One Thing You Can Do Right Now If You Are Fundraising
COVID-19 is impacting the world which includes the stock market.
If you are in the process of or thinking about fundraising for your business, that can seem like a very distant possibility. COVID-19 is impacting the world which includes the stock market which then, in turn, includes potential investors in your company.
I can’t tell you in the past week how many scared entrepreneurs I have spoken to who feel like they are watching their dream of scaling their business to the next level disappear.
I wish I could say that I know for certain what will happen in a week, a month, or a year, but I don’t think anyone knows. The one thing we all have in common right now is not knowing.
BUT that doesn’t mean you stop fighting for your dream and there is one simple thing that you can do right now to help give you a better chance to find your investors.
Get on the phone and reach out. It is that simple. Use this time while we’re all home with empty calendars to be the one that reaches out and schedules time with potential investors. Connect with them.
Now let me be clear on how you should use this time. Don’t use this time to ask for money. I know that's hard. But you can resist the urge.
Use this time to simply get to know this potential investor, what their investment thesis is, what qualities in a CEO they look for, what they like to do for fun, would they like to hear more about your company, would they be able to introduce you to other people who might want to hear about your company.
At the end of the conversation, ask them if they want to be kept up to date on what's going with your company. If they say yes, stay connected to them.
Keep all your phone calls, including detailed notes, in a database of some sort like a CRM system or a spreadsheet. Why? So when you are ready to actively fundraise you have a list of potential investors that you know and now know you.
Another great bonus of this, you’ll make some great connections to people who you’ll want to invest in your company and you’ll know the people you don’t want to write you a check.
So here’s a challenge; have at least two phone calls a week with potential investors and keep this going even when you’re not actively fundraising. You never know where these connections might lead.
Lauren Kane is a Pitch Strategist, Angel Investor, and Founder of VC Worthy Business. She gets investors to open their checkbooks for market-disrupting female entrepreneurs.