Tips on How To Follow Up

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

In raising funding, investor follow-up is the critical work of the campaign.

Timeliness is a key factor.

Each day that passes without the follow-up degrades the value of the interaction.

Here are some tips on how to follow up with investors:

After a pitch, set up a follow-up schedule starting with the day after the pitch.

Then repeat the follow-up three days later, one week later, and two weeks later.

This keeps the founder top of mind.

Each follow-up provides new information about the business and how it is doing.

Use the follow-up process to build a relationship with the investor.

Set up a system to track investors and plan out updates.

Take casual conversations with investors and turn them into coffee meetings to discuss further.

Take investor questions seriously and answer the next day.

Send a thank-you note to those who made an introduction and the results that came from it.

Timeliness of follow-up is as important as the content provided.

Consider these tips on how to follow up with an investor.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

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For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
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Best Practices in Raising a microVC Fund

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

In raising a microVC fund, consider the following:

It takes 12 to 18 months to raise an initial fund.

Most funds start off in the $10M to $25M range.

With a successful funding record, one can move up to the $35M to $50M range.

Limited partners will be family offices and high-net-worth individuals.

In raising funds, consider these best practices:

Show how your fund is unique and differentiated from other funds.

Make clear the vision for the fund and what it will accomplish beyond the return to the investor.

Show the competitive advantage of the team and its network.

Highlight the track record of the team in deploying capital.

Look for an anchor investor who will lead the fund and place a sizable amount to start.

Build out the team so the fund is not a solopreneur endeavor.

Fund closings range from 3 to 5 rounds over the course of the raise.

Give incentives to investors to join the fund, such as access to direct investments that are doing well.

Consider these best practices for your microVC fund.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

_________________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.

Investors Want To Know How the Business Will Be Successful

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

Most first-time startups pitch their product to the investor rather than their business.

They often spend a great deal of time on how the product works.

Investors want to know how the business will be successful, not how the product works.

Shift the focus on the product from how it works to how it enables business success.

Describe how the business will create the product at a reasonable cost.

Show how customers will discover it and what steps the business will take to make them successful with it.

Discuss how the product impacts the customer, such as saving them time, money, or effort.

Show the monetization model and how customers will pay for it.

Show why the customer will continue using it over time.

All of these elements point to a successful business.

Focusing on how the product works misses the point the investor seeks.

Instead, show how the business will be successful.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

_________________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.