A common misconception when it comes to capital raising is that the work ends when the cash starts flowing. As a growth consultancy, we at BeingIconic know this could not be further from the truth.

Raising capital — albeit a game-changing milestone — is just the beginning. A new challenge awaits and, at this stage, it is almost too easy to lose focus.

Here are four aspects entrepreneurs need to focus on once they have money in the bank.

1) Hire Well, Hire Fast

Once funds are in, investors expect your business to grow at exponential rates. There is no time to waste. However, sustainable growth is not solely achievable with money.

Entrepreneurs need to remember that a company is only as good as its people — and impressive talent is hard to come by.

Qualified non-technical hires can take at least a month to find. While exceptional technical hires can take two or more. Time is money, and time wasted means money down the drain.

To keep advancing milestones with as little wasted resources as possible, entrepreneurs must run their recruitment efforts in parallel with their fundraising efforts. While risky, doing so will cut the timeline in half and have the company raring to go once the fundraising process closes.

2) Tap Into a Reputable Accounting Firm

With real money comes real obligations to shareholders when it comes to managing financials, income statements, tax implications, cash-flow analysis, and many more.

During this time, entrepreneurs can no longer rely on the crude financial models they have built on their own. Hiring a reputable accountant can make the difference between being distracted with operations noise and becoming efficient and focused on developing impressive products and solutions.

3) Be Prudent With Spending

Spend most of the budget on product development, skimp on the rest.

During this critical stage of growth, business leaders are rebuilding their product lines for scale and maximum impact. Having a product that markets cannot live without requires time, effort, and rare, exceptional talent. Finding exceptional talent, in effect, requires money.

Instead of allocating budget to an in-house chef, fancy desks and chairs, or all other unimportant facets of “what great businesses are supposed to look like”, focusing on properly compensating product engineers and developers will set any product and business up for long-term, sustainable success.

4) Never Stop Collaborating With Investors

After discussing numbers, vision, long-term positioning, midterm execution, and the like, keep investors close. Leveraging relationships with investors should not be limited to the prefunding process.

While it is tempting to want to get back to work right after the quest for funding comes to a close, ensure investors become a critical part of the tactical decision-making process within the first month. This will allow entrepreneurs to tap into their network, resources, and expertise. Therefore, allowing both entrepreneurs and their shareholders to make valuable decisions and create a greater positive impact together.

At the end of the day, companies all want their customers to love their products. By focusing on hiring the right people at the right time, tapping into reputable accounting firms, being smart with spending, and partnering with investors, entrepreneurs can effectively increase their chances of long-term, sustainable growth and success.

As scale-up specialists, we at BeingIconic have successfully assisted various Australian businesses through their most critical stages of growth. Partner with us today if you want us to do the same for you.