Richard has worked as a mechanic for one of Detroit’s main automakers. Despite the 20 years of experience of the employee, this person has passed from one part of the plant to another, causing some people to believe that Richard might probably build a car on his own.
Unfortunately, the company’s poor sales success over the last few months has forced management to make a big sacrifice. That will mean cutting the workforce’s 20,000 positions and Richard was on the list.Liberty Capital Services LLC offers excellent info on this.
Richard has opted for early retirement rather than waiting for the pink slip to come in. With the saved money this individual can start a business, which has always been something inside the head of this person.
The idea was to open a shop that would repair old cars as well as care for existing ones. Although it was a fact that a lot of businessmen do this, Richard’s work has shown that there aren’t so many of these in the neighborhood.As part of the retirement benefits, Richard had a fat check coming in but the investment money wasn’t enough so this person decided to get venture capital funding.
Venture capital funding is when a start-up or a current one requires funds from outside entities to support or maintain it rising. While there are banks that can assist with this, working with private individuals is better because interest rates are not that high and these backers are becoming strategic partners.
When it comes to venture capital funding, who are the people to tap? Seeing that Richard was an engineer who worked on vehicles, talking to one of the former bosses and other people who also love automobiles wasn’t difficult.
Richard first wrote a plan with site location, estimated start-up capital and sales to occur in the months and years that followed. Because these investors saw the business ‘ potential, it wasn’t long before the extra money needed was given out.
The shop was already running after three months of reconstruction of the old building, and the customers started coming in. In reality it was easy to service vehicles, people who worked at the factory would drop by and have the cars repaired there. It took longer to restore old vehicles, since it was difficult to find the pieces.Within a year, it has already paid more than half of the amount borrowed from partners. It was possible for Richard to pay everyone off and perhaps even expand the business as long as the service provided is preserved.