Question

8. a) You run a startup that is looking to provide fitness and strength training based on the individual physique of the customers. The service is highly customised and the trainers will be working on a 1:1 basis with the customers. You have a team, a venue, the branding, and already about a dozen customers. However, you are still in need of £600,000 of seed funding to pay for the venue. Describe your fundraising strategy.

b) You have successfully raised the funds through angel investors. Now you are looking to scale your customer base with an anti-cyclical marketing budget. Describe your strategy.

Answer 1

a) Fundraising strategy for the startup of the business of health and fitness starts with raising of funds. Commercial Banks are the best example that can provide the loan for the startup business, and the person can repay the amount with some percentage of interest in installments to the bank. It is the safest and secure way to invest money into the new startup business.

The business will take time to set up initially, but when the customers show their presence in the venue, there will be an automatic rotation of the money. Within some time, the person can quickly start returning the amount to the bank. The person can also raise a fund with social media's help as the person can promote the history of health and physical fitness on social media. It will help the person to increase their customers, and his business will see the growth, as well as there will be the achievement of its business objectives. Social media is a powerful tool that can help any business increase its goals effectively and efficiently.

b)If the angel investors are providing funds to the new startup business, then the business person's core work is to attract their customers with the services and facilities. Customers are the key priorities of any business, helping the company grow and achieve its objectives. If the number of customers increases, it will be easy for the business person to return the money to the investors. The strategy is to increase the customers' name so that the business will get the fame and recognition in front of another person, and the company should take a competitive advantage over their competitors in the marketplace. Competitive advantage will help the person to go one step ahead of their competitors.