Tie-Canaan Entrepreneurial Challenge in India

Canaan Partners and TiE come together to launch the second edition of the TiE-Canaan Entrepreneurial Challenge - a national level business plan competition for early stage entrepreneurs in India.

There's a lot at stake: personal mentoring, exposure to top venture capital firms, and guaranteed participation in bigger events. May 12 is the deadline for business plans.

Angel Investors -- The Best Investors

Have you ever wondered how much angel investors really make? Well, Growthink, the leading investment bank to early stage and emerging companies, announces the release of a new investment report titled "The 9 Secrets of Angel Investing."

According to Growthink, angel investing can produce stratospheric returns on investment. The report cites the famous example of Google's first private investor, Andy Bechtolsheim, who wrote a $100,000 check to Google in 1998 when it was an early stage company. As of April 2008, Bechtolsheim's $100,000 check is worth approximately $1.5 billion dollars.

There are few Googles around. But there are still lots of great investments. To pick up their free book, click on the headline of this article.

Angel Capital Expo -- From The Keiretsu Forum

Keiretsu Forum, the world's largest angel investment community, announces the partners and sponsors for its Angel Capital Expo, which will take place on Friday, April 25 from 7:30am to 3:30pm at the PG&E Auditorium in San Francisco.

More than 400 active and respected angel investors will attend the all-day event, which will provide a unique opportunity for open access and collective collaboration to the world of angel investing. At least a dozen of the Bay Area's hottest start-up companies, pre-screened by a select committee of Keiretsu Forum members, will make 15-minute presentations and be available for additional discussion and due diligence at their exhibition booth throughout the day.

New Angel Investors in New Brunswick

Mariner Partners chairman Gerry Pond committed Tuesday to knock on the doors of major New Brunswick firms in a bid to broker corporate venture capital deals for startup companies in the province.

The consultations would allow Pond to lend his name and experience as a former NBTel chief executive, who oversaw the creation of six startups during his tenure, to compel companies such as Bell Aliant to invest in emerging firms.

Pond and his partner in the project, Deloitte and Touche LLP executive Jeff White, also plan to gauge the appetite of large New Brunswick firms for investing in an Atlantic Canadian venture fund that is already trying to raise capital.

Do Business Like The Cosa Nostra

Maybe we've all got something to learn from each other. I, for one, would never have guessed that I could learn a silly thing from the jailed leader of the fabled Cosa Nostra. But I did. Take a peek. This isn't a traditional business plan, but it works.

What Could $100,000 Do For Your Business?

Forbes magazine is in the midst of its annual contest. In 500 words or less tell why your business should win the $100,000. Sadly, there's only one winner. With lots and lots of "hopefuls". If you should have a commanding reason for needing that $100,000 and are able to explain it, put your entry in the hopper. You've got until May 31st to get your entry in, but you had best start soon. It's a lot harder paring a business plan down to 500 words than you might expect.

Women Who Sell

There is little success in business without selling. No matter how subtle. No matter how blatant. The "selling" part has to happen.

Well, guess what. Women excel in this particular skill. Honest. There are a number of great reasons why this is true. According to a recent post in the Inc blog, these reasons include:

o In their personal lives and in business they tend to create relationships better.
o They tend to sell based on personal input and business input rather than just business.
o They listen.
o They don’t have a sales history that they are tied to, so "new" works for them.
o In many areas, women who are good in sales are still enough of a rarity to create a buzz.

And that is what sales are all about. So step on out, listen up, and write up that sale!

And, parenthetically, that is what selling your business plan is all about too. You are selling your business and yourself every single time you step in front of a potential lender or investor. So ...

Step on up, ladies!

North of Boston Business Plan Competition

Want some business start-up money?

The first annual North of Boston Business Plan Competition is coming up. The competition —with a $10,000 first prize — is designed to find growth businesses located in Essex County or Merrimack Valley or companies who will locate to either if they win. Full business plans are due March 28.

Michigan 2008 Business Plan Competition Has Been Announced!

There is a $500 entrance fee, so only serious businesses need apply. But there is a pot of $30 million at the end of the rainbow. The goal of the competition is to create more jobs in Michigan from preferred industries. Check out the proposal and rules. If your company fits, go for it!

Michigan To Get $7.5 Million VC Investment

An investment of up to $7.5 million through the Michigan 21st Century Investment Fund will be made in the new Ardesta Ventures I, LP venture capital fund. The fund will focus on investments in nanotechnology, life sciences and alternative energy technology companies based in the Midwest.

It Just Got Easier For Banks To Deal With SBA Regulations

The U.S. Small Business Administration has modernized its standard operating procedure for lender and development company loan programs.

