1. Get Financed! Raising Money for Your Business

2. Raising Money - Sources n At 71%, banks are the single largest source of capital for small businesses (source: CFIB, 2002) n Government grants account for 1%*

3. Raising Money – 1 st Things 1 st n Get a copy of your credit report (free) n 6-year history so look for inaccuracies n Consumer vs. commercial reports n Key areas: Inquiries Inquiries Credit Limits Credit Limits Payment habits Payment habits

4. Raising Money – The Meeting n Have a clear purpose n Know your business inside-out n Be prepared to discuss financial information n Make an appointment

5. Raising Money – The Proposal n You’ll need a business plan n Be careful when considering business plan formats (ie. bank’s vs. ‘real’) n Ensure goals and objectives contain repayment plans and contingencies n Let’s consider a business plan outline

6. Raising Money – Relationship n How well do you know your banker n Insist on a tour of your business n Provide regular business progress updates n Invite your banker to special events n Make sure bad news comes from you

7. Raising Money – Your Options n Canada Small Business Loan Program n Chartered Banks n Business Development Bank of Canada n Huron Business Development Corporation n Heartland Credit Union n Angels vs. Venture Capitalists

8. Raising Money – Think About n 3-6 months cash flow n Factoring n Grant programs n Family and friends n Angel network n Personal assets n Hard assets vs. soft assets n Banker motivations n Basic business economics n Your commitment in dollars and cents

9. Raising Money - Summary n Know your credit history n Have a plan n Develop a relationship n Maintain the relationship n Minimize surprises n Consider all options

10. Get Financed! The End! Thanks!