September 20th-24th
Dear students, for this weekly forum we will discuss about: funding
You must answer one or both questions with a response of at least 200 words and using at least one reference in APA style.
A) Explain what are the advantages of working with an incubator or business accelerator. Why entrepreneurs do not know about this option?
B) Why do you think most entrepreneurs can´t access to funding? Present an example of one.
Remember that our deadline is Friday, september 24th before 11:59 pm. :)
PUT YOUR NAME AND LAST NAME INSIDE YOUR ANSWER.
Best regards!
Daniela Acuña
ResponderBorrar“A business accelerator is a program that gives developing companies access to mentorship, investors and other support that help them become stable, self-sufficient businesses.” Usually the businesses that use it are the ones that can stand on their own but need some type of guidance and support. By participating in one of these programs, you can have the benefits of personalised attention from experts, evaluation and weaknesses identification, innovation, access to clients and investors, in-depth analysis of customer needs and sales improvement. However, less developed companies not ready for an accelerator would instead use a business incubator for support. “Business incubators are specially designed programs to help young startups innovate and grow.” They provide resources that allow them to take shape while working at a lower cost during the early stages. Some advantages are the networking opportunities, exposure to leaders and mentors, access to funding, low-cost space and access to expensive equipment.
It is easy to get overwhelmed with everything you have to do as an entrepreneur. I think that those who don’t have enough information, aren’t fully prepared or don’t do a complete research, don’t know about this option.
When you start your own business you are taking several risks, and for many entrepreneurs securing the funding needed is something hard to do. “There is a limited amount of funding available to startup founders and innumerable new ventures born every day that will be competing for it.” The three most common mistakes people make looking for an investment are not understanding your financial situation, underutilizing the management team and lacking a clear go-to market strategy. However things like having a poor or non-existing business plan, a bad idea or timing, seeking the wrong investors or not being skilled enough has a huge impact.
6 benefits of participating in a business accelerator. (n.d.). Technology HUB. Retrieved September 21, 2021, from https://t-hub.mx/en/blog/131/6-benefits-of-participating-in-a-business-accelerator
Major Benefits Of Startup Incubators. (n.d.). OpenGrowth. Retrieved September 21, 2021, from https://www.opengrowth.com/article/major-benefits-of-startup-incubators
Draper University. (n.d.). What Is a Business Incubator and How Does It Work? Draper University | Silicon Valley Entrepreneurship Program. Retrieved September 21, 2021, from https://www.draperuniversity.com/blog/what-is-a-business-incubator
Business accelerator. (2021, August 9). BDC.Ca. https://www.bdc.ca/en/articles-tools/entrepreneur-toolkit/templates-business-guides/glossary/business-accelerator
Jackson, P. (2014, June 10). 3 Reasons Entrepreneurs Fail to Secure Funding. Entrepreneur. https://www.entrepreneur.com/article/234604
Gibson, J. J. J. D. (2018, 8 marzo). Why Most Entrepreneurs Cannot Get Any Funding: For-Profits. LinkedIn. https://www.linkedin.com/pulse/why-most-entrepreneurs-cannot-get-any-funding-gibson-jd-mba
Domenica Boehm Peniche
ResponderBorrarA business incubator can bring several advantages because it focuses on the growth of a new company, providing services and resources to help them learn. Some of the benefits are management training, advisory services, access to loans and potential investors, assistance related to marketing and research. Furthermore, working with an incubator can offer you the ability to enter a strong chain of partners, because if you came only by yourself to ask for a partnership you wouldn't be able since you don't have the experience, so by being part of an incubator, the applicant would be able to overcome those obstacles. Also, by having this structure it allows workers to start focusing on what matters the most that is the center of the business.
“As a member of a specialized incubator myself, I have earned numerous benefits. My company is a creation of the independence of two European online advertising agencies. By being part of an incubator and accelerator it helped my business grow, because incubators assist companies and accelerators guide organization through future expansion and development.” Said Matthijs Keij, who is a testimony that this business strategy really works and could play a fundamental role as a new entrepreneur.
