Women-, Minority-, and Veteran-Owned Businesses Have New Source of Financing from Founders First Capital Partners Bridging Gap for Entrepreneurs Who Struggle for Funds
San Diego, CA (PRWEB) November 19, 2015 -- As women, veteran, and minority entrepreneurs face tough challenges in getting financing for their business start-ups, a new firm – Founders First Capital Partners (FFCP) – is launching a program to help business owners in underrepresented and underfunded demographics. Offering financing up to $300,000, FFCP aims to bridge a gap in support for business owners who are struggling to grow their early-stage businesses into sustainable and profitable businesses.
“Traditional financing often isn’t an option for many entrepreneurs, who may lack collateral or not meet stringent lending requirements or just be perceived as a more risky investment,” says FFCP founding partner Kim Folsom. “We’re seeking to provide not only funds but also small-business expansion coaching to women-, minority-, and veteran-owned businesses, and create real opportunity for them in this tough lending market.”
FFCP is launching on an important date for one of their targeted groups: November 19 is Women’s Entrepreneurship Day, whose founding organization is convening today at the United Nations in New York City. Women’s Entrepreneurship Day is a global movement recognizing that women-owned businesses are set to increase by 90% in the next five years, but remain underfunded and undervalued compared to men-owned companies.
Leveraging undervalued companies – opportunity for investors
“One of the benefits of working with FCCP is that it targets businesses led by founders from underrepresented groups; women, veterans, and minorities,” notes Folsom. “These groups – although underfunded – actually outperform traditionally funded companies, when provided adequate resources and guidance.”
Kevin O’Leary of ABC’s “Shark Tank” – a seasoned entrepreneur and founder of O’Leary Financial Group – supports the notion that there is a benefit in investing in underserved demographics. One such demographic is women, receiving only 2.7% of, venture capital funding between 2011 and 2013 according to the 2014 Diana Report.
According to O'Leary, “FFCP combines two practices I believe in and have had strong success: revenue based financing and funding underserved groups. Revenue based financing is simple to implement and execute and ensures all stakeholders interests are aligned. Some of my best returns and successful portfolio companies, at O’Leary Funds, have been women led companies.”
Support for underfunded groups
To support underfunded entrepreneurs, FFCP has launched a VC Fund and Online Growth Accelerator program, offering non-dilutive, revenue-based financing of up to $300,000, as well as technology-based business development, financial management, and leadership development coaching.
“Our programs are targeted to independent, privately held companies headquartered in the United States and have revenues of $250K to $2M,” says Folsom.
One such company is Urban Translations, the world's leading provider of digital menus to the hospitality industry, founded by Samantha Urban. "The most compelling part of FFCP's model to an entrepreneur is their focus on partnering with the company's founder,” says Urban. “Partnering to help them develop a playbook for exponential growth by including valuable services like fiscal management, lead generation, and digital marketing, all as part of their investment."
“There is a gap in the marketplace,” says Folsom. “Unable to meet the underwriting criteria defined by most traditional funding sources, the assumption in the market is that these unfunded businesses are unqualified and don't deserve funding. However, this unmet gap is not a true indication of their business viability, but rather an opportunity for a creative revenue-based funding solution that better aligns with the natural early growth stages of a healthy business.”
Overcoming hurdles for investors
FFCP is actively raising funds for an initial investment in Q1 of 2016. The revenue-based financing model employed by FFCP is attractive to outside investors, and the extensive background checks and research of the FFCP team greatly minimize the risk often associated with early stage investments.
“Historically, investors have found it challenging to finance businesses classified as ‘small’ and/or ‘disadvantaged’ because these businesses typically lack the assets to collateralize loans, the EBITDA to support debt service, or the exponential growth to justify venture funding,” explains FFCP founding partner Del Lewis.
“With FFCP’s revenue based financing model, investors now have entre to rigorously vetted companies with strong and growing top lines that can provide an above average return on capital.”
ABOUT FOUNDERS FIRST CAPITAL PARTNERS, LLC.
ABOUT US:
Founders First Capital Partners, LLC., (http://www.foundersfirstcapitalpartners.com; f1stcp.com) is headquartered in San Diego, CA and is making history with the launch of the first revenue-based financer and online accelerator focused on growing thriving million dollar small businesses.
ABOUT THE FFCP TEAM
The FFCP executive team has a combined 60+ years of entrepreneurial experience in growing multi-million dollar companies, as well as advising and investing in small business founders through the critical stages of strategy, capital acquisition, fiscal management, and business development.
Kim Folsom is a serial entrepreneur with over twenty years’ experience founding, leading, and building start-ups, during which time she raised over $30 million in venture financing. Her background includes co-founding and managing two venture backed companies, which she guided from conception to over $5 million in revenue, and she was on the ground floor for the creation of the ShowUhow, DriveCam, and SeminarSource ventures. Ms. Folsom has enjoyed a successful corporate career, including her role as an executive at National Dispatch Center, the regional law firm of Luce Forward, and Alltel Systematics/Great American First. Folsom holds an MBA from the University of Pepperdine and a Bachelor’s Degree in Information Systems from San Diego State University.
Del Lewis brings a wealth of financial knowledge and training expertise to the FFCP team. Mr. Lewis is actively involved as an investor and business owner through his “Venturpreneur” firm, TriClare Business Holdings (TBH), which helps entrepreneurs and entrepreneur teams build privately held businesses. The primary goal of TBH is to accelerate business owners toward financial independence by helping them create profitable business systems. TBH provides various business resources including corporate finance, operational systems implementation and management, and marketing. In addition, Lewis founded several entrepreneurial businesses including ProChief Culinary Concepts and Red River Shipping. He is a former Vistage Chair, Vice President at Chase Manhattan Bank in the Investment Banking Division, and is a USCG licensed marine engineer and graduate of the US Merchant Marine Academy.
For more information on Founders First Capital Partners and the FFCP team, visit http://www.foundersfirstcapitalpartners.com.
MEDIA CONTACT:
Kim Folsom
619-884-7266
press(at)f1stcp(dot)com
Facebook: https://www.facebook.com/f1stcp/
Twitter: https://twitter.com/f1stcp
LinkedIn: Click Here to Access LinkedIn Profile
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Kim Folsom, Founders First Capital Partners, LLC, http://www.foundersfirstcapitalpartners.com, +1 6198847266, [email protected]
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