A few notes from the Go Global World conference, where the founder of Around Capital Andrew Taburinsky and the co-founder and CEO Ant Robotics Maxim Antonenko shared a some cases and life-hacks about attraction of investments.
☝️ A person with money is not an investor. You choose a long-term partner.
In order to raise investments, you need to understand what the investor's business is - his goal is to raise XXX as quickly and efficiently as possible, investing in startups that he understands, so that expertise and long-term goals coincide. Therefore, you need to pay attention to those who invest in your segment.
In general, the rise in investment is a B2B deal, so you need to approach the process like a deal - leading the investor along a soft sales funnel.
💡For example, you can ask the investor's permission after the first contact to add him to the monthly update and show him the traction. If the traction is good, the investor will be interested. And please do a follow-up after the meeting.
💡A good first contact is to ask for advice. "So you, they say, understand this domain, can I have a short chat with you?"
💰If you are at pre-seed, you need to clearly understand that your investor is an angel, so you do not need to knock on large funds, where millions of deals and focus on rounds A and B. Look for angels in communities, social networks and at events. Pitch constantly, the more you pitch, the more likely you are to get good connections, personal contacts and find investments. But remember that the purpose of the presentation and pitch is to get an invitation to a meeting, at this stage he is not interested in the product, but in you.
Investors receive dozens of presentations every day, and business angels receive at least a few. And they watch them on the phone and quickly, therefore:
- If your presentation is horizontal, you need to make it comfortable to look at on a vertical phone screen, and at the same time it is understandable, and the fonts are readable.
- Don't make more than 15 slides. Be sure to talk about competitors. Assess the size of the market appropriately. And do the Unit Economy instead of the financial model;
- Even better for the first contact, use "One Pager" (project description on one page);
- You can invite advisers. If your project is interesting, someone from large companies will easily support it. And the face of a person who has his own weight in the market will create more credibility in your presentation.
In general, if you want to raise money, the best thing you can do is start selling, and then angels and investors will catch up. And may success be with you! 🤞