This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

3 Things You Should Know About Small Business: July 12

NEW YORK ( TheStreet) -- What's happening in small business today?

1. Big banks are offering mentoring programs for small businesses. While they may not be lending as much to small businesses, several big financial institutions are taking initiatives to help established businesses expand by providing programs that connect owners to financial advisors and business experts.

According to The Los Angeles Times, UBS (UBS), JPMorgan Chase (JPM), Citigroup (C), Bank of America (BAC), Goldman Sachs (GS) and Wells Fargo (WFC), are just a few financial giants looking to make nice with small businesses by offering mentoring and advisory programs.

2. This is the right way to "angel" invest. Angel investors are popping up everywhere these days: Venture capitalists are making side deals, entrepreneurs are investing in other entrepreneurs and seed funds are increasing. However, most angels will fail to make a profit (let alone get their money back) because their expectations are too high for the investment they make and they don't understand the role of an angel investor in the investment cycle, according to a guest post on OnStartups.com by active angel investor Dave Balter.

The problem is that many angel investors act like "sophisticated venture capitalists" seeking 10x or more home run acquisitions, do follow-on acquisitions, invest in potential "game-changing" ideas that are too risky and wait for companies to get sold to see a return, Balter writes.

Instead, they should aim for a 2-4x return, get out of deals by year three and remember they're playing with their own money versus a fund.

"Ultimately, it's about following the rules of the investing ecosystem: Angels get things started, venture capitalists create mature, sustainable businesses, and investment bankers sell them. And if we all play by our roles, we're all going to win," Balter writes.

3. Nominations need to be in by July 15 for the 2012 Small Business Influencer Awards. If you haven't already done so, take a few minutes to nominate those who inspire you in your small business. They can be business leaders, experts, companies, news channels, journalists or apps, according to Small Business Trends, the publication that sponsors the annual awards.

After the nomination period closes, voting will begin. The top 100 Influencers will be honored at a gala held in conjunction with the New York XPO on Oct. 17, 2012 in New York City.

Follow the conversation about the awards on Twitter by using the hashtag #SMBInfluencer.

FULL DISCLOSURE: I've been nominated in the journalist category. Please vote for me!

-- Written by Laurie Kulikowski in New York.

To contact Laurie Kulikowski, send an email to: Laurie.Kulikowski@thestreet.com.

To follow Laurie Kulikowski on Twitter, go to: http://twitter.com/#!/LKulikowski

>To submit a news tip, email: tips@thestreet.com.

RELATED STORIES:







Follow TheStreet on Twitter and become a fan on Facebook.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs