i have an idea, that i think will be the future, it’s nothing new, but in pak it can be revolutionary, i dont know if any thing is being done about it, but if not i want to be the first ?
any ideas on how can i attract investors ?
Re: how can i attract investors ?
Step 1: Prepare an IM or a DM
Step 2: Develop NDA, CA's etc
Step 3: Hire either capital introduction guys or agents
Step 4: Concurrently, build it up on the cheap
Step 5: Get a beta client, pilot etc
Step 6: Circulate IM or DM's trhough the Cap intro guy or other agents to Insitutional or High net worth folks.
Step 7: Hold on to equity for dear life
Re: how can i attract investors ?
kakh palay naye pya :(
IM ? DM ? NDA ? CA ?
yeah it's cheap alright ;-)
i can get a demo/pilot working soon :D
Re: how can i attract investors ?
Ok, let me know when you are serious and want to discuss. Serious means...speaking in a language that people cna understand. Not punjabi.
Im: Info memorandum
DM: descriptive memo
CA; Confidentiality Agmt
NDA: Non-Disclosure agreement
that is a start.
Re: how can i attract investors ?
Hey Matsui, I am looking at an investment opportunity these days and need an investor. Nothing big, between 500ks to a million, so dont want complicated deals. Any insight into how to find an investor?
Re: how can i attract investors ?
Ashtray, you and every monkey with a half baked idea is looking for such an investment. Go to your friends and family and pool up, take it as a loan instead of equity, mortgage your house as collateral against the note. Go to a bank..try the same.
In any case, you will have to put something down on paper.
Re: how can i attract investors ?
I dont need to go to a bank for setting up, I can do that myself. I will, however, require somebody with deep pockets to invest with me and share the risks and the rewards. Note that my personal investment is almost a million itself. Family is out as that puts too much undue stress.
Re: how can i attract investors ?
I meant going to the bank for seed money, if you can't get it through friends and family. Most entrepreneurs do this early on. Othewsie folks like me would in and give you the $600K on a valuation of $800K and own 80% of your company.
If you already have invested $1 Million to develop the product/service then your valuation will depend on market need, competitive landscape, comparables and strength of management team, and forward revenues. Who ever gives you $500k will take the appropriate equity based on the agreed upon valuation.
Re: how can i attract investors ?
I understand this point. The idea is not a new one and there are hundreds of others doing this, just in a desi sort of a faishon. I think the market will be willing to extra that I will offer. No physial product is involved, it is purely services.
I have a fair idea of who my management team would be and I have interviewd some great professionals with a successful history.
I have some idea of forward revenues but as there is no official feasability study yet, my numbers may be off because of my bias. I dont even think that I will get any official feasability done.
I have not invested anything yet as I need a solid investor before I commit myself.
Re: how can i attract investors ?
You are playing a chicken and an egg thing. Not sure if you have been an entrepreneur in the past, but to get the most return on investment, you will have to boot strap it to get the business to deliver some revenues and develop a run rate of somekind to determine a valuation. Only then can you expect institutional and high net worth folks ot take you seriously.
You should figure out what you want and then repost. If you can't forecast and defend your revs then I would be skeptical of the venture.
Re: how can i attract investors ?
Like I said I have a good idea of what the revenue is going to be but I do not have any official study done. If I go to ant institution then I will have them do the study for me. However, I do not think that the amount is big enough to borrow it from a financial institution. I have a five year plan on paper, with monthly forecasts. I have a good handle on expenses and capital expenditures.
No I have not been an entreprnuer in the past and the business I am looking into has no corrolation to what I am doing and what my education is.
Dont worry yaar, I saw a request for an investment and as I am currently in talks with a few potential parties I posted. I was hoping to get a good lead/ idea/s from you (being a professional banker). If I need real help I will contact you directly rather than on a message board. Thanks for showing interest though.
Re: how can i attract investors ?
Sure thing. I recently flipped a company I started six months ago.Purely opporutnity based, no background in that work but principles of finance and strategy don;t change regardless of product/service.
Anyway, let me know if you want to bounce some ideas off.
Re: how can i attract investors ?
Thanks. How about you giving me some ideas? Hey what I am working on may not materialize. You roughly know how much I am willing to invest. If I am right, you have experience of Indian startups and the business climate in Pakistan similar (but not exactly equal) to India, the same idea may work there too. I dont want to re-invent the wheel.
Re: how can i attract investors ?
Million what? Dollars/rupees??
Re: how can i attract investors ?
LOL..yeah. It was a India centric business...sold to a buyout fund as part of their rollup strategy.
You want an idea..I will give you one. If you can get Victoria's Secret to give you a license for Pakistan for opening retail stores (they do everything greenfield, no licensing) you will be making money like there is no tomorrow. IN delhi where I am from, there are three malls in one part of town, across the road from each other. As you know, the middle class is rising like there is no tomorrow and measures in the 300M. If 50% is women and 70% between the ages of 18-45, and each spend around $50 on underwear in a year. (I am being cheap) and you want to capture 25% of this market in 3-5 years that means that the opportunity is around $1.312 billion. Ok..so you only capture 5% of the market, that is a $263 M company. With margins around 15% Ebitda, I would say that it can go public at a valuation of around 15-20 times EBITDA, (say 18) that means mere chanda, you can have a company with a market cap of around $710 million. Nice eh...
Women buy underwear and when women get money they buy more underwear.
Re: how can i attract investors ?
^ And he will tell people ke mein chaddi aur banyaan baichta hooN?
:D
Nah, seriously great idea, though. Any takers?
Re: how can i attract investors ?
Yes Faisal it is rupees. Million rupay laga kar peeli taxi khareedooN ga. Bolo baoo kaha jana hae?
Re: how can i attract investors ?
hahahah ^ ashtray.
Faisal, underwear baichney mein bhi izzat hai yaar…see where you see embarr(ass)ment. I see Ass. Imagine parties with Gisele, Naomi and Heidi…
Phir deykhein gey, kiski izzat oonchi hui hai.. 
[thumb=H]v-angels17357_2834490.JPG[/thumb]
Re: how can i attract investors ?
Abay how am I going to find 52.5 milliion women of bra wearing age in a total population of 150 million? Please do remember that bra is a totally foreign concept in villages like Madhanee's
Re: how can i attract investors ?
remember you are forgetting peshawar....and in madhanee's part of punjab, even men wear bras.
Also, My example was for India. You can 1/7 it. that would give you a company worth $37.5 million. Quality for KSE index