Sponsoring

[SimonS]

Hi everyone,

My name is Simon and I am starting off a new project on the internet, however, finding money to fund the project is a large problem. I have 100% faith in the idea and that it WILL work, but I am under 18, which disqualifies me from being able to get a loan from a bank or any similar source, And, I do not want to be hassling my parents for money. I have researched into the many business funding sources and the most feasible for my project I would say is Sponsoring.

The main problem I have is finding a sponsor and how to go about contacting them and asking about sponsorship. Also a huge obsticle for this project is that it is original and people would steal it if i told them it, I can copyright it and everything like that BUT that costs money which I just don't have.

I was wondering if any of you have got sponsors and if so, how did you go about getting them?

Thanks for your time -

Simon Stewart

[akula]

Hi everyone,

I have 100% faith in the idea and that it WILL work

simon, this is an example of confirmation bias

you're not ready for the business world

try to step away from these pie in the sky delusions and go do some market research surveys

if you get positive results from live prospects, things will start working for you

[akula]

Also a huge obsticle for this project is that it is original and people would steal it if i told them it, I can copyright it and everything like that BUT that costs money which I just don't have.

these are just silly concerns which concern you because you cannot distiguish between business priorities and what is a real and an imaginary business risk

don't say things like "steal my idea" to business people because they will laugh at you

[AlexShelton]

Yeah maybe he is being a bit naive shall we say , BUT he may just have a very good idea .

Bud add me on msn alexshelton90@hotmail.co.uk

or pm with further info

Thanks

Alex

[jg_macarthy]

Yea akula is right. What is the point of you even posting this? Also, that bias akula talks about is a very dangerous one to carry and one you need to lose quickly. Now, if you want help and you thing your idea is so great then explain the market you think you will sell it to and some competition you would have in the market. Again, if it is so great and you cant tell anyone then what are your intentions of this post?

[NIPS Global Solution]

Hey,

Don't mind all of the guys who are telling you not to worry about someone stealing your ideas. Even if they all own large businesses, they still need to worry about ideas, and to tell you the truth, if they aren't protecting the ideas before they spread the word, they are idiots. What would have happened to apple if they had run out to Microsoft and said" Look, we've designed this new music player, what do you think?". Microsoft wouldn't have started on their own digital player right away, but they would've started the market research to see if it would be a good sales solution.

Basically, you can tell anyone and everyone about your idea's concept, but never the actually tell them how it exactly works. NEVER. Plain and simple. Sure, maybe none of them will steal the idea, but you never know who else may browsing this site or any other for that matter. I bet a couple of large corporations have a Intelligence crew scouring the internet looking for good ideas that come from people like us.

Being under 18 myself, I've taken to making sure no one steals my idea through protection means such as contracts and non-disclosure/usage contracts. They don't take much time to write, and basically state that if anyone uses the idea I've come up with, or the business idea, they can have legal action taken against them. Make sure an adult signs also though. Never just you should sign it, since you are under 18. Some people believe the contracts can't stop anyone from taking your idea, but in truth it can. If you tell someone about your idea, and they use that concept to make a product, and sell it, you can be entitled to the entire sales total, and profits, and they can be arrested for the theft of intellectual property.

Just be safe and protect yourself(great now I sound like a Health Teacher!Lol.)

Ryan

NIPS Global Solutions, LLC.

[jg_macarthy]

Nobody asked him to share his idea. like you said I asked for a geneal description of the market and the competition.. Of course you dont spread key business data objectives without an NDA. The fact is the kid hasnt said any more than I have a good idea that 100% will work. Show me anyone on the forum who couldnt start a thread like that. So again, some genral market and competitor info will be necessary for any help. Also if you don't want to share any information here. Get a business and marketing plan together,as without them anybody you ask for money from will not take you seriously.

