Unlocking the Power of Leverages: How to Compel Investors to Invest in Your Innovation

Unlocking the Power of Leverages: How to Compel Investors to Invest in Your Innovation

Are you an inventor with a groundbreaking invention but struggling to attract investors? If so, you're not alone. Many inventors struggle to get their ideas off the ground due to a lack of funding. However, there is a way to stack your leverages and remove the risk for the prospective investors, so they can say yes and will want to get on board.

Let's start by exploring the power of leveraging. Suppose you have invented a machine that does wheel alignments so well that you can offer it for $50, where the typical cost is $100. You approach a tire outlet with 10 branches and 3,000 customers on their books. You propose to install your machine in every branch, and if it works, they buy it from you.

They'll likely jump at the opportunity because they have a hungry herd of people who need wheel alignments, and every time they sell them, they'll also sell them tires. That's the power of reciprocal trade leverage.

Reciprocal trade leverage is just one type of leverage that can be used to attract investors. For example, you could propose an R&D program and give the potential partner exclusivity for 12 months. After that, they would buy the machines from you for a set price, and you could use the capital to scale up the project.

Alternatively, you could make them a collaborative research partner and let them cover the cost of building the machines. You could then use these machines for testing in their branches for a year, and they could claim it as an R&D expense, getting a tax deduction or credit. These are just some of the leverages you can use to make your project more attractive to investors.

But how do you get investors on board? A perfect commercial model works out an attractive offer, proves the leverages that the partner will get, shows them how you managed their risks, and finally shows them how you planned their exit.

If you cover these five things: model, offer, leverage, risks, and exit, investors will say, "This guy understands my business." But what really warms their attitude to your project is that you have made it much safer to collaborate with you.

To make your innovation more attractive to investors, you need to create a perfect commercial model. Start by working out an attractive offer and proving the leverages that the partner will get. Then, show them how you managed their risks and planned their exit. If you can do all of this, investors will be more likely to say yes to your project.

If you're looking to raise funds for your innovation in the next 6 months, you don't have to become "all salesy" for a few months or years. Instead, consider joining our select handful of inventors to learn how to make this a reality - from the beginning of next month.

See our short explainer presentation at ?www.kickstart.plus to learn more about how to bring your innovation to life.

Don't let your groundbreaking invention go unnoticed. Use leveraging and a perfect commercial model to make investors say yes and bring your innovation to life. With the right strategy, you can attract investors and turn your idea into a successful business.


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