The bank and potential investors don’t care about how much you "believe" in your new business. They know that most small business owners are delusional about the level of profitability they foresee in their business. One of the questions from a potential investor is "Have you sold anything yet?" The only way to prove that your business concept is valid is by sales. In business, nothing happens until somebody sells something. Your constant goal as a startup is to focus on sales. Forget about everything else. A small business owner should spend all business hours on sales. Handle accounting and other administrative tasks after business hours and on weekends. Focus on driving sales. It is the only way that you can prove value in your business. If you cannot prove that there is demand for what you are selling in the first six months of operations, your business is sunk. It sounds appealing to a potential investor that you have generated $15,000 in sales during your first month in operations, or that you have sold 124 units out of the trunk of your car before you even got the business going. Sales prove value. Comments are closed.
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