However entrepreneurs don't know about this option because they are focused on a way to earn money, they are people who have responsibilities that may prevent them from leaving their actual jobs to commit full time to new ideas. In addition new entrepreneurs aren't able to manage the business on their own, because they don't have enough experience leading them to ask for advice in the wrong paths, causing a complete malfunction in the emerging business.
C. (2017, March 30). Startup CEO says survival of the fittest is smarter than incubator model. MedCity News. https://medcitynews.com/2012/03/the-problem-with-startup-incubators/
Cole,S. (2014, March 13).4 Major Benefits Of Startup Incubators. Fast Company. https://www.fastcompany.com/3027636/4-major-benefits-of-startup-incubators
Francesca Cariello
ResponderBorrarA business accelerator is a program that gives a business a mentor to guide them, investors and supporters that help them start and be stable and eventually successful business; it has 2 main types, the seed programs and the second-stage programs which have many advantages, some of which are the following: personalized attention from experts, it gives them a mentor and some type of leader with experience to guide them and give them useful advice and helps them pave the way to a successful business. Then there is evaluation and weaknesses identification, the mentors mentioned before gives them support and a way to evaluate and identify their weaknesses. Innovation is the following advantage: the mentors help them identify in which areas of the business there’s the need of improvement and how to do so. Also, they give them access to clients and investors with their own contacts and to establish relationships with people that might and will help. In-depth analysis of customer needs, they have a type of focus group or way of communication between the business and the client, which gives them an exact point of view of what the client needs and is looking for. Finally, sales improvement, they teach them about how they are supposed to approach to the clients and gain confidence.
References
López, B. R. (january de 2020). TechnologyHUB. Obtenido de TechnologyHUB: https://t-hub.mx/en/blog/131/6-benefits-of-participating-in-a-business-accelerator
bdc. (s.f.). bdc. Obtenido de Business accelerator: https://www.bdc.ca/en/articles-tools/entrepreneur-toolkit/templates-business-guides/glossary/business-accelerator
Alberto Andrés Ricalde
ResponderBorrarAfter my research this are some advantages that you can get when working with a business accelerator:
Comprehensive support,A full roster of activities,Investor access,Accelerated knowledge,A gateway to future customers,Skills development,Risk management, A bigger-picture, long-termview, And all the help you need.
Also we need to know that incubator and business accelerator are different and that means that you will need to think and choose the one that fulfills the needs that you have.
And I think this is not very common because the only one that I know is the one in the Anáhuac and some other universities so I thats why , also entrepreneurs need to do more research.
Most entrepreneurs don’t know how to get funding that’s the first thing we need to be worried about , and also is not cheap so the money you will need is a lot, an example is that many entrepreneurs are young so they didn’t have the credit history to get approved for a bank loan and that is one of the basic funding and also all the information you need and a plan for the future of your project and also like I said before getting money while being young is something difficult
https://www.entrepreneur.com/article/308764
Italo Altamirano
ResponderBorrarAnswering question A, some advantages of working with an incubator is that the structured environment and curriculum of an incubator can help a your business to keep focus and to grow in the right direction, giving stability to your young business and more chances to actually succeed. Incubators also offers business development programming such as workshops and panel discussions, giving you a real idea of what you could deal with in your business. The incubators act like mentors for young entrepreneurs without much experience and resources. They are organizations which support the creation and development of small or micro businesses in their first stages. They support new entrepreneurs in aspects of business management, such as low-cost and even free access to installations and resources, in an attempt to reduce the inherent risk in creating a new business idea or a hole company. They are an incredible help, but actually not a lot of people knows them. For some reason this option is not very known by new entrepreneurs. I haven’t heard about them myself before this class, but considering that it’s a very good option, with very good results it odd that that ere not very known.
