Tuesday, November 30, 2010
AT07 Overnight Maintenance
AT07 maintenance will continue overnight. An update will be provided in the morning.
AT07 Down for Maintenance
All:
Due to continuing issues with the LDAP, AT07 needs to be temporarily brought down for further maintenance.
We will continue to provide updates as they come available and will also post status to the blog.
We apologize for the short notice and immensely appreciate your patience.
Ed
Due to continuing issues with the LDAP, AT07 needs to be temporarily brought down for further maintenance.
We will continue to provide updates as they come available and will also post status to the blog.
We apologize for the short notice and immensely appreciate your patience.
Ed
Monday, November 15, 2010
System Unavailable During Database Upgrade
The Grants.gov system will be unavailable starting Saturday, December 11, 2010 at 12:01 a.m. ET until Sunday, December 12, 2010 at 11:59 p.m. ET. The system may be visible during this upgrade due to testing efforts; however, removal of this notice will indicate availability of the system on December 13, 2010 at 12:01 a.m. ET.
Regards,
The Grants.gov PMO Staff
Regards,
The Grants.gov PMO Staff
Wednesday, November 3, 2010
ADVICE BEFORE SUBMITTING YOUR PROJECT FOR FUNDING
Funding sources unfortunately reject way too many projects for funding because applicants are not prepared before they ask for funding. Please, let me help increase the odds that your project is approved for funding by offering advice. If you read this, it is essentially a step-by-step guide to help you receive funding. Read this often throughout the funding process as a reminder of what you should be doing to improve your chances of receiving funding.
1. Complete a BRIEF business plan, less than 20 pages, which includes executive bios and budgets (conservative & realistic) for at least the next three years before you ask for funding because investors will not take your company seriously and will not provide funding without this information. Your business plan is a marketing tool designed to entice potential investors to consider investing money into your company. Investors need to read enough about your company to become interested and want to invest in your company. Why less than 20 pages ? Investors want to read a marketing "tease" not a novel, if your business plan is too long, it will not be read, and you will not receive money.
Think like an investor. When you are writing your business plan, repeat to yourself, why should an investor give money to me, when the investor has hundreds of other opportunities on a daily basis, to provide funding to someone else. The executive bios should describe to an investor that your company has experienced, competent, intelligent executives who will know what to do with the investor’s money so that everyone will earn a profit if the investor chooses to provide funding to your company. Explain the experience your executives have in your current and prior companies raising cash, revenue, and creating profit in addition to managing a cash flow. Your budgets should be conservative and realistic. Your company looks better if actual revenue meets or exceeds budgeted projections. If you follow the stock market, look at what happens to a company’s stock price when actual revenues are less than budgeted projections; the stock price usually drops significantly. Now, look at what happens when actual revenue exceeds budgeted projections. The stock price usually increases. It is better to exceed expectations.
2. Have enough cash on hand (verifiable with a bank statement) to secure funding by providing cash as collateral before you ask for funding. It is very difficult to have accepted as collateral, assets other than cash. The more cash you have, the less risky your company is viewed as a potential investment. Investors will want to see that you know how to manage your own cash flow before they give their cash to you. If you spend your company's cash as quickly as you receive it, and your bank balance is zero or close to it, when you are applying for funding, you are sending a message to investors that you don't know how to manage your cash flow, which will quickly tell investors to invest their money elsewhere.
Again, the more cash you have, the less risky your company is viewed as a potential investment. Since investors' mind sets are all about perceived risk, and minimizing that risk before deciding to invest money into your company, your job as an applicant is to do whatever possible to reduce perceived risk into your company. Also, to reduce perceived risk, have confidence in your company, answer e-mails and phone calls quickly (in a timely manner), and understand your company, industry, and the risks an investor will have about your company & industry, and work with the investor to reduce perceived risk. When investors see a lack of knowledge, a lack of self-confidence, indecision, or an inability to work in a timely manner that raises red flags and tells investors that you are too risky of an investment.
