How to balance operating your business when you’re fundraising
There are times in your life when your business has to undergo fundraising. It’s one of the many ways to raise capital for your company, helping you grow and uncover new opportunities.
However, whilst this is going on, you still have a company to run. So, how do you balance operating your business as you are trying to raise funds? It’s easy to dedicate all of your time to fundraising, but this comes with some concerns. You don’t spend enough time operating your business, meaning you could miss out on countless opportunities. Below, we look at some key talking points that should help you find the right balance.
How to prioritise tasks
Which tasks are the most important? Primarily, you should prioritise the tasks that have the biggest impact on your business. For instance, if there are things that can directly link to a sale, they should be done first. It is better for your business to continue making money while you raise funds. Otherwise, you could be in a situation when you raise capital, but your business has lost so much money because your sales strategy went dry the whole time.
A good rule of thumb is to look at tasks and ask yourself, do I need to do this right now? Will there be an instant negative impact if I delay this task? If the answer is no, you can put it on the back burner until after funding has been found.
How to manage time
Time management is obviously a very important aspect of finding the right balance between fundraising and operating your business. How much time should be dedicated to either of these things?
Well, fundraising is clearly very important. You need to dedicate as much time to this as possible, ensuring you get everything in order to gain as much capital as you need. If you spend too little time on this, it will take too long to raise the money - and you may not be successful.
At the same time, you can’t afford to completely neglect your business. In essence, you’re looking at a bit of a 50/50 split on both fronts. Ensure that you are still able to operate your business without it slowing down while also putting in enough effort to fundraise.
What is most important?
Fundraising or operating your business, what is most important?
This might seem like a simple question with a simple answer, but it’s more complex than that. Largely, it depends on the state of your business. Are you in desperate need of additional funds to keep your company afloat? If so, then fundraising should be the top priority. Without the money, your business will fail.
However, if you need an influx of cash to help you grow your business, it shouldn’t be as big of a priority. Yes, you want the money to help with your growth strategy, but you also still need to maintain normal business operations.
It’s all about looking at your business and pinpointing what is the most critical thing for you right now. This can be a tricky decision, but it is possible to balance operating your business with fundraising.