The revised document, SOP 50 10, has been cut in length from 1,000 pages to 400, is more logically organized and been updated as an electronic document containing hyperlinks that take a user to the most recent editions of relevant regulations and forms.

The previous document was cumbersome and out dated, and lenders cited it as a major impediment to working with the SBA, the agency said.

Program participants -- including lenders, certified development companies, and SBA employees -- gave significant input into the changes.

This is great news for small business. The more banks that are involved with SBA lending, the more likely it is that they will get funding.

Also see: Business Plans for SBA

There Are Few Minorities in Franchising

Over the years, the franchise business has attracted relatively few minorities. About 6 to 9 percent of the franchises in this country are owned by African Americans, Latinos, Asians and Native Americans, according to the International Franchise Association Education Foundation.

A host of studies and surveys points to obtaining capital and business support as primary barriers for female and minority entrepreneurs. Although the number of minority-owned businesses has risen in recent years, with groups such as the National Association of Black Hotel Owners, Operators and Developers reporting a twentyfold gain in their ranks, research suggests that discrimination has made it difficult for minorities to venture beyond small-scale retailing and personal services.

Franchises are often seen as a good way for newcomers to start a business. For a fraction of the capital it would take to launch a business from scratch, franchisers can build one that comes with a basic road map.

But it's not a guaranteed route to success. In franchise-driven industries -- restaurants, hotels, motels -- failure rates are significantly higher than in others such as technology and equipment, said Scott Shane, professor of entrepreneurial studies at Case Western Reserve University in Cleveland and author of "The Illusions of Entrepreneurship."

Also see: Business Plans for Franchising and Minority Business Loans

San Joaquin Angels Are Now Accepting Applications

The San Joaquin Angels, a nonprofit angel capital group looking to fund startup and early stage companies, is accepting proposals from area entrepreneurs through a new Web site, www.sanjoaquinangels.com.

At that site, startup owners will find information about submitting applications, what to expect if selected for a panel review, the funding process and more. Entrepreneurs must register online initially and complete a one-page synopsis of their businesses as well as attach a more-complete, five-page executive summary of their business plans.

After an initial screening, two or three businesses will be asked to make a presentation to a meeting of the San Joaquin Angels, held six times a year.

For more information, contact San Joaquin Angels at sanjoaquinangels@comcast.net.

Pitching to the Heavy Hitters

The last place one would expect Malik Yacoubi to pitch his mobile software company to a group of venture capitalists would be inside a room filled to the brim with military regalia.

Yet, there he was inside Fort York's barracks rapidly explaining to his audience why he thinks someone should invest several million dollars for a stake in his company, Mobilito. Five minutes later, it is the venture capitalists' turn to pepper him with questions about his finances, personal background and viability of the Montreal-based company's technology.

Entrepreneurs flock to these events, and for good reason. This could be the toe in the door that they need to meet influential investors.

Also see Business Plan Gateway

Angel investor Prescribes Green Technology For Ailing Economy

As the mortgage and financial crisis continues to notch more victims, the question on many economists' minds is not whether a recession will happen, but how deep it will get and how long it will last. But one prominent voice thinks the high-flying finance industry isn't going to bounce back -- and that we'll need to look elsewhere to set the U.S. economy back on firm footing.

Eric Janszen is an angel investor and founder of the contrarian market website iTulip.com, which The New York Times credited with "accurately predicting that the [internet] bubble would pop." Now Janszen believes the American economy needs a fundamental restructuring away from its foundations in finance, insurance and real estate. His prescription: a new bubble based on green technologies.

$25,000 Business Plan Competition in Nebraska

The Hormel Family Foundation is now accepting submissions for the 2008 annual Hormel Business Plan Competition, which will take place on June 6th, 2008. The venue, once again, will be the Hormel Business & Technology Center on the McCook Community College campus in Nebraska.

The Hormel Business Plan Competition is open to anyone interested in locating a business in or near McCook. Start-ups and existing local business owners alike are encouraged to compete for the $25,000 cash investment, as well as donated professional services valued at $10,000.

The deadline for entries is May 18, 2008.

Short And Sweet Elevator Pitches

What's behind a successful business plan?

One of the judges in the international elevator competition has the answer:

“First, they need to have a good idea, and then they need to really focus on the market and what the potential would be,” she said. “A good business plan is short and to the point.”

This is what Business Plan Master has been saying for years. Even a 25 page business plan can be too big if it rambles and roams. Focus! Focus! Focus!

Mohawk Valley Business Plan Competition

The prize in this business plan competition in New York is $10,000 plus additional assistance.

