Early-Stage Capital This guy raised $400K for his first startup, aged 41. Richard Hannaford believed he had a good idea, but he had no clue how to start his own software company, let alone how to raise startup funding. Little did he know how well suited he was to becoming a founder...
Early-Stage Capital 8 ways to guarantee you raise a Series A. Peng Ong is co-founder and managing partner at Monk’s Hill Ventures in Singapore. Previously he co-founded companies including Electric Classifieds (today known as Match.com), which today generate over USD$1 billion in annual revenues. These tips are his.
Early-Stage Capital Do you REALLY want VC funding? Attracting funding from a VC seems like the first major milestone many startup aim to achieve, but this is rarely the best approach. Non-dilutive capital, like grants and revenue, are better for the business, the founder, and are generally easier to come by.
Early-Stage Capital What are the most critical factors to startup success? If you’re a founder, who spends every waking hour at your computer, don’t underestimate the importance of random opportunity. You don’t need to be at a desk for it to count as work. Get out and talk to people.
Early-Stage Capital I want to invest in startups, should I pick deals or invest in a VC fund? For anyone thinking about getting into early-stage investing, don't just look for startups to back. Consider investing in an emerging VC fund, and letting a professional invest on your behalf. Here's why...
Early-Stage Capital Investor cold email template. Do investors read cold emails? Sure, many of them do. Thanks to the power law, most investors' biggest concern is missing out on the next big thing. So they have a vested interest to look at EVERYTHING that comes their way, just to be sure...
Early-Stage Capital Founders, what fundraising tricks are you missing? Although founders spend an inordinate amount of time raising capital, most spend very little researching and deciding on a fundraising strategy. While they're busy sending emails and LinkedIn requests to random investors, many are missing opportunities that could make the whole process much easier.
Early-Stage Capital 15 startup lessons I wish I'd learned sooner. When you try anything new, it's good to be forewarned of some of the common pitfalls and mistakes you should aim to avoid. After a decade of investing in startups and launching my own, here are 15 lessons I could have done with knowing sooner!
Early-Stage Capital Growth versus profit. High-growth software companies have boomed in the last decade, powered by investors' thirst for capital appreciation. But it might just be that this era is coming to an end, to be replaced by a renewed focus on profitability and yield. Here's how I'm thinking about my investments.
Early-Stage Capital What to put in a data room. There's nothing worse than an investor telling you that, yes, they'll invest in you, only for them to get cold feet because your data room was unconvincing. Put this in place before you start raising and you can reinforce investors' faith that you're the right team for the job.
Early-Stage Capital "How much money did you invest yourself?" said the investor. Sometimes investors will ask a question you weren't expecting, like this one. No matter what it tells you about the investor, you need to provide a convincing answer. Here's how to answer this one.
Early-Stage Capital The pros and cons of crowdfunding for your startup. if you're a startup founder and considering raising money via crowdfunding, here's a summary of the major benefits and risks of doing so, as well as some insight into how to make your raise a success.
Early-Stage Capital Should you build investor relationships or pitch cold? Building a relationship with investors before you're ready to pitch to them may be nice, but it's not the best use of your time. Here's why.
Early-Stage Capital My learnings from 87 early-stage investments. I've been angel investing since 2012, and directly or indirectly have backed more than 85 companies. Here's what I've learned about busting inflation.
Early-Stage Capital What is the role of a startup investor? Being a founder is as lonely as it is difficult. Investors who think like coaches, rather than creditors, can make a massive difference.
Early-Stage Capital How can a pre-revenue startup show traction? What exactly is traction, and how on earth can you build traction if you're pre-launch? Don't make the mistake to think this isn't possible, or investors will run a mile.
Early-Stage Capital Good versus bad angel investors. Most startup founders say they want smart, value-added money. At the end of the day, all they really want is money. But don't underestimate the destructive influence of a bad investor.
Early-Stage Capital When should founders ask investors to sign an NDA? NDAs should be discussed, never demanded. Explain what information you'd like to share, and why you believe it's highly sensitive; then ask how the investor feels about signing an NDA, and at what point they might be willing to do so.
Early-Stage Capital What does the ideal fundraising process look like? Founders, if you're spraying your pitch out to every investor you find, it's no wonder you don't get a reply. You don't deserve one. Truly. If you're NOT spraying your deck around, good news. You're probably standing out more than you think. Keep going!
Early-Stage Capital No, actually you don't need a VC. Take time to plan your raise. Define your investor base by researching who is most likely to invest in your space, stage, and market. If someone doesn't fit, don't waste time on them. Or at least qualify why they want to meet. It may not be what you think.
Early-Stage Capital Should you assign a valuation to price your startup's investment round? Whether or not you price your round will depend very much on your stage. Early-stage founders will probably need a valuation, if only because friends-and-family investors won't be able to determine a price. Later stage investors, however, know better.
Early-Stage Capital How to write the perfect intro email to VC investors. I have to say that most founders have absolutely no chance of raising money, unless they change their strategy. Founders urgently need to stop spamming and take time to build a properly qualified investor pipeline. And their email intros should look something like this...
Early-Stage Capital What should I do with $5m? Take a breath, create a plan, and start doing. Assemble the right team, who can build while keeping you honest. And don't spend it too fast! Experiment and find what works, before you try to scale. $5m is surprisingly easy to waste.
Early-Stage Capital How investors think according to Australia's most successful VC. Niki Scevak provides some great insights into the workings and thought processes at one of Australia's most successful venture capital organisations. Plus links to some recommended podcasts.
Early-Stage Capital Should I take $5m as an early-stage investment? An investment – whether it’s $5m or $50k – is an accelerant. It’s about getting your company to a later stage more quickly. Sometimes it's well timed and valuable, other times it burns you out rather than propelling you forwards. What are the key things to consider?
