Page 39 - In The Mind of Startups Business Magazine InDesign Template – 50 Pages
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investors Use storytelling to illustrate Negotiate terms
Building relationships with your startup’s journey and its If an investor is interested in
investors before you need potential. funding your startup, they’ll
funding is a key strategy for likely negotiate the terms of
successful fundraising. At- Include data and metrics: the investment. This includes
tend networking events, join Investors want to see evidence the amount of funding, the val-
industry groups, and seek of your startup’s growth po- uation of your company, and
out introductions from your tential and profitability. the terms of the investment.
network to build relationships It’s essential to be prepared
with investors. Highlight your team: for negotiations and to have
Investors want to see a strong, a clear understanding of your
When building relationships experienced team with a track funding needs and the terms
with investors, it’s essential record of success. you’re willing to offer. Be will-
to be transparent about your ing to compromise, but don’t
business objectives, your fund- Be clear about your ask: give away too much equity or
ing needs, and your vision for Be clear about how much agree to terms that are not
the future. This helps investors funding you’re seeking and the in the best interests of your
build trust in your leadership terms you’re offering. startup.
and your ability to execute
your business plan. Be prepared for due In conclusion, fundraising is
diligence a critical step in the growth
Create a compelling Once an investor shows in- and success of any startup. By
pitch deck terest in your startup, they’ll defining your goals and needs,
A pitch deck is a presentation likely conduct due diligence to building relationships with
that outlines your startup’s assess the viability and po- investors, creating a compel-
vision, business model, and tential of your business. Due ling pitch deck, preparing for
growth potential. A well-de- diligence typically involves a due diligence, and negotiat-
signed and compelling pitch review of your financial state- ing terms effectively, you can
deck is essential to attract ments, business plan, and other secure the funding you need to
the attention of investors and relevant information. take your startup to the next
secure funding. level. Remember, fundraising
Here are some tips for creating To prepare for due diligence, is an ongoing process that
a compelling pitch deck: be sure to have all of your requires constant attention
financial and legal documents and effort. By prioritizing these
Keep it concise: in order. You should also be strategies, you can build a solid
A pitch deck should be no lon- prepared to answer questions foundation for long-term suc-
ger than 15-20 slides. about your business mod- cess and growth.
el, market opportunity, and
Tell a story: growth potential.
IN THE MIND OF STARTUPS 39
