propose that they become a part of your company. You could attract attention to your business through press releases. The investors always look through the press releases to see the upcoming businesses. Be sure to do as much networking as you can, in order to attract the right investors.