If you see certain studies on new businesses we will observe failure in most cases at an early stage. The only reason is lack of knowledge in raising funds from 2nd year.
Manufacturers raise funds for product manufacturing in an initial stage and also maximum for one year. If product gets success in market and clicks within a fraction of days or months then there is no problem but if it fails. We have to find an answer at our fingertips without delay. I think we know the reason also.
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If an entrepreneur has an idea about the innovative product to raise money then his dream comes true. Because he will find maximum possible ways to start earning. The maximum possible ways were to get funds for product manufacturing.
Know Before Raising Funds:
First thing present days getting funds is not at all easy. The second thing is that if you get funds in how many years we refund is important. Because long-term of refunding never make you grow for further levels.
Coming to the product we have to analyze the necessity of product period. If you analyze how many years the product will run in the market then we can estimate perfect results and profits.
For Example, a few years back we use floppy disks may be very few know about using present days. Later revolution in technology make us use pen drives, portable hard drives to store more data. The period of floppy disks is maximum for a couple of years.
So we have to know the existence of our product whether it runs for short period or long period.
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Publish The Product More Effectively:
This is more important for any manufacturer or Financier. Before the product getting its physical shape the virtual image has to create as early as possible.
Because this will help you to get more fans for your product. This will create initial funds for your product. Yes, This is true we can get funds for the initial stage.
We can collect funds in the name of the product as an advance to deliver the product in a couple of days. This is only possible if your product has quality and necessity.
For example, if you enter into real estate business the funds were collected at an early stage to get a nice flat. This will help the builders to complete the building without a financial problem.
Remember don’t collect the money by making fraud this never make you live a happy life. If you have a problem then refund the amount in a couple of days.
Why Is Getting Initial Fund Important?
If you have a product idea and want to get a loan then we can get from banks with security. After that, we have to work and promote our product. This requires a couple of weeks and months. Up to output without sales, we have to maintain staff, machinery with personal amount and loan.
If you generate sales before output this will help you to run your business in a smooth way. Moreover the product early sales develop an early report of success.
So developing product promotion at an early stage is best to get funds for a product by manufacturers.