In this global economy, the banks that are still in business are barely lending, and their criteria is so much stricter than private investors, therefore, private investors have become a much more popular source for potential funding, and they are overwhelmed with requests seeking funding. Your company is in competition to receive funding with many other companies worldwide. Treat the process like a competition by being prepared, and working with potential investors and brokers to do what is necessary to receive funding. Enter the funding process with a flexible mind set of what do I need to do to attract investors' interest in my project, and what do investors want from me to see my company as a worthwhile investment. Applicants who start the process with a list of demands before even applying for funding are very quickly denied for funding because again your company is in competition to receive funding with many other companies worldwide. Attitude is important, and if you show you are difficult to deal with initially, investors QUICKLY lose interest in you and your company, and will quickly decline your project and give their money to someone else.
3. You will also be asked, in addition to how much cash you have, what you are offering as collateral to reduce the risk an investor sees when evaluating your project. Collateral are tangible assets you can legally prove that you own. You cannot offer as collateral something you wish to purchase that someone else currently owns, because that is not your asset to offer as collateral. What I highly recommend is that before you apply for funding, hire an independent appraiser to evaluate and provide a fair market value appraisal for any assets (real estate, equipment, inventory, purchase orders, intellectual property, accounts receivable, etc.) you have that you are offering as collateral to help receive funding. Independent appraisals, within the last thirty days, are seen as far more trustworthy by potential investors than owners estimating the value of their own assets. The same concept applies with collateral, as cash. The more cash and collateral you have, the less risky your project is viewed by potential investors and the better the odds that you will receive funding.
4. You will be asked, “are you offering debt (loan), equity (ownership) or either in exchange for received funds ?” The best answer you can provide is either, because the flexibility is appreciated by potential investors, and will attract more interest in your project. If your company is a start up (pre revenue), and your answer is equity, you are virtually guaranteeing you will not receive funding. Start up (pre revenue) companies do not yet have financial statements showing cash, accounts receivable, inventory and other assets. You also do not yet have revenue, E.B.I.T.D.A. or net profit. Offering equity only in a company that has no cash, no collateral and no revenue is not worth anything close to the amount of money you are asking for, and your project will be declined for funding. Again, since investors' mind sets are all about perceived risk, and minimizing that risk before deciding to invest money into your company, your job as an applicant is to do whatever possible to reduce perceived risk into your company. Having "skin in the game" by being willing to incur some debt to receive funding, reduces perceived risk by investors. Telling investors you are offering equity only makes your project substantially more risky, and if you are offering equity only, your audited financial statements and an independent appraisal of the net worth of your business should justify the amount of money you are seeking in exchange for equity if you wish to receive funding.
5. Check your ego at the door. I have seen many C.E.O.’s of companies destroy their chances to receive funding because they do not understand how the process works. You may not want to read this, but, the person with the cash calls the shots, dictates whether or not you receive funding, controls the time frame of when you will receive funding, and every potential investor is overwhelmed on a daily basis with many requests to provide funding. I frequently see applicants who think ME, ME, ME who enter the funding process with a list of demands, and tell the investor they're only interested in an investor who will give money to them, and leave them alone afterwards to do whatever they want with someone else's money. Start thinking WE instead of ME. I have had many applicants with the ME attitude and so far NONE OF THEM have received funding. You are asking an investor to become your business PARTNER, think PARTNER throughout the process, not ME, ME, ME if you wish to receive funding.
Potential investors have plenty of options of how to invest their money; they have all the leverage and C.E.O.’s of companies requesting funding unfortunately do not have leverage. Would you go to a bank, apply for a loan, have a list of demands, and harass the bank throughout the funding process, and realistically expect to receive funding ?
If you make unreasonable requests of an investor, your company will immediately be declined for funding, and the investor will provide money to someone else. Investors will not talk to a C.E.O. directly, initially, when you are requesting funding. They are constantly presented with investment ideas, and they typically hide behind people like me who screen applicants to help them decide who is eligible to receive funding based upon criteria provided by the investors.
