You do not have to wait for your business plan to start warming up potential investors. You do need to have your pitch in your head, hit the hot buttons. What you are doing, why you are qualified, how much you need, and what kinds of returns they might expect? Ask them if they might be interested, get their name and number and tell them when you get it all together you’ll let them know.
It does not matter how much you need or how early you ask as long as you know basically your plan and have a hot button pitch. You are grooming your future money now, so when you need it it will be there. You do not need to be best friends or overly intrusive on other people lives once you get their contact information, loose connects are often better for getting down to business anyway. The amount you need to raise will often have to do with how big you think and of course what you need. My whole point is for you to get start a business that can get you $1,000,000 in the bank, so you do not have to worry too much about raising millions to start your company.
I have said this almost every time I talk about raising money; make sure you have a good strong business plan. However, your business plan will not raise you a dime, it is your pitch and your personality that will raise the money. Your business plan is a way for you to make sure you are ready and have all the answers possible. It is also a credibility tool and a sales tool in so much that as it supports everything you say in your pitch.
Identify and talk to people who might have money, doctors, lawyers, business owners, and anyone dressed nice. Also give your pitch to everyone else too, and ask everyone if they know of anyone you would be able to make this investment if they wanted too. Plus, keep in mind LinkedIn.com can get you right past the secretary of thousands of people with a LinkedIn in-mail or e-mail.
Do not be afraid to approach anyone. He or she could be the one to change your life.