Over the 80% of entrepreneurs don’t get funding, it’s a huge amount of people, and they actually don’t get it for reasons that could sound very dumb like, not having a plan for your business. How could you propose your business idea expecting them to give you funding and not having a plan for your businesses, without having goals or knowing where you want your company to go. Sometimes you just propose a bad idea or you proposed it wrongly, and you don’t get funding. Sometimes you’re not skilled enough. And sometimes it’s just because you don’t have much money or you don’t have much sales, and for a new entrepreneur is very difficult this part because when you’re starting you business you don’t have neither.
Business Incubators: Pros and Cons. (2021, 27 marzo). Accion Opportunity Fund. https://aofund.org/resource/business-incubators-pros-and-cons/
Gibson, J. J. J. D. (2018, 8 marzo). Why Most Entrepreneurs Cannot Get Any Funding. LinkedIn. https://www.linkedin.com/pulse/why-most-entrepreneurs-cannot-get-any-funding-gibson-jd-mba
Incubators. (s. f.). Secretaría de Economía. http://www.2006-2012.economia.gob.mx/mexico-emprende-en/enterprises/incubators
Thalia Madrigal
ResponderBorrarAn incubator is an organization which helps startups business to grow and succeed, they provide the free or low-cost workspace, mentorship, expertise, access to investors, and also sometimes, working capital in the form of a loan. To join an incubator you have to apply, get accepted, and the follow a schedule in order to meet benchmarks, like in college. Joining an incubator have some benefits, for example, free or low - cost workplace, gives you access to benefits that can help accelerate your business, sometimes they offer business development programing such as workshops and panel discussions, gives you an advantage when seeking funding, they might access to office must-haves like internet, administrative support and production equipment, and also the environment and curriculum of an incubator can help a new business keep focus and grow in the right direction. All this gives you such a great advantage and makes you grow faster, which is better for your company.
I think that some of the cases that entrepreneurs can’t access founding is due to a risky business, because there’s a limited amount of founding available to startup founders, and investors can’t open their wallets for every good idea that exists. For example, the Chef Big Shake when to shark tank to try luck, but the investors weren’t really interested because of their big valuation and they tough it was too risky.
Business Incubators: Pros and Cons. (2021, 27 marzo). Accion Opportunity Fund. https://aofund.org/resource/business-incubators-pros-and-cons/
María Fernanda Ramírez
ResponderBorrarBusiness incubators are centers that host industrial or industrial activities for the look and formal launch of merchandise or services; during this space, entrepreneurs are supported in key aspects of their activities, reminiscent of the event of business plans, selling strategies, financing, etcetera during this way, it's attainable to make a protected atmosphere for the development of recent businesses, that produces a considerable increase within the success rate of incubated businesses.
Business incubators promote the connection between universities and companies, generating models of urban-industrial development; establish support networks and exchange of products, services and information; look for to take advantage of state programs and subsidies; generate selling networks, new markets, promote investments and, higher than all, consolidate businesses and support entrepreneurs with a business vision.
the benefits of operating with an setup is several, among them are providing economic support wherever they will advise on some form of entity to that they need to travel to use for funding with a bigger likelihood of success. It conjointly helps to optimize resources and so be ready to cut back a company' expenses.
Don't initiate or conduct themselves in strategic sectors.
On many occasions, the businessperson likes his business most that he doesn't notice that there's no marketplace for him or that it's already terribly saturated the entrepreneur should savvy to pay attention Knowing the conditions within which the market is found will participate and can know how to alter with it.
