That’s according to Luke Lang, chief marketing officer and co-founder of crowdfunding firm Crowdcube, in this exclusive video for FoodManufacture.co.uk.
“Start to warm up people who you think might be interested in the investment because if you can get the momentum and the investment clock ticking along as early as possible that gives you a really good opportunity,” he said.
“The majority of businesses are eligible for tax relief – or investors are eligible to offset some of the investment that they make – so that can be up to 50%.”
Watch this video to find out what the key mistakes Lang said businesses were making when seeking crowdfunding.
He also dismissed fears that crowdfunding took control of the business away from the owner and claimed firms could benefit from having multiple investors willing the company on to succeed.
Last year, Harriot Pleydell-Bouverie, founder of marshmallow firm Mallow & Marsh, warned crowdfunding was ultimately negative and took control of the businesses away from the founders.
Meanwhile, Lang also warned firms not to miss out on the growing popularity of food and drink businesses with investors.