Welcome to unit four, video four. In this video, we will discuss how entrepreneurs find investors through Social Networks, Social Media, Referrals and Networking. How does an entrepreneur find people to invest in the business? As we have learned in this unit, many entrepreneurs will start by inviting friends, family or other people in their social network to invest. A social network is the different groups of people that someone knows. For example, a social network includes family, friends and neighbors but it doesn't stop there. A social network also includes friends of family, friends of friends, friends of neighbors and so on. People often use social media websites to stay connected to the people in their social network. On these sites people communicate and share information, updates, photos, and videos on the internet using a computer or a mobile phone. Using social media sites makes it easy to stay in touch with a big social network. The user can stay connected to friends and family that he or she does not see regularly. When looking for investors, an entrepreneur often starts by asking for support from friends and family in his or her social network. Friends and family might be more willing to invest than a stranger because people usually prefer to do business with people they know and trust. Sometimes people in the social network might support the entrepreneur in ways other than investing. For example, a teammate could be common employee. A cousin could become a supplier, someone who rides the same bus to work could become a customer. A friend could help by giving the entrepreneur a referral. In other words, the friend could send the entrepreneur to someone else who might help. Let's look at an example. Imagine that an entrepreneur asks a friend to invest in the business. The friend is interested and wants to help, but is not able to invest. However, the friend has a neighbor who might be interested in investing. The friend gives the entrepreneur the neighbor's contact information. In this example, the friend gives the entrepreneur a referral to a possible investor. This idea can be stated another way using the verb to refer. The friend refers the entrepreneur to a potential investor. Because personal relationships and referrals are so valuable, entrepreneurs often do a lot of networking, or meeting and talking with a lot of people who might be useful to know. Especially for business reasons. Networking can happen at any time and any place, at a party with friends, a community event, or even on a social media site. Social Media Networking, or using social media websites to communicate with other people and make friends, is a useful strategy for entrepreneurs who are looking for support for a business. Through social media sites, entrepreneurs can network with many people at the same time. And therefore improve their chances for finding support and funding. In conclusion when looking for investors entrepreneurs often start by asking people in their social network. A large social network can provide a lot of support, and networking can help an entrepreneur grow his or her social network. For many entrepreneurs, social media is a useful tool for networking and finding support.