I have run into the situation where I need more capital. I have extensively depleatedd my financial resources. Up to date my company ahs devoured only about R600 000,00, which I think is reasonable. I started trading in Feb 2008.
Some months we make good money, other months not. I ahve not shown a true profit in the 3 financial years, but my turnover keeps growing, my company keeps expanding, and my plan is coming together... I am unfortunately quite broke, have about 200K on the debtors book (not bad debt, just project lifecycle debt), etc, and I am falling behind on keeping up with my financial obligations.
What are my option? I have laready sold 20% shares (10% each to two managers). They approached me about a year ago and convinced me to sell shares ot them. It has wokred out gret and made sense, to ensure their loyoaly to the company. 90% of that shares money went directly into the business again. But as I said, I am broke, no more financial cushions, no more emergency funds, and I am falling behind on financial obligations.
I am ideally looking to ahve someone invest a substantial amount fo money, that can help me forfill my long term plan. I don;t really want to sell any more shares, but I don;t realyl know how arrtracting an outside investor would work.
I have looked at the angel investing network, but am a bit sceptical to pay the 2K upfront, and not knowing what I am getting...
Any ideas, thoughts?