The U.S. based system of capitalism sets the environment where almost anyone with a great idea can create a business that will serve the needs of customers. This requires 1) a product or service that customers want or that fills a need (Product), 2) the ability to produce and deliver the product or service at a cost that will allow for a profit margin (Economic Feasibility) 3) the ability to communicate the benefits of the product or service to potential customers (Marketing), and 4) the financial means to get the product or service developed and into the market, communicated to clients and for the ongoing sustainability of operations (Capitalization and Funding).
Today we will be addressing Capitalization and Funding for businesses in various life cycles and situations. Ensuring that your company is properly funded helps insure the viability and scalability of the business. A company that is starved for funding may not be able to take advantage of opportunities that are readily present, while a properly funded company will have many more opportunities for growth and success.