Ready to fundraise for your next venture? Here's a checklist of 10 essential things you need to succeed! - Gauthereau Group

[vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_column_text]Fundraising for a new or existing business can be one of the most time consuming and daunting experience for an entrepreneur or a CEO. Very often the day-to-day operations consume most of our time and allocating major time for fundraising might seem almost impossible. Yet no one aside from YOU the founder/co-founder/CEO can really tell the story that will attract investor in your business... So how to do it? How to find the time? What do you need to be successful at it? What is the right strategy?Why do often CEO/Founder fail at raising capital? Can I fundraise while I run the day-to-day operations? What are the ways to increase drastically my chance to raise money? 

In the last 10 years, I have raised over $50M+ for various ventures, and met over 400+ investors (for my own ventures and for our consulting clients). I have also sometimes struggle and failed to raise the needed capital. I learned the hard way!

Venture Funding (VC), Angel Funding, Friends and Family Funding, Venture Loans, there are many ways to get the $ you need for your business. While it is not an exact science, and at times it can be very challenging, I wanted to share some of the elements which could help you drastically increase your chance of success in this process.[/vc_column_text][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_single_image image="15165" img_size="large" alignment="center" qode_css_animation=""][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_column_text]1. Do you have a strong brand experience? The brand experience, your mission, positioning statement, vision statement, values, a tone of voice, tagline and elevator pitch. Each of those elements is essential to create a strong brand that an investor will recognize as unique.

2. Have you done an in-depth research and analysis of your 5C's? Company, Consumer, Customer, Culture and Competition. Very often founder/CEO don't spend enough time on each of those elements in the rush of launching a brand/product. Yet not only will you find gold gems for your business you will also have strong arguments to defend your project with investors.

3. Have you build an investor ready executive summary? This is the first key document any investor will ask you. It should have in 2 to 3 pages maximum all the key information on your business (brief summary, who we are / team, board of advisors/directors, what we do (product / service), our target market, our competition, why we are different / our strategy, use of funds, financials, exit strategy).

4. Do you have a financial model that is the reflection of all those elements above? The financial model is in numbers what the executive summary and business plan are in words. All those ideas, strategies, distribution channels, products, customers, are numbers who are going to tell if your story works out or not. It's usually also important to have 2 or 3 scenarios based on assumptions and risk levels.

5. Have you built a list of all the investors in your industry? You need a master excel file of all the investors in your competition, industry, etc. Who invested in what, amounts, dates, are they minority or major investors, who are the VC, angels, Private Equity firms who are interested in your industry/product/service. One of a good way to start this is to look at investment conference / industry conference sponsors and attendees list.[/vc_column_text][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_single_image image="15166" img_size="large" alignment="center" qode_css_animation=""][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_column_text]6. Have you identified all the risks and issues of your business (profitability, scalability, competition, innovation, distribution, etc) and have detailed and FACTUAL answers on how you plan to address those in the present and future? Investors will spend a very important time diving in those and see how aware and ready you are to fight.

7. What are the key metrics of your industry and how will you measure your success? It is not enough to look at revenue and bottom line. You need to know and demonstrate any investor that you perfectly understand where are the leverage points for your business and it's key data points (ROI, Churn rate, Conversion rates, engagement, cost of acquisition, distribution cost, cohort analysis, etc).

8. Are you ready to spend 50%+ of your time to engage and develop a relationship with investors? As the CEO/Founder of the business, you are the ONE they are going to invest in. Remember the jockey is very often more important than the horse. It takes months (average 6-12 months) to raise money from investor once you have all the elements above ready. So despite operations, marketing, recruiting might take a lot of your time you have to talk to investors DAILY. There are no other ways. I remember talking to over 300+ investors to raise only from 2-3 of them, and the one I raised with had been in conversation with me for over a year when they wrote their first check.

9. Are you training with a coach/mentor on your pitch? It is one of the essential element to win the race, especially if you have never raised money before. You are not running for your local marathon anymore but for the Olympic game. At this level, you need support, advice, self-accountability and mentoring.

10. Last but not the least, have you put in place a perfect hygiene and life balance to support your mind, body and spirit on this often soul crunching experience? Fundraising can take a big toll on your physical and mental health, therefore, it is essential that you have a strong morning practice, include relaxation and meditation in your schedule, a healthy diet to feed your brain and body, and that your support network (family and friends) understand what's been asked of you.[/vc_column_text][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_single_image image="15167" img_size="large" alignment="center" qode_css_animation=""][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_empty_space][/vc_column][/vc_row][vc_row row_type="row" use_row_as_full_screen_section="no" type="full_width" angled_section="no" text_align="left" background_image_as_pattern="without_pattern" css_animation=""][vc_column][vc_column_text]So is that enough? Not always. But it's ESSENTIAL. Fundraising is not an exact science, sometimes we succeed at it, sometimes we fail. It require a lot of energy, focus, data, and is a very intense process for any CEO/founder of companies.

Having a coach, mentor, and the right documents and strategy in place can definitely give you much higher chances to win that race. I can help you in the 10 steps above with my team, ask us, and let us show you where we can help. Email me here.

And good luck on this adventure!

Guillaume

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