Having investors is one of the best ways to grow your company and to turn a small business into a major enterprise. Investors can help your organization grow financially, but it doesn’t mean that investors don’t come with some strings attached. Investors are very important and they can make or break your company. However, when you have investors backing your company and helping it grow, you need to be aware of their perception and their opinions on their company.
Unfortunately, there are very few investors that will give their own personal money to a company and then not have any opinions on how that money is used or what their investment is doing. This is why it is so important that you are able to keep your investors happy. This doesn’t mean that you have to do everything that investors say, but it does mean that you need to make a little extra effort in keeping them happy. Here are some of the best ways to make sure your investors are as happy as possible, so you can focus your attention on your company instead of the opinions of your investors.
Share All Positive News, Big and Small
Nothing will upset or worry investors quite like hearing bad news. If your investors feels like they are always hearing bad news, it can make them understandably worried about their investment. There is no way to make sure bad things never happen and there is nothing you can do to prevent all bad things from happening to your company. However, a great way to balance out bad news and to help keep your investors as happy as possible, is to make sure you are always surrounding your investors with positive news.
Share all good news with your clients. Whether it is big or small, if you have positive news about your company, make sure that you share it with your investors. If your investors are getting weekly emails with positive news about your company and what is going on in your organization, they are naturally going to be happier about you and your company’s performance.
Quickly Disclose Bad News and How You’re Turning It Into Good News
Bad things happen to every company. There is no professional journey that doesn’t include setbacks and hurdles, and when these negative things happen, you need to share the news with your investors. So how do you do this without upsetting your investors?
When you have bad news, you need to quickly disclose it. Don’t lie about it. If you try to lie about or cover up bad news, if your investors eventually find out they are only going to be more upset. When you have bad news, let them know. Be brief about it, but make sure you always deliver bad news with an accompanying action plan and information on how you are turning it into a more positive situation. Don’t just tell investors bad news and make it seem like you don’t know what to do with this negative situation, you need to have a plan on how you will turn it around.
Seek Their Opinions
If you really want to keep your investors happy, then they need to feel involved with your company and what is going on with your organization. The best way to do this is to ask their opinions. Don’t forget, they have put a great deal of their own money into your organization and while they may not have the experience and the skills that the business owner has, they still have a vesting interest in the company they put all of their money into.
Investors are more likely to be happy and less likely to bother you with complaints if they feel like you value their opinion and value more than their money. This helps investors feel more involved, and they are less likely to be upset when there are hiccups in your company’s journey along the way. You don’t have to take their advice on every situation, but make sure that you are at least asking investors for opinions on some of the decisions that your company makes. The more valued your investors feel, the more positive they will likely be.
Happy investors can make life a lot easier for any entrepreneur. Keep these tips in mind when dealing with investors to make sure they are always as positive as possible.