Pitching a VC
Below you will find an outline for the posts I’ve done on how to raise VC.
The initial section covers what to do before you approach a VC (or if you should even raise VC at all), the middle section is what the presentation you send should look like and the final session covers what to do after the meeting. If there a post description but no link it means I have not written the post yet. If you need that covered urgently please write a comment and I’ll prioritize it.
Also, if there is a topic you’d like me to write about and it’s not on the list feel free to suggest it.
I’m not known for brevity. Sorry. I’ll try to be better in the future. If you take the time to click on the the links and read these, though, there is a lot of practical information on the fund raising process. I’ve pitched maybe 100 times on the entrepreneur’s side of the table and had about 75 “no’s” (but I have had about 25 “yes’s”). I’ve sat through hundreds of pitches on the other side of the table. This gives me some interesting perspectives.
Before a VC Meeting
- Do you really even need VC? Most start-ups do not. And most aren’t ready for the rocket fuel. Video version here:
- Angel Funding Advice – really long post but full advice for anyone considering raising angel money
- Angel Money Pricing – should you price the round or raise convertible debt?
- What are the best ways to get access to a VC?
- The Cocktail Party Pitch – Text Version and the Video Version from my Interview on Fox Business News
- I sent an email to a VC and didn’t hear back – What can I do about it? Should I move on? (or if you want to watch a video covering the topic it’s here (scroll down to video 4, start at 6:40))
- What should you send a VC before your meeting?
- NDAs (non disclosure agreements) and will a VC steal my ideas for competitive reasons?
- Who should attend your first VC meeting?
- Whom should I talk with at the VC? – my guide to “NINAs” and “Egg Breakers” – Also here is a link to my friend Peter Lee’s views on dealing with associates vs. partners
- How many VC’s should I contact?
- A 6-step guide to building relationships with VC’s
- The best advice I stole from someone else for your VC meetings – Ask for referrals
- The best VC meetings are debates and not sales meetings – 7 tips for making your meeting a debate
VC Meeting Slides
- Slide 1 – Team Bio
- Slide 2 – 50k foot view of your company
- Slide 3 – Problem Definition
- Slide 4 – How do you solve the problem?
- Demo Web Version and a Demo Video Example
- Slide 5 – Market Sizing
- Slide 5 warning: (Market Sizing Pitfalls)
- Slide 6 – Competition
- Slide 7 – Customer Adoption / Traction
- Slide 8 – Team
- Slide 9 – Financial projections
- Slide 10 – Use of Proceeds
- Slide 11 – Fund raising process / Next steps
- Appendix – Back-up slides
- How to deal with the dreaded question of valuation?
What happens next?
- The best way to politely follow up?
- What if I write an email and don’t hear back?
- Traction? WTF is traction?
- Creating momentum – The Jason Nazar effect
- The “soft no” – how to flush out a VC and gauge their real interest level
- The “real no” and why I like to give it
- The “yes” … getting invited to the partners’ meeting
- But when do I actually get a term sheet?
- The VC who put in the term sheet is pressuring me to sign. Beware of Gym Salesman VC
- First round terms & Founder Vesting – what is “best practice” in the industry?
- I have one term sheet and I’m waiting on others.
- From term sheet to cash in bank