Gabriela Muente. (2019). ¿Qué es una incubadora de empresas y cómo funciona?. 23-09-21, de rockcontent.com Sitio web: https://rockcontent.com/es/blog/incubadora-de-empresas/
Cristina Argudo . (2017). Ventajas e inconvenientes de las incubadoras de empresas. 23-09-21, de emprendepyme.net Sitio web: https://www.emprendepyme.net/ventajas-e-inconvenientes-de-las-incubadoras-de-empresas.html
Daniel Martinez
ResponderBorrarSo why I think most entrepreneurs can't access to funding? so almost all of the entrepreneurs that fail starting up a business is because either the lack of capital or fundings. It's not like you can start your business and ask for an unlimited amount of funding, there is a limited amount available only and starting up a business with a funding it's still risky, there are 3 mistakes that can be the most common for entrepreneurs when funding, first of all not understanding your financial situation, you have to know what you are able to spend and if it will be worth it once you start getting incomes, trying to see how long will you get your investment back. Also underutilizing the management team you can't be successful on your own, you have to make sure that you are surrounded by the right people and that they will have some value to your business, if you have a great working team you could convince any investor that your team will be prepared to successfully overcome all the problems and challenges that might come with a business. For the last mistake is lacking a clear go-to market strategy, not having this can be very crucial for your company competitive advantage which could affect your success, you have to see how can you fit in the market looking at your other competitors and making a better plan and studying your competitors you could make some changes to your product to make it more special and different from others, if you can prepare for those challenges before entering the negotiation you will have a great advantage and way less risk to take and make a great impression on an investor and leave with the funds that you might need.
Jackson, P. (2014, 10 junio). 3 Reasons Entrepreneurs Fail to Secure Funding. Entrepreneur. https://www.entrepreneur.com/article/234604
Kristell Cervera Macari
ResponderBorrarNowadays, businesses can look up for business incubators, which promise to help them to grow their success by creating new opportunities in aspects such as employment, supportive environments, new market opportunities, and many more strategies that emphasize in the efficient increase of knowledge in the business.
Then, we can also count on business accelerators, which as well as incubators, it focuses on the growth and increase of knowledge in the business; but in this case looks up to emphasize in sales; as well as mentoring, preparing, and gaining partners for the business, in order for it to grow from the core, to external relationships with potential actionists, customers, or partners as said.
In the case of accelerators, businesses don’t tent to think they’re needed, but in reality they hand out all the information, statistics and processes that you’ll need in order to be prepared for finding a founding partner that will actually want you product; because for a fact, (as we know) funding provides financial resources, to help a business, program, campaign, etc. But, it can be so hard to access to these, specially small businesses, usually caused by lack of growth, plans, quality, effciency, or trust in the company investors may perceive.
Ruiz, B. (January 14th, 2020). “Business accelerator; the tool you don't know you need.” T-Hub. Retrieved from: https://t-hub.mx/en/blog/129/business-accelerator-the-tool-you-dont-know-you-need
Seidy Ortega
ResponderBorrarThe growth of business incubators around the world has not been accidental: they have proven their usefulness in promoting new projects and businesses, remaining directly linked to entrepreneurship. Their ability to make a multitude of projects and business ideas profitable, especially those related to innovation and new technologies, has transformed them into a figure idealized by young entrepreneurs. Some advantages of business incubators are:
* They can provide financial support - they can advise on the type of entities to turn to to apply for financing with a greater guarantee of success or, in some cases, facilitate financing themselves.
* They provide logistical and management support - new projects tend to have a training deficit because they do not have clear ideas about organization and the bases to create a company from the beginning.
* They provide a personalized treatment - adapt to the needs of each of the projects they promote.
* Helps optimize resources - optimize available resources and reduce expenses that, in a starting company, are always too many.
* Minimize risks - it is possible to start a business without risks, since you have the necessary advice to make the right decisions.
Entrepreneurs do not know in this option due to lack of knowledge that there are business incubators and many times they start small businesses and over time they grow and get out of control. That's when they seek that guy for help. Some entrepreneurs have little capital that they see it as an expense far from seeing it as an investment.
Reference
Argudo, C. (2017, 30 noviembre). Ventajas e inconvenientes de las incubadoras de empresas. Emprende Pyme. https://www.emprendepyme.net/ventajas-e-inconvenientes-de-las-incubadoras-de-empresas.html
Patricio Lübcke Conde
ResponderBorrarAn incubator is an organization designed to help people who wants to grow up an businesses and succeed by providing free or low-cost workspace, mentorship, expertise, access to investors, and in some cases, working capital in the form of a loan. An incubator in your organizations provide you a lot of good thing like they will provide you free or low-cost workspace that allows you to reduce overhead while you grow, will help accelerate your business, including office space and services, mentorship, expertise, influence, and sometimes capital.
