Product Description
Historically, the most common ways to raise financing for SMEs was through bank loans or through the stock markets. But banks are notoriously risk-averse and conservative in lending to small businesses, and the great bull market is over. For most small and medium sized companies, the small cap public issue market is no longer a viable source of financing. Enter private equity. There are billions of dollars of private equity funds available in Canada and millions of SMEs looking for money, but the two don’t always know how to find one another and, when they do, usually don’t speak the same language. This is the book that explains to business people what private equity financing is, how it works, how and where to find it, how to be successful in attracting it, and all the advantages and disadvantages of raising financing in this way.
Money Magnet is for entrepreneurs in emerging growth companies who are seeking financing and want to explore the benefits of the private equity option. In language that entrepreneurs understand, Jacoline Loewen demystifies the world of private equity in this simple yet comprehensive guide. Money Magnet explains what private equity is and how it works; compares it with traditional sources of financing, such as banks and stock markets; explains the different types of private equity investors (e.g., angels, venture capitalists, fund managers and institutional investors); outlines the benefits and pitfalls; describes how to meet venture capitalists and fund managers; shows how to make a convincing pitch to an investor; reveals what makes investors cringe and what makes them open up their cheque book; provides strategies to deal with the four brutal questions all investors ask; explains in detail the deal process and the deal sheet; gives advice on common conflicts between investors and entrepreneurs and how to manage them; includes a detailed checklist of what an investor wants to know about you and your business; and much more.
From the Inside Flap
As traditional finance options tighten up, private equity is an increasingly important source of capital, both debt and equity. There are billions of dollars of private equity funds available in Canada and millions of businesses looking for money, but the two don’t always know how to find one another and, when they do, usually don’t speak the same language.
Intensely practical and laced with first-hand stories from entrepreneurs and financiers, Money Magnet is the complete how-to guide to private equity for business founders and owners: what it is and how it works, how and where to find it, how to be successful in attracting it, and all the benefits and pitfalls of raising financing this way.
Money Magnet is the ultimate insider’s guide to PE, busting countless myths, taking you behind closed doors with investors, and giving you all the tools you need to be successful in attracting private equity:
- Describes how to meet venture capitalists and fund managers.
- Introduces the different types of PE investors (e.g., angels, venture capitalists, fund managers and institutional investors)
- Shows how to make a convincing pitch to an investor.
- Reveals what makes investors cringe and what makes them open up their cheque book.
- Provides strategies to deal with the four brutal questions all investors ask.
- Explains in detail the deal process and the deal sheet.
- Gives advice on common conflicts between investors and entrepreneurs, and how to manage them.
- Includes detailed checklists of what an investor wants to know about you and your business.
From the Back Cover
Money Magnet is the solution to your money worries. It's the complete how-to guide to attracting private investors—debt and private equity—for business founders and owners. It reveals what private investment is and how it works, the benefits and pitfalls, how and where to find it, and how to be successful in attracting it.
Praise for Money Magnet
"Every ambitious private business owner should understand the role of investors and how to attract them. Money Magnet is an indispensible guide to the process."
—Austen Beutel, Chairman and CEO, Oakwest Corporation Ltd.
"Don't put another nickel into your business until you have read this book. Money Magnet is Financing 101 for entrepreneurs and owners who want to grow their business."
—Greig Clark, Entrepreneur (College Pro Painters and Arxx Building Products) and Venture Capitalist (Horatio Enterprise Fund)
"Money Magnet begins with a startling proposition: some businesses succeed more than others simply because they know how to raise money. By sharing these processes, tools and secrets, Loewen is daring Canadian entrepreneurs to dream bigger than they've ever dreamed before."
—Rick Spence, Entrepreneurship Columnist for the National Post and PROFIT Magazine
For more information, please visit www.loewenpartners.com
About the Author
Jacoline's other roles include mentoring for the Canadian Youth Business Foundation, serving as a judge for the Ivey Business School's annual Business Plan Competition, sitting on one of the University of Toronto's Rotman MBA IMC volunteer boards, as well as being a member of Canadian Association of Family Enterprises and Women in Capital Markets. She was on the Board of Directors of the Strategic Leadership Forum as well as Bilingo China and Innovation Exchange.
Jacoline organizes CEO Roundtables and other conferences to transform the way CEOs and owners see their company and to encourage innovation and powerful growth. She is also the author of The Power of Strategy (1997), and Business Evolution (2001).