Are you wondering why now is the time to send investors your pitch deck?
Are you trying to time the sending of your pitch deck to investors? Are you still conjuring up excuses as to why you should wait before hitting send and pitching investors? The best time to do it is right now, and here are just some of the reasons you can’t afford to wait.
Get Help On Your Pitch Deck & Pitch
Some investors can really be helpful in honing your pitch and pitch deck.
This is one thing which you should try to have as close to perfect as you can before shipping. Even more so than your product. Yet, you might only get those final adjustments right with some real feedback from active investors.
Send it, ask for feedback. Then tweak and keep going.
One great strategy to apply here suggested on the Dealmakers Podcast is to start at the bottom of your target investor list and work your way up. This way, by the time you get to pitching your ideal investors you’ll have it perfectly polished.
The Money Will Go To Your Competition If You Don’t Get It
There may be billions of dollars in venture capital out there. Even trillions in different formats. Of course, the right fitting capital from investors who you really want to work with and are funding in your specific space probably represent a much smaller percentage of this pool of money.
Once that money is invested it is going to be tied up for quite a while. Maybe a decade or more. It’s off the table and illiquid.
Worse, that capital will go to your competitors. That creates a snowball effect which can be hard to catch up with.
Leverage The Help Of Investors To Get To The Next Stage
The actual funds typically rank pretty low in terms of reasons to raise equity funding from investors. In fact, experienced repeat founders who have more than enough of their own cash to self-fund their ventures often raise equity rounds just to bring in investors.
While the money can help, it is often the knowledge, resources, connections, and credibility that investors bring to the table that really propel startups to the next stage.
Even if your plan isn’t perfect, many may want to get on board and help you with this mission.
Getting The Money In The Bank Will Take A Lot Longer Than You Think
While there are certainly exceptions, even just getting to that first yes is just the start of the fundraising round. You’ll probably need a variety of investors in each round. You’ll have to negotiate a lead investor, go back and secure the others, and wind your way through due diligence and the paperwork before the money hits the bank.
Getting to that first year can take longer than most entrepreneurs expect too. It can be a full time job for your whole team for a while. Even for some of the most successful startup founders it has taken hundreds of pitches and noes to get to a single yes from an investor. You may have to go through several meetings with each investor before you get a yes or no too.
This is about relationships too. It takes time to develop relationships and trust. The sooner you start the better.
See How I Can Help You With Your Fundraising Efforts
- Fundraising Process : get guidance from A to Z.
- Materials : our team creates epic pitch decks and financial models
- Investor Access : connect with the right investors for your business and close them