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Benefits of outsourcing investor relations
December 21, 2021 at 7:00 AM
Benefits of outsourcing investor relations

Every business needs money to operate. As yours grows, you’re going to be looking for investors who are willing to provide the capital you need. While not everybody is skilled at asking investors for money, you can work with those who are by outsourcing investor relations. If this is not something you’ve considered, let our team at Savvy Esquires highlight five benefits of outsourcing investor relations in Newark, NJ.

Won’t stretch resources

Regardless of how much money a company has, there is always a finite amount of resources available. In the case of investor relations, these resources are people. Spreading your people out across all your investors might leave you a little thin in some areas where you need to have more coverage. Working with an investor relations firm is a great way to ensure that your team is allowed the time it needs to cover its primary tasks without getting spread too thin across many tasks. Keep in mind that you can always assign someone on your team to work with the investor relations firm, so you have a direct line of communication at all times without putting the additional load on your workers.

Objectivity

Most investors know when they’re being sold a bill of goods. However, there are times when their skepticism and desire to protect their money can make them extra cautious about where they’re willing to invest. That being said, your enthusiasm for a growth opportunity can sway investors in one of two ways: either optimistic and willing to invest or overly cautious and unwilling to contribute. An investor relations firm can help to provide objectivity in presenting an investment opportunity. It’s often easier to digest information when it’s received from someone who doesn’t have any immediate skin in the game because there’s no sense of obligation to decide on the spot.

Experience

Knowing how to manage a group of investors is a certain level of skill. If you’re not well-versed in how to navigate a board of people you’re asking for money, it might not end well. Outsourcing investor relations is a great way to ensure that you have somebody on your side who knows the ins and outs of presenting an investment opportunity, including future opportunities that will later be presented or how you’re planning to handle any issues that arise along the way.

Scalability

Scaling your business is going to take capital. You understand that investors are a valued piece to making that happen. Hiring an investment relations office is a great way to present your investors with your plan to scale from your current state to where you want to be. For instance, you might have your vision perfectly planned out on a board in your office as you’ve worked through everything with your leadership and management teams. You’ve established six-month, one-year, and five-year plans to effectively manage the increase in income as well as outlined the exact amount of funding it’s going to take to make necessary improvements to get there. Your investment relations office can help you hammer out the details of that plan before it’s taken to the board of investors, which can make for a stronger case to continue to scale your business.

Schedule an appointment

If you’d like to learn more about why you should consider outsourcing investor relations in Newark, NJ, get in touch with us at Savvy Esquires. We offer consultations and transparent pricing, so you know what you’re getting when you hire our team. Give us a call at 646-256-2484 or book your consultation. We look forward to working with you as your investor relations firm.