Venture capital is one of the few financial resources a startup or small company can access to obtain large scale funding for growth and expansion. However, attracting a VC firm and convincing them to invest in your business venture is not easy. In fact, only the best business ideas with the best people will be lucky enough to receive a nod from a venture capital firm.
Having a great business idea and plan is not always enough. Entrepreneurs may have a knack for creativity and developing business ideas, but communication and sales may not be their strong point. An entrepreneur who recognizes this fact will be wise to hire a public relations and communications expert to be the front person for the company.
Benefits of a Public Relations Expert
- Contacts - Experienced PR people have a long list of contacts and networking resources. They know what media sources to contact when attempting to make a promotional announcement, and may also know the right contacts who may know somebody who knows somebody in a venture capital firm. Having a wide stretch of network contacts can be a great benefit for a new business.
- Media Coverage – Your PR person can secure beneficial media attention before your business makes a presentation to a venture capital firm. A PR specialist will have the ability to write attention grabbing press releases that could result in free publicity from news sources. Positive clips from newspaper interviews or feature stories, or even videos from broadcasted news, can grab the attention of VCs.
- Great Presentation Skills – The right PR person will make the perfect spokesperson for your group. Their smile, cheerful attitude, and ability to communicate clearly and answer questions can thrust your business brand and reputation into the right VC hands. In many new business cases, the entrepreneur is a great central figure for the business model and development, but not always the best choice to make a presentation to potential investors. Make sure that when you get the chance to present to a VC firm that you choose the right person to perform the main speaking role.
Choosing a PR consultant or hiring a full-time PR spokesperson should be done carefully. Your PR choice could result in big savings in advertising costs with the right free publicity received from news outlets. Take a look at PR consulting firms and see if that is the right option. Sometimes the right choice is to hire a freelance PR specialist who can devote more time to learning your business and have a better understanding when making presentations.
Insist that you review a potential PR person’s experience and success. Your PR person should have experience and verifiable results in the areas you need, whether it is in presentations or media publicity.
Taking your business to the next level may require large funding from venture capitalists. Consider the possibility of hiring an experienced PR consultant to be your front person and helping make your company look its best.