Friday, January 9, 2009

Which is more Mission Critical - Securing A Funding Or Project?

As the world being hit by the global financial crisis I was wondering especially for the entrepreneur, technopreneur and business community out there - securing a funding or getting a valid project, which is more mission critical?

1. Generally funding & a valid project / contract is the main components to ensure the sustainability and a healthy long term cash flow of any business.

2. In some opinion funding is the most critical whereas small % of project financing loan approval, difficulties in promoting ideas to Venture Capital Firm etc.

3. Realistically during this financial crisis downturn to secure a project / contract and getting a piece of P.O. paper seems to be hardest obstacles for any business community.

4. My honest down to earth & humble self opinion any single funding scheme can be obtained if you have the capability to provide comprehensive business plan, know your bussiness very well & firmly on the ROI which the VC, Private Equity Firm or Angel Investor will benefit from it.

5. Simple case study - If one startup entrepreneur successfully secured 300K seed funding investment however after presentation by presentation, proposal by proposal, tender by tender & all of this effort is not be able to materialize (valid PO / LOA) due to proposal might be highjack by more powerful group, political crony, double standard practice in government agencies, "Surat Wahyu From Minister" etc. the question here (Soalan Cepu Emas) how long can the seed funding investment sustain? 8 months, 1 year, maximum at the best possible level perhaps 2.5 years.

6. Thus my down to earth & humble self really hopes under the new Govt leadership by Dato' Seri Najib Tun Razak the government, state govt & GLC can get a clear picture which is more mission critical & the high degree of needs to splash out project, tender & contract.

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