Investor relations · Fundraising

What are the best ways to manage relationships with VC contacts prior to fundraising?

Abhinandan Chada Android Developer at Code Brew Labs

November 21st, 2016

I would like to advertise an idea I have among some VCs, attract some attention and hopefully close in on some finances. I don’t have much business experience nor business contacts but I am trying to read about it as much as I can. What is the best game plan here? How do I approach potential investors? Startup conferences? Online services? Accelerators? I would appreciate any help I can get.

Terence Channon Managing Director at SaltMines Group

November 22nd, 2016

Attend events where VCs are likely to frequent and seek them out on LinkedIn.  Initially, share your idea and keep the effort moving forward.  Lack of funding is rarely, if ever, a reason for a business to stop in its track.  Your success should be able to grow on VC support and not be dependent on it.  VCs like road maps, results, delivery and progress - illustrate those in your follow-up conversations.

Michael Leeds CEO & Founder

November 21st, 2016

You can contact most of them via email from their websites, but a warm introduction is the best (and often only) way.

Amrik Singh Arora Seeking a Mentor.

November 22nd, 2016

Dear Abhinandan,

It takes more than an idea to have a successful business venture, go through the archives and you will find plenty of adivce and suggestions, the financers will be looking at the complete roadmap from idea to implementation to revenue generation. After all the financers are here for the profits, I suggest you find yourself a sales cofounder to make it a team.

Gopi Mattel General Partner. Lifeboat Ventures

November 22nd, 2016

Make a list of a 100 VCs and angels that have funded ideas in your space. Find ways to connect with them and build credibility but dont pitch yet. Build out your idea to MVP stage. Then take a single month to get pitch meetings and get funding commitments.  ( not easy - but at least a working plan).

Chris Hill Love building businesses. Marketing, product, fundraising, delighting customers, making money,

November 22nd, 2016

Agree with folks above. You will be much more productive in engaging VCs if you have product traction, a story, a pitch deck and as much progress with customers as you can.  But you should ask yourself if you need them. It is not always the right way to go. There are other options as well -such as angels and angels networks which can very helpful in the earliest stages of business creation (although there are downsides funding your business this way as well).