propelit.co.nz

Empowering Innovation

Raising Finance

The funding of new ideas occurs in stages and reflects the degree of risk that attaches at each stage of the commercialisation process. It is a natural law of investment that the higher the risk, the higher the return sought by investors. Investors do have different motivations however, so risk is treated differently between for example seed and angel investors on the one hand and venture capital investors on the other.

The basic stages are shown below:

 

 

 

 

As can be seen from the above chart, external funding typically occurs after initial seed capital has been invested, to enable the concept of the idea to be proven and its feasibility demonstrated. 

Propel offers professional assistance to confirm proof of concept and optimise feasibility before submission to investors. First impressions are very important. It pays to have a professional presentation with all the necessary details backing up proposals.