Whether you’re a budding entrepreneur or a seasoned veteran with many start-ups under your belt, there are goals to set and objectives to be met. One of the road blocks that many early-stage businesses can encounter is funding.
Think of yourself on the television show, “Shark Tank.” What type action plan will separate you from the rest of your competition? Investors need to vision, share your passion, and agree to your iron-clad business plan before taking out their check book. One thing that business owners may either overlook or fail to consider as part of the business strategy is putting in place the right IT strategy and network infrastructure to make their company that much more attractive to venture capitalists.
Investors want big ideas that will change the way we live and think. Building a business plan with the potential of at least $100 million is what investor’s look for because the risk is so low and the reward has the potential to be extremely high. What will jump out at them? Developing an IT network is a smart investment for any start up looking to obtain venture capital. Think about what this signals: that a company is thinking long term about growth and scalability, as well as about having the right infrastructure in place as the organization matures and funding dollars are invested into product development.
The strategic investment in an IT operation is a foundation for building revenue. By implementing a cloud-based solution, teams can focus on their core activities, such as business development, marketing, sales etc., to propel the business to where it needs to be. Companies may opt to hire and train an internal IT staff to be readily available during the day. From a human resources standpoint, it can benefit a business having an onsite team available to help employees with any issue that should arise or getting new hires up to speed on their first day.
SMB’s can benefit greatly down the road on their venture, by considering the following tips:
- Starting small from scratch
When starting a relationship with a service provider, building off of a small project can tell whether you’ll gel well together and how you can establish a brand of trust between the two parties.
- Avoid choosing a vendor based on their prices
When initially meeting and discussing budgeting, most IT service providers want the pleasure of doing business with you and your growing company. Based on your needs, vendors will work with you to ensure that the relationship is off to a good start and will blossom as time progresses. Numbers can scare people off at first, but it’s always good to look at the big picture.
- Consider what will boost your company from an IT standpoint
People are always concerned about their data—a company’s biggest asset besides its people. If you choose to outsource through a vendor, it would be wise to take a look at their historical experience to see how reputable they are. Some business may choose to keep everything internal. It all comes down to how you as an owner want things done and how you’ll generate success from those decisions made.
So the next time you’re pitching a team of venture capitalists, try to think beyond the shiny objects and reflect on how lesser-known ideas can shape the backbone of your company and get you off the ground running. As stated before, the right IT investment can pay long-term dividends and show potential investors that you have a vision for your product or service, as well as for your go-to-market strategy.
Dan Tully is executive vice president of Conduit Systems, an IT management services firm headquartered in Lincoln, R.I. For over two decades, Conduit Systems has delivered complete and cost-effective information technology support and services that enable small and mid-sized companies to focus on doing what they do best – making their businesses thrive. Tully brings more than 20 years of computing experience to his customer base. Utilizing a consultative, business-savvy approach, he has assisted some of the area’s largest companies to address complex, technology-based issues.