This podcast discusses handling investor inbound attention and building investor relationships. It highlights the significance of avoiding distractions and keeping potential investors warm, as well as the importance of first impressions. Strategies for building familiarity and maximizing fundraising opportunities through regular updates are also explored.
Avoid one-off meetings with investors when not actively raising funds to prevent distractions and build momentum.
When responding to investor inquiries, be polite and firm, informing them of your current focus on customers and not actively fundraising.
Deep dives
Avoid talking to investors when not actively raising
When starting a company, it can be tempting to engage with investors who reach out. However, it is recommended to avoid one-off meetings with investors when you are not actively raising funds. These meetings can be a distraction and prevent you from building momentum. While investors may benefit from early meetings by gaining insights into your business, the benefits for founders are often dubious.
Be kind and firm in responding to investor inbound
When responding to investor inquiries, it is best to be polite and firm. Inform them that you are currently focused on customers and not actively fundraising. If and when your fundraising plans change, you can let them know. When you do decide to raise funds, it is advisable to stack meetings and run a structured process. This approach creates momentum and encourages investors to commit.
The goal of this podcast is simple: make the knowledge being shared on Texts With Founders even more accessible to a wider audience of founders by creating high quality audiobook-like editions of popular posts.
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This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit textswithfounders.substack.com
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