FundingUniverse is sponsoring an event to bring renowned author, speaker and marketer Seth Godin to a fundraising luncheon February 12, 2010 in Salt Lake City Utah. The networking event and presentation by Godin will be held from 11am-1pm at the Rail Events Center. Topic of the discussion will be Godin’s new book, Linchpin: Are You Indispensable?

The event is made possible by the women’s networking company StartupPrincess.com as well as many generous sponsors. All proceeds raised will go to The Red Cross for Haiti Relief Fund.

200 copies of Linchpin will be available to attendees for a reduced price. Copies are available for pre-pay. Limited to 650 guests, tickets start at $30 for lunch. Sign up at www.StartupPrincess.com/SethGodin

All tickets include a delicious gourmet box lunch. Please plan to arrive at 11am for lunch, visiting exhibitor tables, and networking. Seth Godin will speak at noon.

“We are so pleased to have Seth Godin coming to Salt Lake to speak. He is an incredibly dynamic speaker that anyone with an interest in effective marketing won’t want to miss. We already have tremendous community support in planning this event for Haiti relief. It’s wonderful to know so many people want to make a difference,” said Shannon Rees Baker, CEO of StartupPrincess.com.

Here are some highlights from an article that was published in UtahBusiness Magazine, featuring our very own Brock Blake:

Cash Strapped? Funding Options for Today’s Small Businesses

by Brock Blake – 29 January 2010

There are a variety of sources today for business owners to locate capital to fund and grow their businesses.  Contrary to popular belief, it is not a matter of having venture-backed funding or nothing at all. Rather, small business owners should consider the following possibilities:

Self Funding

Funding Range: Varies

Most people starting a business prefer to rely on their own resources. They don’t want to depend on others—or on any form of debt—to begin building their dream. Initial funding may come from personal savings, retirement accounts or home equity lines of credit.

Friends and Family

Funding Range: Varies

Before you approach outside capital, consider approaching friends and family members to get the ball rolling. When you do, appropriately document the transaction as a loan, an investment or a gift—doing so will save you a lot of headache down the road.

SBA Express Loans

Funding Range: $5,000 – $25,000

Small Business Administration (SBA) loan programs help qualified businesses obtain financing through a lender that provides the actual loan to the borrower. The SBA guarantees a portion of the loan (between 50 to 90 percent depending on the program) acting much like a co-signer. The primary benefit of a small loan is that a business owner does not have to give up additional ownership that often comes with angel or venture funding. The downside, of course, is the limited range, in dollar terms, of funding through SBA loans.

Angel Investors

Funding Range: $25,000 – $1 million

An angel investor is a well-off individual who has some type of business background, such as a former executive or successful entrepreneur. Investing their own money, angel investors have different motivations than just purely a return on investment (ROI). Typically the majority of angel investors don’t want to own more than 50 percent (or a controlling interest) of the company. Angel investors usually want to take between 15 to 40 percent ownership in the company. This enables them to provide support, key introductions and board-level feedback. Because an angel investor is becoming a minority owner, it is critical for an early stage company to focus on partnering with the right people who share similar goals with the company.

Venture Capital

Funding Range: $1 – $10 million

Venture capitalists raise money from several institutions and individuals, and try to provide them a financial return by investing in multiple companies. Like the angel investor, a venture capitalist will want to have a clear exit strategy for their investment. While venture capitalists are highly ROI focused, their funds often have certain parameters that may or may not preclude them from investing in a particular company. A “no” from a venture capital fund may not mean a business is a bad investment, but that the company simply didn’t fit into the fund’s investing criteria.

Grow Your Business

As a company moves from idea to operation, it is going to need cash. Wise entrepreneurs carefully consider the risks and benefits of each funding strategy and how those risks and benefits align with their personal and corporate goals. Once an early-stage company has a clear understanding of what risks it is willing to take, it is in the best position to pursue one or a combination of funding sources that best meet the needs of its growing business.