Most of entrepreneurs don’t know about this because most of the people started their business without help and they were going up alone or because they don’t know about financial education too because they could think that the incubators will destroy their capital, they’re scared of giving his money to people they don’t know and that they losing the money,
there are thousands of entrepreneurs who fail each year because they could not get the funding they needed to start up or grow. The exact reason why they couldn’t raise any funds varies from person to person
Many new entrepreneurs often time make the mistake of confusing a business idea with an actual operating business.
Having bad ideas, some are bad because they may be before or after their time, some because they wont make any money.
Johnny J Gibson (31/10/15) Why Most Entrepreneurs Cannot Get Any https://www.linkedin.com/pulse/why-most-entrepreneurs-cannot-get-any-funding-gibson-jd-mba
After I did my research I was able to find that business accelerators are organizations that offer a range of support services and funding opportunities for startups. They tend to work by enrolling startups in months-long programs that offer mentorship, office space and supply chain resources. More importantly, business accelerator programs offer access to capital and investment in return for startup equity. Startups essentially ‘graduate’ from their accelerator program after three or four months which means that development projects are time-sensitive and very intensive.
ResponderBorrarOne great detractor of incubators and accelerators is that they are usually found in large cities. 54.4% of the incubators in Europe reside in an urban environment and 45 % of incubators in the US. In the United Kingdom two-thirds of the incubators that exist are centered in London.
Accelerators and incubation programs tend to be expensive or require entrepreneurs to give up equity. While the fee for incubators can vary greatly, in the United States they tend to charge between a few hundred to a few thousand dollars a month, and 66.7% of all incubators require clients to pay a contribution towards or to pay the entire cost of a particular service. The top accelerators and incubators also tend to have very low acceptance rates. Accelerators fluctuate between 1 and 5 percent acceptance rates, and incubators also have low acceptance rates. There are about 9,000 incubators world-wide with about 280 million early-stage entrepreneurs attempting to launch a business in the last year. With a mean of 20 tenants per incubator there are not many spaces available to accommodate all of these entrepreneurs.
After I did my research I was able to find that business accelerators are organizations that offer a range of support services and funding opportunities for startups. They tend to work by enrolling startups in months-long programs that offer mentorship, office space and supply chain resources. More importantly, business accelerator programs offer access to capital and investment in return for startup equity. Startups essentially ‘graduate’ from their accelerator program after three or four months which means that development projects are time-sensitive and very intensive.
One great detractor of incubators and accelerators is that they are usually found in large cities. 54.4% of the incubators in Europe reside in an urban environment and 45 % of incubators in the US. In the United Kingdom two-thirds of the incubators that exist are centered in London.
Accelerators and incubation programs tend to be expensive or require entrepreneurs to give up equity. While the fee for incubators can vary greatly, in the United States they tend to charge between a few hundred to a few thousand dollars a month, and 66.7% of all incubators require clients to pay a contribution towards or to pay the entire cost of a particular service. The top accelerators and incubators also tend to have very low acceptance rates. Accelerators fluctuate between 1 and 5 percent acceptance rates, and incubators also have low acceptance rates. There are about 9,000 incubators world-wide with about 280 million early-stage entrepreneurs attempting to launch a business in the last year. With a mean of 20 tenants per incubator there are not many spaces available to accommodate all of these entrepreneurs.
The Problems with Incubators, and How to Solve Them. (2013, August 26). Harvard Business Review. https://hbr.org/2013/08/the-problems-with-incubators-a
Business accelerators are a concept that I did not know existed until I began to investigate and realized that it is something very cool and useful because it will open the doors and give you options that you normally would not have without these companies and something that It made me think is that if I did not know about the existence of this concept then it was very likely that other people did not either, which is strange because the idea itself is very interesting.
