What is the “Bite Size” Funding Concept?
In simple terms, LSC Bite Size business funding is a global match-making concept for small to large businesses to connect with people willing to invest in the growth of a viable business. Bite Size is a low-risk method of trading where an investor purchases raw materials or services needed to produce profitable units of goods or services for a business.
How Can This Benefit Investors and Business Owners?
Essentially, funding does not come in the form of cash investments, but the investor provides the means for you to start or grow your business in return for a share of the profits from sales, as well as their initial investment. As long as your business is trading, you can benefit from this type of funding option.
As an investor, you may invest from one hundred to millions of dollars in raw materials, services, equipment or physical accommodations to help a business become even more profitable. Bite Size can create immediate cash flow for the investor, as long as the business has a viable product or service. We work to help the business owner and investor establish short-term or long-term agreements.
Still not sure how it works? Here's an EXAMPLE:
Beatrice the Baker sells bread and chocolate cake. Her local customer base is typically one hundread people shopping consistently every morning buying one hundred loaves of bread and one hundred cakes. The same one hundred customers return in the afternoon and purchase one hundred cakes, but no bread. Beatrice then also realizes that foot fall in the area has grown and more customers are asking for cakes. Beatrice needs to be able to produce at least two hundred more cakes and hire one more staff baker.
Don who lives local to Beatrice's Bakery sees that people love Beatrice’s cakes and offers to spend one thousand US dollars to purchase all the ingredients she needs to make an extra two hundred cakes per day. When the ingredients are delivered, Beatrice is able to hire another baker and bake at least four hundred cakes a day to meet the demand.
In return, Beatrice has agreed to give Don a fixed percentage of the profits from sales of the cakes each month.
As the relationship between Beatrice and Don develops, they agree that Beatrice should reinvest the one thousand US dollars to make more cakes and Don will continue to receive a fixed percentage of the profits each month. According to their agreement, Don has the option to end the agreement and receive the capital investment of one thousand US dollars plus profits from that month. Alternatively, Beatrice and Don could also agree for Don to incrementally increase the amount of raw materials in order to boost production and sales. This in turn increases the overall revenue for Beatrice as well as the return of monthly profit share to Don.
What does it cost to participate:
Free to Investor. Business owners, See form for fee.
For registration click on the link below, we do not get involved in negotiation or give financial advice
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