Brock Blake is the CEO of FundingUniverse, Inc, a company that creates a platform to help a network of more than 1,000 active venture capitalists, angel investors and lenders connect with qualified investment opportunities. Brock can be reached at brock@fundingunvierse.com.

See the original article HERE

We are thrilled to announce that FundingUniverse will lead a main stage session at GROWCO 2010, an Inc. event to be held in Orlando, Florida!

The GROWCO Conference mines the pages of Inc. to present lessons learned from the trenches. Speakers include George Foreman, Author, Knockout Entrepreneur; Tom Adams, CEO, Rosetta Stone; Norm Brodsky; Inc. Street Smarts columnist; & co-author of The Knack; Michael Gerber, Author, The Most Successful Small Business in the World: The Ten Principles; and FundingUniverse’s own Brock Blake and Alexander Lawrence!

The session being hosted by FundingUniverse is titled “How to Win Over a Crowd”

In a lively hour at GROWCO, you get a chance to pitch your business to your peers and a panel of expert judges, including Inc.’s own Norm Brodsky and celebrated author Michale Gerber. Think American Idol for the capital hungry. Moderated by FundingUniverse, a business services firm that connects companies with investors, this session could possibly give you a new perspective on your entire business plan.  Oh, and did we mention

This opportunity is limited to registered GROWCO attendees. To apply for this opportunity after completing your GROWCO Registration, complete the FundingUniverse application.

Moderator: Alexander Lawrence, partner and chief evangelist of FundingUniverse

Panel: Norm Brodsky, founder of CitiStorage, Inc. Street Smarts columnist, and co-author of The Knack; Andy Craig, co-owner of Elevator Speech; Michael Gerber, author of the E-Myth series and The Most Successful Business in the World; and other special guests.

We hope to see you there!

For those of you who follow FundingUniverse, you often hear us talk about our amazing events like SpeedPitch and CrowdPitch.

No matter how many times we try to explain what these events are, how they work, and how exciting they can be, I think seeing is believing.

Click on the video that was shot at last week’s CrowdPitch.  It will give you a better understanding of what it’s all about.  Enjoy, and we hope to see you at a future event!

Earlier this month FundingUniverse held another SpeedPitch Event in Utah.  It was a huge success and we wanted to share with you some of the thoughts of those who participated:

Brett Moore from Obsidian, Inc. said the event was

“Very challenging yet (an) efficient use of time” and a “great opportunity to present all the essential and compelling arguments to potential investors”

Leah Higginbotham from HugaMonkey Baby Carriers, who was a first timer pitching at the event, said that

“Going from being nervous wrecks in round 1 to total pros by round 10 was a good feeling.  If we weren’t confident when it started, we certainly were when it ended.  If anything, the speed pitch event helped us get a new perspective on what is good about our company, and what still needs work.”

Steve Arntz from LucidChart said

“The amount of exposure was amazing.  There are very few opportunities like it, since you are able to get in front of more than 40 investors representing a wide variety of investment groups. We met several contacts that we have had additional discussions with and there is a strong potential that we will receive funding as a direct result of the competition. We met people with industry connections who could help us to get in doors that may never have been open to us before the event.”

“The event provided us with valuable investor feedback from everyone who participated and gave us a good idea of the key things we need to work on to take the business to the next level. We established connections at the event which will prove to be invaluable in the development of our business.”

“There were some solid businesses represented and it was a great opportunity to meet other business owners.  The food and the prizes were fabulous and the event was well executed.  Most of all, we had the opportunity to meet dozens of investors and really hone our strategy and business plan.  We built relationships with several investors who we’ve since discussed the investment opportunity more seriously with.  In the coming weeks we expect to include these investors in our advisory and funding process.  Thanks FundingUniverse!”

Charlie Schadewald from Fluid Solutions, LLC said of his experience

“The FundingUniverse SpeedPitch event was an excellent validation for my business. Preparing a compelling 4 minute pitch to WOW investors is an exercise that every business should go through. The feedback and Ideas that I received from the Angel peer groups was worth more than ANY funding dollar amount. The room full of energy created from the thinkers and skeptics at a SpeedPitch event should be bottled and sold….now there’s an idea! If you think you have a great idea, don’t hold it in…tell everyone you know….and especially call Funding Universe!”