BorrarIncubators and accelerators both provide mentorship, technical assistance and, in some cases, funding opportunities. Incubators typically offer long-term support (possibly spanning several years) and are available to a broad range of companies. On the other hand, accelerators are generally short-term, industry-specific programs for startups.
Now one of the main causes that I investigate why entrepreneurs do not get funds is due to the valuation and that is that in this field you have to be very realistic with the situation of your company because otherwise investors will not want to take a risk that later They will regret it, therefore, you have to be fair and know how to measure an evaluation well and correctly so that in the future investors will be interested in investing.
12 Reasons You Didn’t Get Funding for Your Startup. (2018, March 8). Linkedin. https://www.linkedin.com/pulse/12-reasons-you-didnt-get-funding-your-startup-greg-coticchia-mba-pc
9 Reasons Why Startups Need Incubators. (n.d.). Universitylabpartners. Retrieved September 24, 2021, from https://www.universitylabpartners.org/blog/why-startups-need-incubators
Roberto D. Sena M.
ResponderBorrarThe business accelerator definition is a program that includes mentorship, education, and typically a “demo day” where companies are able to pitch their business to the business community.
The purpose of a business accelerator or accelerator programs is to grow young companies by nourishing them with the support, connections, and knowledge they need to be successful.
Start ups, early stage companies, or subsidiaries of existing companies participate in business accelerators to accelerate their sales, operations, and financials.
Accelerators can significantly increase the size and value of your business in a short period of time and can be an ideal gateway to venture capital, especially for businesses whose founders are new to the start-up ecosystem. In addition to the capital that is the lifeblood of every business, accelerators can support new businesses through networking, strategic, advice and validation.
They do not know why it is difficult to enter something like this, because nobody wants to invest in something that is not going to generate a profit to them.
There are a ton of incubators and accelerators that you can apply to, but it’s worth noting that they’re not all created equal.
https://smallbiztrends.com/2016/08/business-accelerator-differ-incubator.html
https://strategiccfo.com/business-accelerator/
https://fi.co/insight/read-this-before-applying-to-an-accelerator
Valeria Bravo Sahagún
ResponderBorrarWe know as a fact that a business incubator is an organization designed to help startup businesses grow and succeed by providing free or low-cost workspace, mentorship, expertise, access to investors, and in some cases, working capital in the form of a loan. It gives you the chances to start your business with a good start, so your business can have since the beginning potential, it helps to take your business little by little to achieve a successful business and grow and in the same way learn to make the best choices to keep growing the business.
Some of the advantages that a business incubator can provide are the followings, it will give your business access to benefits that can help accelerate your business, it may also offer business development programming such as workshops and panel discussions that can be very helpful especially with new businesses and beginners that are still learning, it can make investors to invest and trust in your business if the incubator is of their trust so they know that your business have potencial and that is growing in the right direction, the structured environment and curriculum of an incubator can help a new business keep focus and grow in the right direction. These are some of the advantages of working with a business incubator that are essential to know about because it can open multiple doors for growth, recognition and success for your business.
Some entrepreneurs don’t know about this option because new entrepreneurs often underestimate the importance of intangible resources, such as business knowledge and social capital that are vital in the process of building a future of a business. It is important to consider this option when you are starting a business entrepreneur so it can give you better chances of having a powerful start.
Accion Opportunity Fund . (2021). Business Incubators: Pros and Cons. Septiembre 24, 2021, de Accion Opportunity fund Sitio web: https://aofund.org/resource/business-incubators-pros-and-cons/
Andrés Garza:
ResponderBorrarIt is quite a sad fact that many entrepreneurs don't have access to funding. Now, there is quite a few reasons for this, which as sad as it may be, makes it logical. One reason for this is because all investors are looking into getting profit from the investment. If your company is not promising in their eyes, they will not want to put money into it, since in their mind, the probability of your company doing well is low. This is quite troubling for some entrepreneurs, but thankfully, some of these do make it, even without funding. One example of this is Ring. Ring is a company that sells smart doorbells equipped with a camera that tells homeowners when someone is at their door. It also shows them live video of their front door. This product was presented in the TV show Shark Tank, but the investors decided that the idea was going to be a failure. It ended up being a huge success, with thousands upon thousands of sales across the U.S. In conlusion, the main reason why entrepreneurs can't have access to funding, is because to get proper investments, you have to have a pretty good idea, at the end, your idea isn't the only one being presented to these investors, so they have to choose what they think will bring them more future profit.
