Mastering Fundraising
Speaker: Ms. Pocket Sun
Fundraising with a Growth Mindset
Preparing for a Raise
Understanding the Investor’s Mindset
Investors Tend to Procrastinate
- They often wait to act; your role is to maintain momentum.
Push for Engagement
- Investors appreciate being challenged and want to learn something new from you.
Choosing the Right Moment to Raise Funds
- Optimal Timing
- The best time to raise funds is when you don’t necessarily need the money. Focus on value creation.
Setting Up a Winning Round
- Star Soft: Initiate connections subtly.
- Clarify Your Goals: Know why, how much, and for how long you need funding.
- Identify Ideal Investors: Create a targeted list of potential investors.
- Leverage Introductions: Get your network to facilitate introductions.
- Set Rules for Waitlisted Investors: Establish guidelines for those waiting for opportunities.
How to Show Up Effectively
- Cultivate Curiosity: Approach the process with a mindset of learning and discovery.
The Importance of Following Up
- Rejection as a Learning Tool
- View rejection as an opportunity. A "no" doesn’t mean the end; it means not with you at this moment.
Navigating Term Sheets
- Key Considerations:
- Compare term sheets carefully.
- Seek trusted advice.
- Conduct due diligence on investors.
- Understand valuation and dilution.
- Assess chemistry with potential partners.
- Be aware of unwritten terms.
Closing the Loop
Express Gratitude:
- Thank those who supported you.
- Consider sending a card or gift to your lead investor.
Celebrate Your Success:
- Host a small celebration to acknowledge your achievement.
Communicate and Collaborate:
- Set up a meeting with your lead investor to discuss expectations and milestones.
Recharge:
- Take a few days off to refresh before diving back into your work.