Thanks to all who participated in this event!  Look out for these up-and-coming companies as they continue in the funding process and grow their businesses.

And don’t forget to follow us on Twitter and Facebook for updates on upcoming events around the country!

Yesterday FundingUniverse held another Online SpeedPitch event.  This event gives entrepreneurs from all over the country the opportunity to pitch their ideas to active investors via an online presentation.  The investors can view the presentation, ask questions, and contact companies that they are interested in.

Click above to see a sample Online SpeedPitch

Yesterday’s event was a huge success!  We had four companies and 15 investors in attendance.  All four of the companies received interest from at least two investors.  One of the presenters even received interest from six investors!

We will continue to hold these events and hope you will consider being a part of the next one!  Events are listed at www.fundinguniverse.com

1.  Passionate, experienced, trustworthy management team:  an investor is looking to invest in the jockey, not the horse.
2.  A business idea that is scalable:  ask yourself… “can I hit $10M in revenue in 3-5 years?”
3.  Traction: especially in today’s economy, you need to have established some “traction” (revenue, contracts, technology developed, patent, etc.).  In other words… it needs to be more than an idea.
4.  Sustainable Competitive Advantage: you should be able to easily explain why your product/service/company has an advantage to any one else in the marketplace (and how you can sustain that overtime).
5. Market Need: Is there a real need in the market or are you creating a “nice to have” product or service?
6.  Right valuation: Too many entrepreneurs shoot themselves in the foot by pitching an realistic (i.e. too high) company valuation.
7.  Exit Strategy: Because early-stage investing is very risky, most investors are looking to get their return within 3-7 years.  You’ll want to be prepared to explain how the investors will get a healthy 10x ROI in 3-7 years.
7.  Be Prepared: The most prepared entrepreneur (without a great company) will not be able to successfully raise capital.  However, if you have a great company and you approach investors without being prepared (executive summary, investor presentation, financial model, etc.), they will quickly throw you into the “half-baked” category and it will be difficult to overcome that stigma.

Good luck!

Congratulations to John Keller and Worldwide Book Drive, the winner of our recent Utah Social Entrepreneurship CrowdPitch event!

This event was a huge success and an opportunity to focus on social entrepreneurship.  The companies that pitched were for profit-based social ventures that aim to improve our community.

We recently spoke with John about his experience preparing for and pitching at the event, and here’s what he had to say:

“It was a great opportunity to meet with entrepreneurs, investors and social entrepreneurs alike.  All of the companies that presented were great companies that were making a positive impact on our local community.  Although the prizes were great and we’re stoked about all of cool free stuff we won, the best part was definitely meeting with the investors and other entrepreneurs at the table!”

Here’s a little about the company itself:

Worldwide Book Drive started in 2005 as a response to some substantial inefficiency that two young college students, (David Kasteler and John Keller) saw in the surplus book industry.  Every year, hundreds of thousands of books and periodicals were being discarded due to general market forces.  Because of prohibitive costs, many eligible books weren’t being recycled or donated.  John and David believed that on a big enough scale, surplus book materials could be collected and sorted to identify which books could be sold to perpetuate the company, which obsolete or damaged books should be recycled and which current and appropriate books should be donated to qualified charities.

Thus Worldwide Book Drive, (WBD) was born!  WBD currently receives and collects approximately 20,000 pounds of books per week and employees 10 full-time equivalent employees. To date, WBD has donated more than 500,000 books and recycled more than 1.2 million pounds.

Obsolete books are recycled in partnership with Life Skills Center, a sheltered workshop for disabled adults.  As a result of this program, mal-adaptive behavior among the more than 85 participating individuals has dropped more than 25% and per individual income has increased more than 200%.

The donating process includes identifying qualified recipients and managing shipping logistics.  Most domestic shipping and handling fees are paid for by WBD.

