One major concern that entrepreneurs may have while conducting a crowdfunding campaign is how to manage what they believe will be hordes of investors. Thankfully, entrepreneurs have the abilities to grant or deny investor access to their business documents, the minimum investment level per investor, and a cap on the number of investors who may invest in their startup.
A small group of up to ten angel investors is typical for an investment round, which holds true even through an equity crowdfunding campaign. However, even with ten investors it’ll be important to properly manage your investors.
Once your crowdfunding campaign has completed, make an effort to reach out to all of your committed investors to set expectations for communications from entrepreneur to investors and vice versa. This is also the time to let investors know the best way to contact you (mail, phone, email) as well as determine the best way to contact your investors. Additionally, find out when the best times are to contact investors and lay out a schedule for when updates and communications will be sent out.
Commit to deadlines
After you’ve set expectations with your investors, you’ll want to adhere to those standards. If you’ve set deadlines or timelines for when things will be completed or communications sent out, then make sure that you follow your own rules. In short, your investors have contributed a considerable sum of capital to your startup because they believe in your idea, your business, and you. Keep that faith strong by sticking to your word and investor management will be valuable.