StartupFunds.com - Your one stop shop for small business financing.

Every Nation in the world relies on small businesses. The lifeblood of any nation's economy is businesses that have less than 5 employees. According to Stats Canada, 98% of businesses in Canada consist of five employees or less and these businesses account for 24% of Canada's GDP. This means that there is a tremendous amount of 'mom and pop' shops and newly started businesses in Canada alone and the large majority of other nations are the same way.

These small businesses need investment. In order for these small companies to grow into large firms that power the global economy forward, they all have one thing in common: they need money! There isn't a single startup or small business in the world that needs funding; weather it be debt or equity financing.

The individuals and firms that provide financing to small businesses also need the same thing: qualified companies with potential to invest in. They need to see lots of business plans and meet lots of business owners to determine which company has the highest and quickest ROI and ultimatly which firm they will invest in.

Currently, small business owners have to approach investors individually. There are many Angel forums around the world but there is no one place that small business owners can go to reach a large number of investors at one time. These business owners are busy people and don't have the time to approach each firm especially if you want to approach firms in other countries.

As shown by the following graph (taken from http://www.cvca.ca/resources/statistics/), small businesses in Canada are getting more and more investment from abroad than ever.

What these business owners need is a network of VC companies and individual investors on a global scale to be able to sell their idea to; a one stop shop for financing.

This is exactly what StartupFunds.com does. We connect some of the biggest and most active VC companies and individual investors with small businesses on a global scale. Small businesses can send their business plans to a large group of international investors for a fee and they will immediatly get feedback and possibly investment for their companies.

The business model will be a network / listing service. There will be a large network of investors available for contact by the small businesses that will be drawn to the site through various advertising channels. Investors can list for free and businesses will have to pay to submit plans to individual firms or all firms in their industry.

The beauty of this business model is that costs are low and revenue potential is extremely high due to the sheer number of small businesses out there that are looking for financing. Companies such as "Angel Forum BC", which showcase small businesses to a select group of investors, charge small businesses just under $1000 CAD to get their idea in front of investors. We charge $499.95 per business plan submission (to all investors in the network) and expect to get 20 submissions per month first year equaling a total of $120,000 revenue for the year. We expect to get 50 submissions per month second year equaling a total of $300,000 revenue for the year. We expect to get 85 submissions per month third year equaling a total of $425,000 revenue for the year.

We believe that these expectations are modest because of the fact that there are 2.4million small businesses in Canada alone (according to Stats Canada).

StartupFunds.com - Your one stop shop for startup financing.