The deadline is April 5, 2008.

It's a nice, regional competition. And it's not overwhelmed with entries. On average, less than 20 entries per year. So spiffy up your business plan and take a shot.

High Tech Hot Spots

Silicon Valley Bank, the premier bank serving the high tech emerging market, now operates in four locations outside of California: London, Bangalore, Mubai, Shanghai, and now Israel.

These areas are the hot spots of the world for high tech development. Silicon Valley Bank is an unconventional bank, with an unconventional approach to lending and investing. The fact that it has identified these geographical locations as its centers of development is no flight of fancy.

Canton Ohio Gets Serious About Small Business

Canton, Ohio, has three new programs for small business:

1. A Canton Incubator Program will provide grants of up to $25,000 in "seed money" to selected entrepreneurs as part of a business plan competition, Healy said.

2. A business priority loan program (with interest set at zero to 4 percent for seven years) will provide up to $50,000 in funding assistance for industrial, manufacturing, high-tech and new "green-collar" businesses that are "looking to locate or expand" in the city, according to Healy's supplemental sheet.

3. Companies in distribution, light manufacturing and some retail also will be eligible for up to $50,000 in low-interest loans, according the information Healy provided to media.

Microloan Program In Alabama

A new Alabama SBA-backed program is stepping in where conventional loans dare not go.

Seedco Financial has received $750,000 from the Small Business Administration to launch a microloan program to boost business development in Alabama's Black Belt and other communities.

Eligible counties are Choctaw, Dallas, Greene, Hale, Jefferson, Lowndes, Macon, Madison, Mobile, Montgomery, Perry, Pickens, Sumter, Tuscaloosa and Wilcox. The SBA Microloan funding will complement Seedco Financial's $4 million loan fund for Alabama small businesses and affordable housing projects.

Rah Rah Power Lunches

Here's the high and mighty like to lunch and dine. Mostly lunch. There's something about the "power lunch" that seems to attract people. If you are really looking to corner someone with investment money, this is where you will find them, but there is no guarantee that you will be able to get a reservation yourself, at any price.

Happy As A Bucket Of Clams

Have you wondered why you want to go into business? Wonder no more. Small business owners are simply happier than "regular" workers. They are so happy, they want to continue even after normal retirement age.

An October survey found only 11 percent of small-business owners say they want to retire at all. Nine in 10 say they are happy with what they do -- with 58 percent saying they are very or extremely satisfied with their work.

"In other words, small-business owners overwhelmingly like what they do," Gallup said.

Further, small-business owners have the luxury of deciding when to retire. The poll revealed that 40 percent plan to keep working as long as their health allows. Another 47 percent said they would keep the business running, but cut back to part-time.

As the baby boomers lean toward typical retirement age, odds are that more and more of them are going to choose to keep on working -- this time for themselves. So dust off your business plan and get your business ready to go.

$100 Million Added to SBA Budget

Small businesses are $100 million richer due to an amendment to the funding bill.

Today the Senate passed a Democratic budget that is a boost for Americas 27 million small businesses. Senator John Kerry (D-Mass.), the Chairman of the Committee on Small Business and Entrepreneurship, worked with Budget Committee Chairman Kent Conrad (D-N.D.) to secure over $100 million in additional funding above the Presidents request for the Small Business Administration (SBA) in the 2009 budget blueprint.

The Senates budget adds funding for increased loan oversight and reduced fees, microloans, contracting assistance, Small Business Development Centers, Womens Business Centers, veterans outreach programs, and technical assistance programs, among others.

SBA Loan Blitz To Be Held In Honolulu

The U.S. Small Business Administration's first "Loan Blitz" of the year will be held from noon to 2:30 p.m. March 28 at the Honolulu Country Club.

The purpose of the event is to match prospective small-business borrowers with lenders to discuss different financing options and loan application procedures. Business owners will meet with lenders and business specialists of their choice in free, 30-minute sessions.

Business Plan Seminar in Tennessee in March 2008

The city of Knoxville is hosting a small business conference at the end of March aimed at helping start-ups and existing businesses with such things as creating a business plan to getting a loan.

The conference will be held 8:30 a.m.-2 p.m. on March 26 at the Moses Teen Center Building. It will include sessions from the Tennessee Small Business Development Council; Freeman, Melancon, Bryant Advertising; U.S. Small Business Administration; Knoxville Empowerment Zone; Tennessee Small Minority Owned Business; and the City of Knoxville.

To register, call 865-215-3867 or 865-215-3966 or email jhundley@cityofknoxville.org.

