Capitalists think about and know how to move an idea or a dream to something profitable.
If you are not one by nature, you may need the help of a capitalist to get out of the rut you are in.
To capitalize on an idea means having deal-making skills to help you make or sell what you are dreaming about.
I can understand how a dream can be seductive and numb us to reality. But time can pass by quickly without anything made or sold. Yet, we hope and hold onto the idea that has been built up in our minds.
Action, on the other hand, is so important. Putting one step in front of the other and proceeding towards a destination is necessary. It is hard work and fraught with failure if you do not know what you are doing.
A capitalist knows the process and how to get from something primitive to a mature opportunity. They are capitalizing on an idea and can bring the resources and knowledge to an otherwise dormant situation.
Sometimes, the inventor/dreamer is a capitalist as well. However, in the more frequent case where they are not, success will lie in having a partnership around profit. It is a workable relationship that many people who want to pursue entrepreneurship opt for. They assess and understand their gifts and talents and combine them with someone who has complementary skills around business and monetization.
How to Approach the Capitalist
If you have an idea that has yet to move to a real business, then the question needs to be asked, “Will you be more successful partnering?”
Your current situation will likely not change unless you approach the problem with a different solution.
If you find someone with the business skills to help your dream become profitable, approach them by first ensuring you have some kind of agreement. A non-disclosure or confidentiality agreement would be important to prevent theft of your ideas. This is especially important as you are starting to build trust.
When you sit down to review what you have done, be clear about what you have tried and how you have succeeded and failed. This will help the capitalist to think through what has worked.
Also, share the peculiarities and nuances of your market or product that demand special attention. You don’t want those overlooked. They could be the stumbling blocks for someone unfamiliar to your market.
The capitalist does not have to be an industry insider or familiar with your market. Their gift is the ability to make money, and they can figure out how to do it in your industry.
When you walk away from your initial conversation, ask for a plan of attack that you can revisit together. You can dialogue around what it will take to make a joint venture work.
Finally, if you find a plan workable, make a good agreement that identifies how revenue and risks will be shared between you and the capitalist. Having expectations spelled out will save you frustration later if events do not unfold the way you like.
Ultimately, the capitalist brings value by making an idea a business. Recognize when this special skill is best acquired through partnership.
Do you have an idea that has yet to get capitalized?