Of their funding challenges, John says:

“When (we) first started, raising money for WBD was extremely difficult.  Because of its social mission, many investors didn’t want to participate.  A lot of people told us to go and do a fundraiser.  That didn’t jive with our vision of a sustainable social venture and so we kept building the company on our own credit.  I clearly remember maxing out my credit line and thinking ‘wow, so this is what’s it’s like to really run out of money.’  Living the dream.  We went really lean and eventually qualified for an SBA line of credit and cleared all of our debts.  Now we’ve got great credit and looking to grow!  Thanks FundingUniverse!”

We wish John and Worldwide Book Drive the best of luck as the continue in the funding and growing process.  We also want to thank all of the companies that participated in the event!  We’re already excited for our upcoming pitching events in Utah, Portland, Phoenix, and Seattle to name a few.  For a full list of events and details about participating go HERE

We want to congratulate Unparalleled Energy, the winner of last week’s Phoenix CrowdPitch!

We had the opportunity to have a Q&A session with Cary Lovins about the company and the experience they had presenting at this event:

• FundingUniverse – Tell us a little about your company.
• Cary – We produce the world’s only protein bread, an energy drink (which tastes fantastic and lowers cholesterol and tryglercides), and a delicious energy/protein bar.  After receiving the funding we need, we will launch our products to over 5 Billion people.

• FundingUniverse – That’s impressive.  How did you get started?
• Cary – I have always been good at formulating things.  I made the ingredient list for three other energy drinks.  Two years ago, I started another healthy energy drink.  It translated very poorly in other countries, so I sold it.  I then created another energy drink.  4 months later, I created the protein bread and the energy/protein bar.

• FundingUniverse – Why do you feel your product is unique?
• Cary – Our products are the only ones like them in the world and cannot be reformulated.

• FundingUniverse – What funding challenges did you face as you were trying to get your idea off the ground?
• Cary – I had no challenges really, I used all of my own money from the sale of the other company.  I am now just having a problem with getting an investor to make the product.

• FundingUniverse – How did you hear about FundingUniverse and the Phoenix CrowdPitch event?
• Cary – While online looking for angel investors.  Thanks to a gentleman in your company named Darren, I was penciled into CrowdPitch.  I honestly believe Darren is a true asset to your company and should be commended.

• FundingUniverse – Describe your experience pitching your idea in front of a live audience and panel of experts at the CrowdPitch event.
• Cary – I loved pitching the idea, because I truly believe in my products and want the world to be a healthier place.  My heart and my mind are 150% committed to this.  However, it was very scary and I had never done anything like that
  before.  I really did not know whether to look at the panel or the crowd.

• FundingUniverse – Did you get any new insights or ideas from the Q&A portion of the event?
• Cary – Everyone loved the product and the pitch, however I could have spoken a little louder.  The other companies I heard received a lot of help though.

• FundingUniverse – How does it feel to know that those in attendance liked your idea and gave their “funny money” to you?
• Cary – It made me feel great to have complete strangers enjoy my products.  The funny money is an excellent way to determine the winner by being unanimous.

• FundingUniverse – What is the next step for your business?
• Cary – Upon completion of funding, we will begin filling our orders to get these three products out to the world and have people eating healthy food that is very good for them.

Thanks again to Unparalleled Energy and all the other companies that pitched at this event.  We are already looking forward to similar upcoming events in Utah, Seattle, Portland, and San Diego (to name a few).

If you are in the Phoenix area, get excited.

FundingUniverse is expanding every day and we are taking Arizona by storm!  One of our first orders of business is the Phoenix CrowdPitch this Wednesday, October 28th.  This FREE event will bring pitching to a whole new level as the best-of-the-best entrepreneurs pitch their big ideas to a panel of expert investors and a live audience (think Shark Tank meets American Idol!)

Everyone (including the audience) will get to invest play money into the company of their choice, and the winner will get some fabulous prizes.

It is all topped off with a FREE networking luncheon.  You can’t go wrong!

To RSVP and for more information go HERE