Pennsylvania's New Pilot Program for Minorities

The state of Pennsylvania said that in January 2003 less than 2 percent of Pennsylvania procurement dollars went to women or minority-run firms. Today that number is nearly 10 percent, the state said.

Fortunately, that's not good enough for Pennsylvania.

The midstate will pilot a new state loan program to assist minority and women-owned businesses.

Gov. Ed Rendell today announced creation of a $2 million Pennsylvania Business Opportunity Fund to provide loans and technical assistance to these businesses in 13 counties.

The program is being piloted in Adams, Berks, Chester, Cumberland, Dauphin, Franklin, Lancaster, Lebanon, Lehigh, Montgomery, Northampton, Perry and York counties. The state hopes to expand the program throughout Pennsylvania.

Whatever do Angels Want?

Figuring out what an angel investment group is looking for is no easy task. Giving it to them is even harder. Take a look at the seven qualities outlined by a consultant in Canada.

The qualities are surprisingly similar from group to group, and even from country to country. The days of writing a note on a napkin are long gone, and now angels want a well-thought out plan, just like venture capitalists and other lenders and investors.

There is, however, a surprising amount of angel money available, so it is well worth the effort to approach this investment source.

Also see:
Angel Investor Networks

Angels in Arabia

The Arab Business Angels Network (ABAN) aims to address the shortage of funding for emerging business in the Arabian Peninsula. The network was conceived by the Young Arab Leaders during the Clinton Global Initiative in September 2005, with Dubai International Capital (DIC), the private equity investment arm of Dubai Holding, its founder and lead institutional investor.

DIC made its first foray into angel investing last year through its US$2.6 million Pan Arab Business Plan.

It invested in an ostrich farm in Jordan and paper producer in Egypt, both of which have successfully expanded following the capital injection.

ABAN will bring together individual and corporate investors who want to access early stage opportunities, with membership by invitation only.

The target value for each investment is between $100,000 and $1 million.

New Angels in Indiana

Indiana is booming with funding for emerging companies.

Techpoint, a trade association for high-tech business in Indiana, has formed a new angel fund, appropriately named HALO, or Hoosier Angels Looking for Opportunities.

An investor familiar with the effort spoke to area entrepreneurs at the Northeast Indiana Innovation Center in February.

About 50 entrepreneurs heard Dave Doyle, the angel investor from the Indianapolis area, compare the angel investment approach with that of venture capitalists, who were represented in the discussion by Gene Cavanaugh, a vice president with 1st Source Equity Capital.

The event was organized by the Investment Center for the Advancement of Regional Entrepreneurship (I-CARE). The center was established to team professionals from 1st Source and other area financial institutions with mentors at the NIIC to provide business finance assistance to its clients and other area entrepreneurs.

Those 50 entrepreneurs, and many more, are are their way to angel funding heaven.

Also see: Business Plans for Angel Investors

Women's Angel Fund in Philadelphia

Angel investors are good. Angel investors that focus on women's businesses are a rare jewel.

A New York-based angel investor network that invests exclusively in women-owned startup companies is opening a Philadelphia chapter. Golden Seeds, which was formed in 2005, had its first monthly forum last week in Center City for entrepreneurs and investors.

The Philadelphia chapter will be spearheaded by former DuPont Co. executive Gloria Rabinowitz and Stradley Ronon Stevens & Young lawyer Linda Galante.

Golden Seeds Managing Director Stephanie Hanbury-Brown said Philadelphia became the third locale for the investor network, Boston was second, because it found strong businesswomen willing to run the monthly forums and a healthy environment for both investors and entrepreneurs.

"After we invest it's good to be local," Hanbury-Brown said. "The mid-Atlantic region has a lot of life science startups and lots of experienced businesses in Philadelphia that could be investors."

Philadelphia can count itself very fortunate to have Golden Seeds in its funding arsenal.

Also See: Business Plans for Women

Angel Investors are Snapping Up Small Company Proposals

BUSINESS angel activity is "going like a train" this year as wealthy investors snap up small businesses rushed to market ahead of next month's capital gains tax changes, industry groups are reporting.

Despite the credit crunch and reported slowdown in high value private equity transactions, experts say business angel investment figures are likely to be up in the first three months of this year as the marketplace is awash with undervalued companies that small and medium-sized business owners are desperately trying to sell before the CGT deadline on April 5.

Also See Business Plans for Angel Investors

Ohio Angel Investor Groups are in Cahoots

In an effort to accelerate funding for entrepreneurs, Ohio TechAngels Fund LLC and six other investors groups have formed a state chapter of the Angel Capital Association.

The national association is a network of angel investor groups that supports the funding of early-stage, high-potential business ventures. The seven Ohio groups have agreed to share due-diligence information because the capital needed by some commercial ventures is often more than one angel group can provide.

