As mentioned, the approach to fundraising outlined in the following chapters can apply to small and large firms, as well as already established firms that are seeking further rounds of external capital. However, from this point forward, we will assume that the reader is seeking to attract professional smart money investors. I tailor the suggestions accordingly. A well-constructed story for smart investors should also work very well for “friends and family” types—and will create a better first impression by showing off your ability to develop and present a tight story.
You must prove you have a potential home run to get their attention—and be prepared to score 90% across all of these topics in a pitch that can be delivered in no more than 20 minutes. It’s a tall order, but I’ll show you how to do it successfully. Think of the fundraising process as a series of challenges that need to be overcome, step by step, before receiving a check. The journey begins with first impressions followed by investor scrutiny in each of the preceding areas, in approximately the same order of consideration. If you strike out at any level, you will not succeed. Let’s explore each of these areas in more detail.
A well-constructed story for smart investors should also work very well for “friends and family” types—and will create a better first impression by showing off your ability to develop and present a tight story.