Deal Momentum Makers #3: Connect
By ansaradaMon Nov 05 2018Capital raising
This series of articles looks at the ‘momentum makers’ – the key contributors to maintaining momentum in running a smooth investment process. After you’ve completed the steps of knowing and preparing, it’s time to connect. Connecting is a critical aspect of running an investment process, and essential for building momentum in a raise.
The key features of connecting:
- Get a warm introduction to an investor. Start with educating them on what you’re doing and the problem you’re solving, but don’t go from zero to 100 with a full sales pitch off the bat. Investors love to learn about what you’re thinking and doing, but if they feel pressured to act on the first meeting, they won’t be seeing you again in a hurry.
- Build relationships. Give updates and get feedback from investors; they have great advice to give and are often more than willing to help. Connect with great legal and financial advisors so you can develop understanding early on in the process. More tips on building relationships here.
- Talk with your team. Internal relationships are just as important. Connect your team to the process as well; take them on the journey, get them contributing to it, and get them working in concert.
- Establish clear expectations – particularly with your advisors. Make sure they are set up for success, and you know what they expect of you to do a great job too.