All food businesses need money to grow and often grow in rounds or steps. And, in addition, many deals or financial packages often involve putting together multiple sources of money together to fulfill different uses. For example, many food businesses, especially wholesale brands, underestimate the amount of working capital they will need.
You can approach banks and investors with a profitable business, but even if your business is not profitable right now, it is important to approach them with a clear business plan, including your plans to pay them back and your future profitability. They speak the language of numbers, and so having the key metrics you will use top of your mind is very important as well as realistic proforma projected financial statements. For investors, you specifically need to demonstrate an exit for them.
