How to keep investors happy so you continue to get their support

Running a business is a complex and complicated matter.This is only further compounded by having investors that you must keep happy in order to get their continued support.It's easy to remember them when you're struggling and need their advice.and their money.But once your business is up on its feet and you don't need to ask for assistance at every turn, you're much more likely to forget your investors.Here are some tips to keeping your investors happy so that your business is able to run smoothly and be successful.

Whether you like it or not, you owe your investors something.They are one of the major reasons why your business has been as successful as it has been.Without their capital and influence, you would not have been able to proceed as you have.And since investors are putting their money (and sometimes even time) into your business, they have a right and a desire to know what's going on.

1. Share your company's good news.Your investor deserves to know what's going on, especially when it's good news.Be generous with it.Send your investors any press clippings about your company, product announcements, customer mailings, customer testimonials, and a holiday card.Invite them to your grand opening or to a re-opening of a previous store.Have them come tour your space.Invite them to your holiday office party.Whether or not they attend is irrelevant- you've done your part by making them feel included in your company.

2. Share your company's financial information.Experienced investors usually expect one or even all of the following: an annual business update letter, including milestones achieved, operating highlights, and a summary of financial performance; regular financial statements, which includes quarterly statements; and/or audited annual financial statements, showing 1-3 years of operating expenses.
3. Don't hide the bad news.The last thing your investor wants is to find out from someone else that your company is struggling.You have an obligation to your investors to let them know what's going on with your business, even if they're not going to be happy about what they hear.If you were smart, you would also present them with a solution to your problems when you show them your bad news.But if you don't, you investors may be able to help you come up with one.They want your business to succeed almost as much as you do!
4. Manage their expectations.Many businesses have to make adjustments to their business and business plan at some point.You may have to lower your expectations, find a new product line, switch marketing companies, or even readjust your long term goals.Your investors need to know about these changes, but you also don't want to shock them with your news.If you need to make a big change like this, provide your investors with indications of an upcoming change in financial statements or business-update letters before you actually make the change.Then suggest your change to your investor and listen to their opinion on the matter.
5. Ask for advice.One of the best ways to keep your investors happy is to make them feel needed.And they are much needed!But once your business becomes more successful, they may begin to feel like you no longer need their services (which is untrue!).To help your investor feel needed, be sure to ask them for advice, especially on difficult matters.An investor who has been around for a while can be an invaluable advisor as your business grows and as you travel along the bumpy road of success.