It’s not practically possible for angel investors and venture capitalists to show interest in each and every pitch they get from founders. On the other side, even budding entrepreneurs with some unique ideas need not talk to hundreds of investors to attract funds in the initial stage. Luckily, finding investors for your startup in India has got easier and less time-consuming than before.
A few tips that will help you in raising adequate funds from the right investors are:
How can anyone know about your idea if you don’t publicize it online? AngelList is an efficacious platform that informs prospective investors about your company and the products and services you render. Once you’ve created an impressive profile, share it in your formal and informal groups, and ask for references. This will enable you in quickly getting acquainted with several investors and increase the possibility of receiving at least one big investment in the end.
If you have some big names in your mind whom you want to meet and share your ideas with, then ensure you pen them down somewhere. After preparing the list, approach the experienced entrepreneurs and request them to further shortlist the names which seem appropriate for your startup. Taking assistance from knowledgeable entrepreneurs will be a win-win situation for you, as you not only learn the art of selecting investors, but also know which investors are worth your time beforehand.
If a known person refers your startup idea to the investor, your chances of attracting funds will be fairly bright. After preparing the final list, do proper research on every investor and see if you have any acquaintance in common. Once you find them, meet them personally and tell them how your startup stands out among the rest. This way, your mutual connection will feel more confident in pitching your ideas to the investor.
They say, the first impression is the last impression. When you’re set to introducing your company to the investor, you need to be cautious enough to draft mails which are both crisp and alluring for the investor. Moreover, the style of writing a draft mail will vary from one investor to the other. So, you’ve to pitch carefully and uniquely!
Founders seek the best investors and vice-versa, and this is what keeps the business cycle going. If you share business goals and long-term objectives in the initial stage, it will show how much passionate and dedicated you are about your business, and how promising it can be for them if they choose to invest in it.
There is no sure-shot method of getting funds from investors, but perseverance is the ultimate key. You may hear NOs from many, but don’t let that get you down. Even if you don’t receive any revert from the investor, stick to the follow-up approach, and keep them updated with your startup’s activities.