You are asking a potential investor to become a business partner. Partnerships are about working together compatibly, treating each other with respect and trusting each other. If you are not prepared to work with a potential investor to receive funding, by checking your ego at the door, not making outrageous demands, and showing through your words and actions that you are legitimately interested in working with a potential investor who can help your business in many ways, besides offering funding, you will not receive funding. Investors have many worldwide business contacts in numerous industries. Besides the cash you are seeking, you want a business partnership in which the investor can recommend potential clients, vendors, advice, etc. to help you. Think of investors as a potential source of information to help you be profitable, because that is who they are. In many cases, they already have investments within your country and industry and their experience could be very helpful to you.
This advice is heartfelt in the hopes you read this and it increases your odds of receiving funding. My job is to try to help you receive funding. The more you understand about the process, the better prepared you are before and during the funding process and the more flexible and open-minded you are, the higher the probability investors will want to help you. Read this blog post numerous times during the funding process to remind yourself what you should be doing to increase your chances of receiving funding.
One of my funding sources provided a great quote, "investors frequently bet on the jockey and not the horse." Investors, who are human beings, by human nature, want to do business with people they like and feel comfortable with. If you display arrogance, or a combative attitude, investors will not want to help you.
Good luck to you, and when you are prepared submit your project for funding by sending an e-mail to me at ifindfunding@gmail.com
Feel free to also follow me on twitter at Ifindfunding. I will "tweet" all updates.
I am also on facebook at Ifindfunding.blogspot.com/
1. Complete a BRIEF business plan, less than 20 pages, which includes executive bios and budgets (conservative & realistic) for at least the next three years before you ask for funding because investors will not take your company seriously and will not provide funding without this information. Your business plan is a marketing tool designed to entice potential investors to consider investing money into your company. Investors need to read enough about your company to become interested and want to invest in your company. Why less than 20 pages ? Investors want to read a marketing "tease" not a novel, if your business plan is too long, it will not be read, and you will not receive money.
Think like an investor. When you are writing your business plan, repeat to yourself, why should an investor give money to me, when the investor has hundreds of other opportunities on a daily basis, to provide funding to someone else. The executive bios should describe to an investor that your company has experienced, competent, intelligent executives who will know what to do with the investor’s money so that everyone will earn a profit if the investor chooses to provide funding to your company. Explain the experience your executives have in your current and prior companies raising cash, revenue, and creating profit in addition to managing a cash flow. Your budgets should be conservative and realistic. Your company looks better if actual revenue meets or exceeds budgeted projections. If you follow the stock market, look at what happens to a company’s stock price when actual revenues are less than budgeted projections; the stock price usually drops significantly. Now, look at what happens when actual revenue exceeds budgeted projections. The stock price usually increases. It is better to exceed expectations.
2. Have enough cash on hand (verifiable with a bank statement) to secure funding by providing cash as collateral before you ask for funding. It is very difficult to have accepted as collateral, assets other than cash. The more cash you have, the less risky your company is viewed as a potential investment. Investors will want to see that you know how to manage your own cash flow before they give their cash to you. If you spend your company's cash as quickly as you receive it, and your bank balance is zero or close to it, when you are applying for funding, you are sending a message to investors that you don't know how to manage your cash flow, which will quickly tell investors to invest their money elsewhere.
Again, the more cash you have, the less risky your company is viewed as a potential investment. Since investors' mind sets are all about perceived risk, and minimizing that risk before deciding to invest money into your company, your job as an applicant is to do whatever possible to reduce perceived risk into your company. Also, to reduce perceived risk, have confidence in your company, answer e-mails and phone calls quickly (in a timely manner), and understand your company, industry, and the risks an investor will have about your company & industry, and work with the investor to reduce perceived risk. When investors see a lack of knowledge, a lack of self-confidence, indecision, or an inability to work in a timely manner that raises red flags and tells investors that you are too risky of an investment.
In this global economy, the banks that are still in business are barely lending, and their criteria is so much stricter than private investors, therefore, private investors have become a much more popular source for potential funding, and they are overwhelmed with requests seeking funding. Your company is in competition to receive funding with many other companies worldwide. Treat the process like a competition by being prepared, and working with potential investors and brokers to do what is necessary to receive funding. Enter the funding process with a flexible mind set of what do I need to do to attract investors' interest in my project, and what do investors want from me to see my company as a worthwhile investment. Applicants who start the process with a list of demands before even applying for funding are very quickly denied for funding because again your company is in competition to receive funding with many other companies worldwide. Attitude is important, and if you show you are difficult to deal with initially, investors QUICKLY lose interest in you and your company, and will quickly decline your project and give their money to someone else.
3. You will also be asked, in addition to how much cash you have, what you are offering as collateral to reduce the risk an investor sees when evaluating your project. Collateral are tangible assets you can legally prove that you own. You cannot offer as collateral something you wish to purchase that someone else currently owns, because that is not your asset to offer as collateral. What I highly recommend is that before you apply for funding, hire an independent appraiser to evaluate and provide a fair market value appraisal for any assets (real estate, equipment, inventory, purchase orders, intellectual property, accounts receivable, etc.) you have that you are offering as collateral to help receive funding. Independent appraisals, within the last thirty days, are seen as far more trustworthy by potential investors than owners estimating the value of their own assets. The same concept applies with collateral, as cash. The more cash and collateral you have, the less risky your project is viewed by potential investors and the better the odds that you will receive funding.
4. You will be asked, “are you offering debt (loan), equity (ownership) or either in exchange for received funds ?” The best answer you can provide is either, because the flexibility is appreciated by potential investors, and will attract more interest in your project. If your company is a start up (pre revenue), and your answer is equity, you are virtually guaranteeing you will not receive funding. Start up (pre revenue) companies do not yet have financial statements showing cash, accounts receivable, inventory and other assets. You also do not yet have revenue, E.B.I.T.D.A. or net profit. Offering equity only in a company that has no cash, no collateral and no revenue is not worth anything close to the amount of money you are asking for, and your project will be declined for funding. Again, since investors' mind sets are all about perceived risk, and minimizing that risk before deciding to invest money into your company, your job as an applicant is to do whatever possible to reduce perceived risk into your company. Having "skin in the game" by being willing to incur some debt to receive funding, reduces perceived risk by investors. Telling investors you are offering equity only makes your project substantially more risky, and if you are offering equity only, your audited financial statements and an independent appraisal of the net worth of your business should justify the amount of money you are seeking in exchange for equity if you wish to receive funding.
5. Check your ego at the door. I have seen many C.E.O.’s of companies destroy their chances to receive funding because they do not understand how the process works. You may not want to read this, but, the person with the cash calls the shots, dictates whether or not you receive funding, controls the time frame of when you will receive funding, and every potential investor is overwhelmed on a daily basis with many requests to provide funding. I frequently see applicants who think ME, ME, ME who enter the funding process with a list of demands, and tell the investor they're only interested in an investor who will give money to them, and leave them alone afterwards to do whatever they want with someone else's money. Start thinking WE instead of ME. I have had many applicants with the ME attitude and so far NONE OF THEM have received funding. You are asking an investor to become your business PARTNER, think PARTNER throughout the process, not ME, ME, ME if you wish to receive funding.
Potential investors have plenty of options of how to invest their money; they have all the leverage and C.E.O.’s of companies requesting funding unfortunately do not have leverage. Would you go to a bank, apply for a loan, have a list of demands, and harass the bank throughout the funding process, and realistically expect to receive funding ?
