Fundable University: Investor Outreach

U Posted by Admin
\ January 17, 2014

Determine who your “investor audience” is

Certain investors have affinity towards and only invest in startups operating within certain fields (like tech, health care, or education). Likewise, investors provide varying levels of funding. Some will invest $200,000 in a single startup, while another will invest $1,000,000 in a single startup. Try to research investors before reaching out to make sure they’re a good fit for your startup.

Solicit while staying within the confines of the law

Currently, a general solicitation ban exists which prevents companies from publicly advertising the fact that they are raising capital. The SEC is expected to revoke this ban in late 2012 as it applies to accredited investors (individuals with a net worth of over $1 million or an annual income of more than $200,000), but the ban as it applies to unaccredited investors remains up in the air. Be sure to stay within the boundaries of the law by:

  • Working within the confines of a closed investor-startup group
  • Soliciting within your personal network
  • Simply market your startup’s story rather than the fact that you are raising capital.

Those intrigued enough to visit your profile will be able to register as an accredited investor to request access to view your business documents.

You’ll need specific documents for investors

All investors will want to see specific (standard) documents before making an investment in your startup. These include:

  • A pitch deck
  • A business plan
  • Financial documents (including projected revenue)
  • An executive summary.

Do you need help creating these documents? Contact us at info@fundable.com for assistance!

COMMENTS
No comments yet.

Ready to Start Raising Capital?


GET STARTED 9

the startups.co platform

Copyright © 2017 Startups.co. All rights reserved.

Fundable is a software as a service crowdfunding platform. Fundable is not a registered broker-dealer and does not offer investment advice or advise on the raising of capital through securities offerings. Fundable does not recommend or otherwise suggest that any investor make an investment in a particular company, or that any company offer securities to a particular investor. Fundable takes no part in the negotiation or execution of transactions for the purchase or sale of securities, and at no time has possession of funds or securities. No securities transactions are executed or negotiated on or through the Fundable platform. Fundable receives no compensation in connection with the purchase or sale of securities.