Image Source: World Bank
By Suhaib Mohammed
The globe has become smaller, thanks to social media and technology. Your next investor, partner or even customer is just a few clicks away. As a modern day entrepreneur, foreign investment is key in scaling up your business and expanding your market reach. Here are some tips on how to better position your company to attract more foreign investment:
Grow your assets
Foreign investors like to put their money in thriving businesses that have the potential to increase revenue and scale-up. As an entrepreneur seeking foreign investment, it is essential that you grow your company’s assets by building a reputable brand, growing your customer base, having a decent cash flow and financial projections. The process of growing your assets will take time, consistency and tenacity.
It matters to be competitive. Foreign investors don’t want to waste their time or resources on a company that can easily be dominated by another competitor in the industry. To better position your company, you must be a game-changer in your industry. Your must be able to offer a unique selling point (USP) and your product or service offering must also add value.
Create friendly corporate policies
If your corporate policies are not structured and favorable for foreign investors to come on board, it may be difficult to attract them. Foreign investors are more likely to do business with companies that have fewer bureaucracies and less cumbersome regulations. Create a corporate culture that is open, flexible, and friendly; it will open more windows for foreign investors to come your way.
Stabilize your company
Stability is the key for investment opportunities. No one wants to invest in a company that is not stable or is chock-full with crises. You must ensure that all the bottlenecks that might jeopardize your brand are dealt with, so that foreign investors will be confident that they are getting involved in a stable, efficient and long-term venture with a high return on investment.
Be open to regional and international markets
In attracting foreign investment, you must be open to new opportunities as they come. One key selling point for getting investors on board is the feasibility of your business to thrive in regional and international markets.
Positioning your company for foreign investment is a mindset. Achieving that means you need to shift your thinking from local to global paradigms. Let the world know that you’re open to foreign partnerships, collaborations, and investments.
If you found this article useful, please share.
234Finance is an online hub that promotes African Entrepreneurship. We feature small and medium sized businesses on the platform, shedding light on the current and future developments in diverse sectors across Africa. We also provide free resources, share opportunities and events on our platform that entrepreneurs can benefit from and thrive in Africa’s tough business landscape.