[akula]

ryan,

1) typically, the only disclosure i need is a descrption of the problem the entrepreneur is solving

2) your comparison b/n apple and msft is not fitting

these are large companies who have the power to monopolise markets

with a sizable competitor, information has value because ppl can act on it

with an itsy bitsy little startup, the dynamics are diffrent

you're not gonna expect a first time ceo to dominate a billion dollar market overnight, or even capture 1% of market share within 5 years

it's be proposterous to expect a first time ceo to succeed at all, in anything else other than puffery

therefore, unique ideas are useless to first time ceos because they're not in a position to execute them, much less profit from them

the better starategy for 1st time ceos is to scream their ideas off the rooftops so they get a reputation for being an ideas person

[SimonS]

Thanks for feedback,

Basically what i was actually asking was how do you go about getting sponsoring, like how would you ask a company? I didn't ask "I have a good idea that 100% will work". So if people would read posts properly and get the right idea of what it is about, including the fact that the title is "Sponsoring". No one actually addressed the question that I asked.

[akula]

the answer to your question:

to get sponsorship what you have to offer is evidence of a return on investment. the document which you are gonna be shopping around is called a media kit. to make a media kit, this is what you do:

1) Identify your target market. Who are your potential sponsors and what is a common problem experienced by the management.

so, before I proceed, what is the problem you are solving, and who are the other large companies (i.e. potential sponsors) solving the same kind of problem as you're solving.

for example: independent artists like the Bright red Band are having difficulties recruiting fans. You want to help them recruit fans by putting together a marketing consultancy that launches viral awareness campaigns for independent artists. The problem you are solving is similar to what MySpace Inc is trying to solve, so you will target MySpace as a potential sponsor.

Then, you go through the steps of making a media kit, which you'll pitch to MySpace people, offering a return on investment if they buy your sponsorship package

[yourhostingspot.com]

The best way to get money for you business is to get a job and save up. Even ask for small bits from family members. Or start a smaller business with less start up costs and raise money. I can't speak for most young entreprenuers, but that is how I got started. I just worked and saved up money when then, when I was 16 I started my first business. My mom even gave me $100. You can try and get family members just to lend you money and pay them back on a monthly basis. But I still think the best way is just to work and save up the money.

[Sam Barona]

Hi Simon, most companies that use sponsorship in their marketing arsenal do so to build brand equity. They choose suitable targets that reach their core markets and that compliment/enhance their market position.

Thus, to choose the right type of potential sponsor: take a close look at your idea's market; take a look at how you will position your offering and search for companies that closely resemble your results.

How to approach: Simple, call your target companies and ascertain who is in charge of sponsoring (they normally have a whole team dedicated to this). If at all possible, deal only at the highest level to ensure that you get the facts.
Ask yor new contact to share with you their criteria for choosing sponsorhip partners, and if your offering matches their criteria, then present it to your contact with a full proposal that outlines the market you are reaching, sponsorship opportunities, frequency of impact, positioning and of course, pricing. Your proposal should be professional and present your offering as a low risk venture. You are dealing with the sensitive issue of co-branding, which means that the sponsor is actively endorsing your offering and extending their brand identity to yours. They have invested heavily on building their brand, so dont expect them to take any risks with it.

Please be mindful that they have a plethora of tried-and-tested sponsorship options and that most of the sponsorship budget tends to be already spent before the begigning of their financial year. This only leaves a small part of their budget to try new ventures and there is much competition for this small part of their budget (usually 5% of their total sponsorship budget).

Your key is to get a big player involved (even on a free basis) so that you can use this as leavarage to attract other (paying) sponsors. This should give you a better risk factor score. Your sponsorship revenue will be small in the first year or two, so perhaps you will have to ask the bank of Mom & Dad to also sponsor you. This should also be easier once you secure a large name.
Remember that they are not only investing their money with you, but the weight that their brand carries with it (this can be very lucrative if used properly).

Co-Branding contracts tend to be complicated documents and may very well restrict the type of co-sponsors that you may choose. make sure that you get professional advice on this before signing.

I hope this helps

Sam

[jg_macarthy]

If you want a good chance at obtaining a part of that 5% akula mentioned you need to get a solid marketing/business plan together, which will probably cost a little money.

[akula]

:-) jg, you're referring to sam's excellent advice there

personally, i don't see how anyone can start a business with "sponsorships"

it's just not the standard, tried and true way for starting businesses

savings - that's how entrepreneurs have started ventures for generations (as yourhostingspot pointed out)