Three reasons why companies seeking investors should invest in marketing first

Whether you’re a venture capital firm seeking investors for its clients or a startup seeking its own sources of funding, don’t ignore the basics of self-promotion. Smart marketing can help eliminate clutter and ensure that your message reaches its goal. Here are three reasons why marketing should be central to your strategy:

1. During the first quarter of 2008, there were no venture-backed IPOs, marking the first time since 1978 that no IPOs were issued and represents a capital markets crisis for the startup community. [Source: National Venture Capital Assoc. and Thomson Reuters]

2. The M&A market registered only 56 deals during the first quarter of 2008, one of the lowest quarterly levels in the last decade. [Source: National Venture Capital Assoc. and Thomson Reuters]

3. Only one in six venture capital firms goes public and one in three is acquired. [Source: National Venture Capital Assoc.]

In today’s difficult economic and competitive environment, companies need all the advantages to differentiate their businesses. With thousands of other companies vying for opportunities and limited investment dollars, you need to stand out. Good marketing techniques can help you get a head start. Here are five easy ways to make a difference:

Good marketing doesn’t have to be expensive or difficult to handle. If you don’t have staff available to do the job, outsource. A small investment in basic marketing communications can help ensure that your message reaches potential investors.