An error applicants make within introductory emails is accusing investors of being fraudulent when they know nothing about the investors, their companies, and their years in business, quantity of verifiable funded transactions, and the fact that the investment industry is heavily regulated, and that investment companies and banks have to renew their business licenses annually after meeting strict criteria. Then, ignorant applicants mysteriously wonder why they are on the internet for months and years without any investor wanting to do business with them or offering to give money to them, by this point you’re already blacklisted and your chances of receiving money are zero. Go to your local bank, ask to talk to the manager, mention you are seeking money for your business, and before the bank asks you many qualifying questions to establish your chances or receiving money, refuse to answer the bank’s questions, accuse everyone associated with the bank of being fraudulent, and demand to see a list of recipients of the bank’s loans, along with the recipients’ contact information, because you want to interview them and ask questions about the bank’s credibility, then count how many seconds you remain in the bank until you are forcibly removed by the bank’s security. Sadly, there are applicants that are so ignorant that they do this daily and are stunned when no one wants to do business with them. You do not “bite the hand that feeds you” by insulting investors and then expecting them to want to give money to you. Banks and investment companies, daily, are overwhelmed with a volume of applicants seeking funding, they do not have the time to talk to every applicant nor the money to fund every project, the immediate moment an applicant shows unprofessional behavior, you are declined and your money goes to a different applicant who is professional.
If you make unreasonable requests of an investor, your company will immediately be declined for funding, and the investor will provide money to someone else. Investors will not talk to a C.E.O. directly, initially, when you are requesting funding. They are constantly presented with investment ideas, and they typically hide behind people like me who screen applicants to help them decide who is eligible to receive funding based upon criteria provided by the investors.
You are asking a potential investor to become a business partner. Partnerships are about working together compatibly, treating each other with respect and trusting each other. If you are not prepared to work with a potential investor to receive funding, by checking your ego at the door, not making outrageous demands, and showing through your words and actions that you are legitimately interested in working with a potential investor who can help your business in many ways, besides offering funding, you will not receive funding. Investors have many worldwide business contacts in numerous industries. Besides the cash you are seeking, you want a business partnership in which the investor can recommend potential clients, vendors, advice, etc. to help you. Think of investors as a potential source of information to help you be profitable, because that is who they are. In many cases, they already have investments within your country and industry and their experience could be very helpful to you.
This advice is heartfelt in the hopes you read this and it increases your odds of receiving funding. My job is to try to help you receive funding. The more you understand about the process, the better prepared you are before and during the funding process and the more flexible and open-minded you are, the higher the probability investors will want to help you. Read this blog post numerous times during the funding process to remind yourself what you should be doing to increase your chances of receiving funding.
One of my funding sources provided a great quote, "investors frequently bet on the jockey and not the horse." Investors, who are human beings, by human nature, want to do business with people they like and feel comfortable with. If you display arrogance, or a combative attitude, investors will not want to help you.
Good luck to you, and when you are prepared submit your project for funding by sending an e-mail to me at ifindfunding@gmail.com
Feel free to also follow me on twitter at Ifindfunding. I will "tweet" all updates.
I am also on facebook at Ifindfunding.blogspot.com/
Monday, November 1, 2010
System Submission Issues Resolved
Applicants may have experienced system slowness this morning in the processing and validation of applications. Our team has resolved the issues attributing to the slowness. We will continue system monitoring throughout the day.
We greatly appreciate your patience.
We greatly appreciate your patience.
Grants.gov Experiencing System Slowness
All:
Grants.gov is currently experiencing system difficulties in processing of application packages and S2S submissions. You will be able to submit and issued a tracking ID but may experience a delay in processing and validation.
Please check our website and blog for continuous updates: http://grants-gov.blogspot.com/.
Next update at 12:00 PM ET.
Grants.gov is currently experiencing system difficulties in processing of application packages and S2S submissions. You will be able to submit and issued a tracking ID but may experience a delay in processing and validation.
Please check our website and blog for continuous updates: http://grants-gov.blogspot.com/.
Next update at 12:00 PM ET.
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