Over the last couple of weeks, I have been writing about networking and relationship building. This culminated in my talk last Saturday, where I spoke to 150 business owners in the fitness sector who all wanted to know how to build their network so they could grow their network.

I should have the full talk uploaded to YouTube over the next few days, so I will send a link out so you can watch it. There’s a sneak peak below too!

But this week we are talking about my second most requested topic: fundraising. How do you raise money for your business? And most specifically, how do you raise money for your business when the bank says ‘NO’?

Over the past 15 years, I have provided loans of over £500 million to UK businesses, as well as raised £100 million plus for my own businesses.

I have done it in good economies, and I have done it in tough economies, but pretty much everything I have done would be considered ‘unusual’ or ‘impossible’ by banks and mainstream lenders.

If you want to be a successful entrepreneur, then you need to be able to raise money to fuel your plans. But if you want to be really successful, then you need to be able to raise funds in creative ways, learning how to pull money out of thin air!

So this week I’ll give you my top 9 strategies to fund your business when a bank loan isn’t a possibility. Let me take you from ‘No’ to ‘Go’!

Bootstrapping

When I look at most business plans that people have written to raise funds for their start-up, the most common theme is that they are always asking for too much money!

They have requirements for fancy offices, huge marketing budgets, and staff that will be sitting there twiddling their thumbs. I can usually put a line through 80% of their costs and still create the same business.

As Robert Kiyosaki says…

Strip your costs back, demand discipline, and sacrifice. Reinvest profits and keep your business model lean.

Some business types are easier than others to bootstrap, but I have rarely seen a business plan that isn’t padded out with unnecessary expenses in some way.

Friends & Family

Put your pride and your ego to one side and go for some easy pickings here. Usually no one wants to see you succeed more than your friends and your family, so if they can help you and want to help you, then let them.

Sometimes it may be on a commercial basis, sometimes it may be on a more altruistic basis, but all that money spends the same.

So don’t be too proud to ask for help. In 2022, 44% of small businesses received funding from this source, so you are in good company!

Crowdfunding

Imagine hundreds, even thousands, of individuals believing in your dream enough to contribute. Crowdfunding platforms like Kickstarter and Indiegogo make that dream a reality. You connect directly with potential investors and lenders, offering rewards like early access to your products or equity in your business. The same model also works for business loans.

Craft a compelling campaign, engage with your community, and leverage social media to reach a wider audience. A staggering £34.6 billion was raised through crowdfunding in 2022 alone. Embrace the power of the crowd!

Angel Investors

Think guardian angels with deep pockets—that's the essence of angel investors. These wealthy individuals invest in high-growth potential start-ups, usually in the early stages of the business's life, in exchange for equity. While their criteria is usually strict, they bring valuable mentorship, connections, and strategic guidance to the table. Think Marc Andreessen, a renowned angel investor who famously said:

Be prepared to present a watertight business plan and demonstrate clear traction to attract these angel wings.

Venture Capital

For businesses with explosive growth potential and well-defined exit strategies, venture capitalists (VCs) might be the golden ticket. These firms invest large sums in exchange for significant equity, aiming for exponential returns. The competition is fierce, and VCs expect robust business plans, proven traction, and a clear path to profitability. As a 2023 CB Insights report highlights, a whopping £715 billion was invested by VCs globally in 2022. If your vision paints a unicorn picture, chase those VCs with a plan as sharp as your ambition.

Equipment Leasing

You will probably understand the concept of equipment leasing, even if you don’t realise you have used it before. Taking a car on finance is just that. But it doesn’t just have to be used to finance cars.

All kinds of business assets can be financed, from plant and machinery to the cabling for a new computer system. Different funders have different appetites for the types of equipment they will finance, but there is usually someone out there for everyone.

And if you can’t lease, then maybe look at renting—anything you can do to reduce upfront capital costs.

Invoice Factoring

Waiting on clients to pay can cripple your cash flow. Invoice factoring offers a solution. You sell your outstanding invoices to a finance company at a discount, receiving immediate cash to fuel your business while the funder collects payment from your client. While fees apply, it can be a lifesaver for businesses with slow-paying customers. 

One of the great features of invoice finance is that it is the quality of the customers you invoice that matters most to the funder. So even if you have poor credit, as long as your customers don’t, you can most likely finance their invoices.

In the UK, the invoice finance industry is estimated to be around £3 billion.

