A new on-line network links entrepreneurs with investors.
Ike Heckler Jr., owner of Exposure Productions, a promotions company in Orlando, wants to start a new business -- an independent record company requiring around $250,000 in start-up capital. He has spoken to several potential investors locally, he says. But in the end, the money he gets may come from people living thousands of miles away. Indeed, anyone who owns a computer and a modem can read a summary of Heckler's business plan on a computer network managed by the American Venture Capital Exchange (AVCE; 800-292-1993), in Portland, Oreg.
AVCE, launched last summer, may be the first on-line network aimed at linking entrepreneurs with investors, but it probably won't be the last. "It makes a lot more sense than mailing out a bunch of business plans," says AVCE founder Douglas Clements. Capital seekers, like Heckler, pay a setup charge of $60, plus $20 for a four-month posting of a one-page write-up about the market, management, and required financing. Investors can get into the database for free (except for the cost of the phone call) and peruse its listings -- arranged by industry, geography, capital needed, and development stage. If anything intrigues them, they can contact the principals directly; AVCE is not a broker and receives no commissions or fees.
* * *
If you want to scan AVCE's free on-line listings of companies, call 503-695-5701 with your modem. To access the network, set your communications software to 8-N-1, VT100.