Though angel groups have shared in the past, this new initiative is expected to make the investing process simpler and faster, said Tony Shipley, chairman of Queen City Angels of Cincinnati, the oldest angel investing group in the state and a leader in the new accord.

Also See Angel Investor Network,

Starting a New Business in Panama -- the 8 Rules

The 8 rules below may serve as a manual to youngsters who seek to move to paradise and start their own business like I did. I have been inspired by the amount of opportunities witnessed in Panama and humbly, the accomplishments I've achieved before my 25^th birthday. These rules are not terribly different from elsewhere in the world, but thanks to various factors at play in Panama, finding success, adventure, and self-worth may be easier than you think.

1. Be the first in the game: Finding your niche in the market is the imperative. Take equally into account your skill set and your field experience, but perhaps mostly your passion. Going with the grain on this one is ill-advised as you'll fall right back into the rat-race you tried to escape at home. Be revolutionary and uncompromising: don't let anyone at home or in Panama tell you your idea won't work. Chances are they're simply jealous of your ingenuity.

Also See Network Marketing, Business Plan Master

Internet is "Shockingly Underused"

Research by Cambridge-based Internet design and marketing company, Netflare, has uncovered what it calls “shocking” levels of website neglect by small business owners.

The survey, conducted at the end of 2007, covering nineteen small business sectors, discovered that 23 per cent of websites had not been updated since their launch, making much of their content inaccurate, if not obsolete. The average age of the website was four years.

However, perhaps the most revealing figure, given the huge growth in consumers using the Internet to buy goods and services, was that a mere 8% of respondents had an e-commerce element to their sites.

Also see Your Network Marketing Coach

Erie County's New Minority Loan Program

In an effort to reach out to minority entrepreneurs and economically challenged neighborhoods, the Erie County Industrial Development Agency has created a new loan program.

The $250,000 revolving minority loan program will help fuel start-up businesses operated by minorities. The funds come from Erie County Regional Development Corp., an IDA affiliate, and are mostly coming from federal sources.

Suitable applicants could potentially receive a loan of up to $50,000 and a $5,000 grant for professional services such as lawyers and accountants. The applicant would only have to pay interest for the first three years of the loan and then have seven additional years to payback the entire loan. The loans would be capped at 4 percent.

Also See Minority Business Loans

BiGAUSTIN Business Plan Competition - Vie for $5000 Prize

Although you must be a resident of the Central Texas region for this competition, it’s a great opportunity to win $5,000 for your business. Online entries are being sought for the 2008 BiGAUSTIN (Business Investment Growth) BiG idea Day’s Business Plan Competition.

Minority Business Loan Centers in Ft. Worth

There are a variety of organizations in Fort Worth that offer professional women at every level of experience the opportunity to socialize and educate each other about best practices. They include:

• National Association of Women Business Owners (www.nawbotx.org)

• eWomen’s Network (www.ewomennetwork.com)

• Fort Worth Chamber of Commerce (www.fortworthchamber.com)

• Fort Worth Metropolitan Black Chamber of Commerce (www.fwmbcc.com)

• Fort Worth Hispanic Chamber of Commerce (www.fwhcc.org)

• Women’s Policy Forum (www.womenspolicyforum.org)

• National Association for Women in Construction (www.nawic.org)

• Fort Worth Business Assistance Center (www.fwbac.com)

South Dakota Opening Doors for Small Business Loans

The U.S. Small Business Administration’s South Dakota District Office has launched an initiative aimed at fostering economic development in South Dakota’s rural areas by making it easier for smaller community banks to use SBA’s loan programs.

Rural Lender Advantage is part of the agency’s 7(a) Loan Guaranty Program and will encourage smaller, rural lenders to offer SBA loans by streamlining the application and approval processes.

Women's Businesses are Flourishing

Despite talk of a looming recession, women-owned businesses report that they expect significant growth this year, according to a recent survey by Paralelles Media Group.

Paralelles states that 84% of the women business owners it surveyed said they foresee growth for their companies in 2008. Even more significantly, Paralelles details, 57% of respondents indicated they will hire additional staff this year to handle the increased workload.

"One in ten women owns her own business today," says Linda Coughlin, CEO and founder of Paralelles Media Group in New York City. "Women-owned businesses are a vital part of the nation's economy -- and they are very optimistic about business in 2008."

Are Husbands and Wives a Partnership?

IRS rules permit husbands and wives who are the sole members of a partnership to file on Schedule C, rather than file a partnership return. This option has only been available since January 2007, so be sure to check it out with your accountant and see if it impacts your business.