Capital raising gets easier with repetition, pattern recognition and mastery of the process. Arshad Azim, Managing Principal at Crescentem, has these qualities. After decades of experience in finance and investing, and after having managed billions of dollars in assets, he has compiled key points to consider for any organization seeking to raise capital.
For Arshad Azim, delving deep into the intricacies of capital raising is all in a day’s work.
He says that it’s important for anyone trying to raise capital to understand their unique offering. Before starting a conversation, it’s important to get clear on what sets your venture apart. Many people seeking capital fail to establish this paramount objective in the early stages.
“The key lies not just in presenting numbers, but conveying your vision, strategy and approach,” says Azim.
It’s also important to cultivate trusting relationships, which Crescentem has done since its inception, forming strategic relationships across the globe in North America, the Middle East and beyond.
“By cultivating trusting relationships, capital raising becomes easier,” says Azim who elaborates by asserting that long-lasting and genuine relationships with investors are the key to success. You need to listen to their concerns, understand their aspirations and remember that every interaction is a brick in the edifice of trust that you are building.
“Embracing transparency early on is also crucial,” says Azim. Honesty is the strongest ally when you’re seeking investment, and Arshad Azim emphasizes the value of sharing both the potential upsides and the inherent risks of an investment. Complete transparency garners more than just respect, but it also fosters trust.
“It also helps investors make informed decisions.”
There are also many new technologies that can help you raise significant capital. You can leverage AI-driven analytics or use communications platforms to connect better with stakeholders. Azim encourages embracing both the digital age and cross-border connections in the pursuit of raising capital.
Above all else, the ability to showcase your track record and learn from missteps is essential. “Your past success is a testament to what you can do,” says Azim. “Highlighting the lessons you’ve learned, as well as potential missteps (again emphasizing the importance of transparency), underscores your commitment to growth and improvement,” he says.
In finance, it’s also important to stay up-to-date with regulatory nuances. There are many regulations when it comes to raising capital and managing assets. Knowing them is vital, and it’s important you take the time to learn or have a trusted consultant in your corner to advise you and save you from any potentially expensive mistakes in the future.
“One oversight can sometimes spell disaster, not just legally but also in terms of the longevity of your business,” says Azim.
Overall, Arshad Azim says capital raising is a difficult endeavor and rejection is always part of the process. His mantra in this instance is resilience and patience.
He advises, “Each ‘no’ is a step closer to the ‘yes’ that can change the trajectory of your venture.”
