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I have a pressure washing company for 16+ years (I go to trucking companies and washed there fleets of trucks). I want to build an automated truck wash (it's a proven method of washing trucks) and have my business plan and site ready to go but lack the start up capital of $1.8 Million. I am looking for an investor to help me get off the ground. My traffic study show that I should have them paid back in 3 years or less. What should I expect from an investor? I am 36 years young and need some advice on this issue...
This is not what you would call a 'venture deal'. While it might make a lot of money, No VC firms that I know of would consider this investment. There are a few other options - Angel Investors (Rich individuals) But you would have to find someone interested in This space - A software exec probably wouldn't be interested - But, an exec from a trucking company might....Plus the real estate you will own helps. Its a good cashflow business for an Angel Investor.
Or you can go the friends/family route. This is a company that will never go public, or need to raise several million from large i-Banks, so you don't really have to worry about accreditation and securities laws...start a grass routes campaign. Get friends and family to give a small amount each, letting them all share in the profits. Or, if you have good credit, you may want to try a bank....
I do want to clear up a common misconception about Angel Investors and Venture Capitalists - Investors don't want to be 'paid back'. They are not loaning the money to you. They dont want their original cash + 10% percent a year... That's a bank. Investors are buying a piece of your company. They are in it for the long haul (no trucking pun intended). They become your partner. They want their 1.8 million to turn into Several million over 3-7 years....
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