Lesson 8: Invest in My Company – Rob Fulton

One important point to make is that renewable energy will become increasingly critical to meeting the energy demand of the world. As more people become educated on sustainability, the demand for clean energy will increase. At this point in time, clean energy points towards renewables, which are naturally replenishing and work to reduce carbon emissions. Show the investor that you have a plan for growth. Explain how ongoing mitigation efforts are changing strategies in various parts of the nation – with REC policies stimulating the use of renewable energy.

Why is this important for an investor to know? They must have confidence that they are putting money into a viable product; one that will have an expanding customer base, producing profits. For example, solar PV energy is growing in demand. Presently, it is largely dependent on governmental subsidies/incentives. This information can turn an investor away. However, having a business model that will not rely on incentives can influence potential investors to invest. Showing that a company can sustain sales and operations, by providing not only sales, but continual service in maintenance and repairs can boost revenues. Also, material costs are projected to decrease in the next decade, lowering financial outlay for supplies. Furthermore, showing that maintaining good personnel on the payroll is a model for success, less turnover will reduce training costs and shows stability within the company. When talking with investors I need to talk in “specifics” when pointing out the profit potential of my company.

Even more importantly, when talking with potential investors, I need to convey that I know exactly what they expect from their investment. This can be done by providing projections for sales growth and calculating a positive NPV for an investment will entice investments. Additionally, I must tell the investors what I intend to do with their money. If I am going to use it for advertising, I need to demonstrate an effective advertising plan, with minimal costs, that will also show how marketing the business will grow sales.

Bottom line is to show that my business is in line with expanding into a larger customer base and that the company will be run as lean as possible while maintaining customer satisfaction. This is important to preserve a good reputation for more business opportunities, hence more revenue and more profits for investors.