Funding your Business Guide

www.angelsden.com www.minerva.uk.net www.growthbusiness.co.uk/20-angel-investor-networks-you should-know-about-2557925 Business Partnerships Offering equity to an investor is normally done by forming a company. However, there are other ways to get equity into your business through the partnership structure. In our business structure guide we discuss general partnerships where you could go into business with one or more partners. This way you could get investment but also share in the profits with other individuals. Alternatively, you could enter into a limited liability partnership where one partner invests but does not manage the day-to-day operations.

accelerate your business growth and obtain the investment you need. Anyone who has watched the Dragon’s Den series will understand what investors can bring and what stake they may want in the business. Many investors have a lot of expertise in the sector and may be more relaxed about when they want returns from the business. In equity you are giving investors shares in the business from which they will want dividends at the end of the year if your business makes a profit. You may have the overall control of the business but investors will want to have their impact at general meetings on the business direction so you could lose autonomy and privacy in your decisions. They will also have high expectations on the business, and this could add pressure for you to achieve the targets set out for their investment. Finding the right investor can take time, require you to pitch, consider the various offers, review and seek legal advice before you decide if the relationship is right. Sample Angel Investor Platforms www.crowdcube.com

www.angelinvestmentnetwork.co.uk www.advantagebusinessangels.co.uk