Bishop, T. (2019, 5 abril). Shark Tank’s billion-dollar blunder: How startup Ring went from TV rejection to Amazon acquisition. GeekWire. https://www.geekwire.com/2019/shark-tanks-billion-dollar-blunder-startup-ring-went-tv-rejection-amazon-acquisition/
Fernando Palmer
ResponderBorrarThe main thing that a business accelerator does is to give the entrepreneurs the facilities to bring their ideas to live or to make them bigger and also to give them memories where they can get the knowledge they need to begin in exchange of having a percentage of the idea or business. I think that many entrepreneurs don´t know about this facility because usually incubator programs do not make too many advertisements to be known or maybe because is not very known here in Mexico. The advantages of working with a business accelerator as the name says is that it accelerates and makes faster the process of bringing your idea to live or to make your little business to grow faster, also the advantages of working with them is that in the majority of times the entrepreneur’s idea needs a lot of capital to start and as a young person not everyone has a lot of capital to put in risk or even to invest so that’s one of the advantages, also is the experience and knowledge they are going to bring because the incubator programs work with these all the time and know what are the risk factors and opportunities and the last one is that they have a lot of contacts that many of the entrepreneurs can´t have, an example is that if you want to create an app, you need to get at list 2 years of coding courses, and instead of getting yourself in a 2 year coding course you just give a percentage of you business idea and you´ll probably have in less than 3 month a running app.
I think many entrepreneurs can´t access to funding because funding always is something really strict in the way of that you need certain age, experience or a really but really good idea that can´t give any problems or issues or the least wanted to the investor is to lose all their capital in your business idea, an example is that in shark tank almost everyone has more than 18 years of age, have a degree, experience but not all of them get what they want because the investors care a lot about giving their capital back with the least amount of risk, sometimes people go with really good ideas but they don´t get funding because the risk is a lot or because the only way to prove the idea is right or wrong is to put capital on them and risk their money.
“¡Creo que la idea está retrasada tres o cuatro años!” | Shark Tank México. (2021, January 15). [Video]. YouTube. https://www.youtube.com/watch?v=fFyrs6FiuRo
Jos Mendoza
ResponderBorrarThe advantages of working with an incubator are funding, most entrepreneurs don’t have a lot of money to start off their business, so they need investors in order to succeed and have their business idea come to life. A lot of entrepreneurs don’t know about business incubators because it is not a very popular method of starting businesses, most people get investors and close friends, but a business incubator is very different from just investing.
I think that most entrepreneurs can’t acces to finding due to the lack of credit history, credit history is very important because it is a way for people to o le that you have the ability to actually pay them back, and a lot of entrepreneurs don’t have a good credit history or don’t have credit history at all, so in it is very importante to have a good credit history so people can invest in you and be sure you will be able to pay them back.
Natalia Xacur
BorrarA business incubator is a company that fosters the development of early-stage companies and startups by providing various services and resources to such companies. Business incubators are commonly established as partnerships or collaborations between several organizations such as investment-related ventures, government entities, economic development organizations, and educational institutions such as universities.
Although the range of the provided services and resources differ, in most cases, business incubators ensure the delivery of essential services and resources to the participating companies. Some of the services include the following:
Management training
Advisory services
Access to capital sources (loans, grants, network of potential investors)
Assistance with core business operations (accounting, market research, marketing, legal compliance)
Access to office space and other operating resources (necessary software, hardware, etc.)
I believe people often don’t get a funding because they tend to believe that they will not gain a good percentage of entrepeneurs. They will of course fund what they most likely think it will succeed and give them a lot of money. So not many business grow.