James River Capital Corp. is an independent investment firm based in Richmond, Virginia. It started as a department at Kidder, Peabody & Co., Inc. James River was acquired by Paul Saunders and Kevin Brandt, two executives from the department. Kevin Brandt is president and principal of James River and Paul Saunders is the chairman of the board, chief executive officer, principal, and portfolio manager.
James River invests in alternative asset classes. This includes equities, corporate credit, futures, and asset-backed securities. It is registered with the SEC as an investment advisor, commodity trading advisor, and commodity pool operator.
Paul Saunders enjoys talking to people who are thinking of starting a business. One question invariably asked of him is how to get the money to do so. He has shared myriad ways of raising funds, including both conventional and creative ideas. These funding strategies can be used solo or in concert.
The first way of raising money is called “bootstrapping”. This is using your sources of money including savings and credit cards. You can also borrow money from people you know. Paul Saunders says this is the best way to raise money. The major benefit is that you don’t have to give up equity in your new company to an outside investor.
Crowdfunding is a relatively new way of raising capital for a small business. Kickstarter is a major crowdfunding site. You can set goals and tiers for people willing to give you money. The people who give you money don’t expect to get their money back. Some Kickstarter campaigns do give things like t-shirts to their supporters.
Money can be acquired from business loans or the Small Business Administration. Paul Saunders says that getting a bank loan is a lengthy process but interest rates are good. SBA loans have a higher rate of interest but they aren’t as difficult to qualify for. Both require that the applicant has a good credit score.
A business line of credit is another option. This provides you with a pool of money to tap into. You only pay interest on the portion that you use. It depends on the bank when it comes to the approval process used and what the interest rates will be. Learn more: https://patch.com/virginia/richmond/paul-saunders-principal-james-river-capital-corp-burnout
Another option is getting a local loan. Paul Saunders says this resource is often overlooked. The best source of information on these is the local Chamber of Commerce. Another resource is the local business development center. These can often be found at a university. This is a great way of meeting other people who want to start or have started a company. This resource can show you how to apply for a loan and what the terms are.