At The Broadmoor in Colorado Springs, Front Range entrepreneurs hoping to attract capital heard from the venture capitalists themselves on important steps to take. Venture capital provides money to startup companies in Denver and across the state. The investors had come from states ranging from California to Texas.
The investors told the attendees that they should be able to pitch their company or their idea in just a few minutes. They were told to have an "elevator pitch" ready to go at any moment; the sales pitch should be refined down to just 25 words. The visiting investors felt that this was much more important than putting together a lengthy business plan. The venture capitalists also said they stay in communication with a company over a period of months. They get to know the partners and the whole team at the young company through extended dialogues.
Another thing that venture money is looking for is the company keeping the founder involved in the soul of the company. In addition, the use of trendy buzzwords is often wasted on venture capitalists. Owners of budding companies should be ready to state how their service or product will benefit the customer. It is also easier to make a pitch to a local investor. Attaining the attention of a venture capital group that is across the country is not impossible, just a little more difficult.
Colorado has a great environment for growing new businesses. An attorney who is knowledgeable in business and commercial law may be able to assist entrepreneurs with company formation and establishing the capital structure of a new company.
Source: Colorado Springs Business Journal, "Venture capital attracts minds to share ideas", Marija B. Vader, August 29, 2013