Grants

Free money? Yes, please! Government agencies, non-profit organisations, and even industry-specific groups offer grants and competitions specifically designed to support innovative entrepreneurs. Research opportunities relevant to your business, craft compelling proposals, and highlight how your venture aligns with their objectives. The competition can be fierce, but the potential reward is significant. From 2021 to 2022, the UK government spent £172 billion on grants. So, sharpen your proposal writing skills and get chasing some of that cash!

Supplier Finance

This is one of my favourites and something I have used many times over the years. If you have suppliers who are heavily dependent on you, then use that leverage to get them to help fund you.

Suppliers need distribution for their product, and if you can provide it, then you have something they need. You can give them what they need while they give you some cash that you so eagerly seek!

I have done this with security guard suppliers, beer suppliers, gaming machine suppliers—anyone with whom I have done serious amounts of business.

You may be put off asking your suppliers about this one because it is unusual. But this is entrepreneurial warfare, and it is time to think outside the box! If you don’t ask, then you don’t get.

The journey to secure funding is often one of the toughest roads you will walk as a business owner. It's filled with twists, turns, and, often, dead ends. But the most creative survive, and that's what I am trying to give you an example of in today's letter. Slightly and very unusual methods of raising funding when the mainstream avenues are closed.

If you have a business you are looking to finance and have property security that can be offered, then my team at Funding Guru would love to chat.

And if you have hit a dead end on raising funding for your business and need my help to get you thinking of alternative methods and strategies, then book a 30-minute coaching call with me today!

Education isn’t just about cramming facts into your brain within the four walls of a classroom or sticking to the confines of a university campus. No, it's way bigger than that. Whether you've made it through the uni or took a different path, it sure shouldn't dictate your entire journey to success.

Now, picture this: you're in one of those industries where change is the only constant. I'm talking about the ones where trends shift, algorithms change, stocks fluctuate, etc. In these fast-paced arenas, your ability to soak up knowledge like a sponge, roll with the punches, and really listen becomes your golden ticket.

And let me tell you, from personal experience, embracing this ethos of continuous learning has been an absolute game-changer. It's like having a secret weapon in your back pocket, helping you through the twists and turns of innovation and success. So, don't just sit back and watch the world go by—get out there, open a book, listen to a podcast, keep those ears open, and never stop learning!

I had an absolute blast rocking the mic as a guest speaker at the 7FSS Mastermind, hosted by the one and only Charlie Johnson (@charliejohnfitness). Charlie, an Online Fitness Coach who teaches strategies from his own multi 7-figure fitness business, curated an event that was nothing short of transformative. Almost 7 years since Charlie quit his job as an estate agent, and now he’s hosting our fourth 7FSS mastermind on scaling a 7-figure business - pretty impressive right?

In my presentation, I delved deep into the power of networking – a topic near and dear to my heart. Networking isn't just about exchanging business cards or adding connections on LinkedIn; it's about forging meaningful relationships that can catapult your success.

During my talk, we delved into various facets of networking, from highlighting the number one reason people often dread it to uncovering the biggest mistakes people make when they network. I shared insights on the three types of people I prioritise in my network and the two key approaches I employ when fostering those connections.

But perhaps the most valuable part of our discussion was when we broke down my four-step process to cultivating a millionaire network. Drawing from my own experiences, I highlighted the importance of authenticity, consistency, and genuine engagement in building relationships that withstand the test of time.

Of course, no conversation about networking would be complete without addressing the common pitfalls of relationship building. From overlooking the power of follow-up to neglecting to add value to your connections, we explored the biggest mistakes and how to sidestep them with finesse.

That’s not all they got out of me, we also had an engaging Q&A session, where attendees had the chance to pick my brain about networking strategies or any other burning questions on their minds.

Speaking on a Q&A, do you have any burning questions you’d like me to answer?? Ask me anything, and I WILL answer them on my INSTAGRAM story next week! HOWEVER, you’ll need to follow me to get the answers.

From the ice to ROARing success, I sit down with an athlete-turned-entrepreneur, Sarah Lindsey. We explore Olympic training, setbacks, and the rise of Roar Fitness. From securing investments, navigating lows, and gaining insights into the fitness world with celeb clients, weight training resurgence, and more!!

Listen here now!

P.S…… I know some of you are big fans of this newsletter because you email me and tell me about it. But you still aren’t sharing it with your friends! So use the link below to spread the word and you’ll qualify for some goodies soon!