{"id":75813,"date":"2018-05-08T18:29:53","date_gmt":"2018-05-09T01:29:53","guid":{"rendered":"https:\/\/spring.is\/old\/?p=75813"},"modified":"2022-01-21T16:14:54","modified_gmt":"2022-01-22T00:14:54","slug":"the-comprehensive-guide-to-raising-good-seed-capital","status":"publish","type":"post","link":"https:\/\/spring.is\/old\/blog\/the-comprehensive-guide-to-raising-good-seed-capital\/","title":{"rendered":"The Comprehensive Guide To Raising Good Seed Capital"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"75813\" class=\"elementor elementor-75813\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-6350458 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"6350458\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-81d3a36\" data-id=\"81d3a36\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f3d99e0 elementor-widget elementor-widget-heading\" data-id=\"f3d99e0\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.16.0 - 13-09-2023 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h1 class=\"elementor-heading-title elementor-size-default\">The Comprehensive Guide on Raising Seed Capital<\/h1>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-4f1a423 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"4f1a423\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-849b214\" data-id=\"849b214\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-d21530f\" data-id=\"d21530f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-83d4159 elementor-widget elementor-widget-text-editor\" data-id=\"83d4159\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.16.0 - 13-09-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p><strong>First off, let\u2019s clarify a few things:<\/strong><\/p><ol><li>We\u2019re not investors &#8211; the advice we give here will support you in raising a round that\u2019s most beneficial for YOU, not to try to prime you for expectations of dilution that investors are looking for.<\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">We are entrepreneurs too and we\u2019ve helped raise over $35 million in seed funding collectively.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">There\u2019s no way to guarantee a successful raise. This guide however, will help you avoid all the rookie mistakes that could stall your round and help you speed up the process.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">We\u2019re located in Vancouver, Canada. Many of the examples below are from a Canadian perspective but also apply to US\/global companies as our companies have raised from investors all across the globe.<\/span><\/li><li style=\"font-weight: 400;\"><b>If you\u2019re looking for more hands-on support and introductions to investors, we provide more in-depth support through our\u00a0<\/b><b><a href=\"https:\/\/spring.is\/old\/programs\/fundraising-support\/\" target=\"_blank\" rel=\"noopener\">Leaders Roundtable<\/a>\u00a0groups.<\/b><\/li><\/ol><p><span style=\"font-size: 16px;\">\u00a0<\/span><\/p><p><span style=\"font-size: 16px;\">This will be the most comprehensive blog put out by Spring to-date. Written in joint collaboration between Keith Ippel, Sana Kapadia, and Chin Hing Chang<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-156473a\" data-id=\"156473a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ee4ef15 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ee4ef15\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-b63bfe8\" data-id=\"b63bfe8\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-ff94766\" data-id=\"ff94766\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-1e24bbe elementor-widget elementor-widget-heading\" data-id=\"1e24bbe\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 1 - Should I Raise?\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ea1e37c elementor-widget elementor-widget-text-editor\" data-id=\"ea1e37c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">When thinking about financing your company for growth, there are multiple options that an entrepreneur should consider. Let\u2019s start by reviewing if raising from investors is right for you.<\/span><\/p><p><span style=\"font-weight: 400;\">Ask yourself the following questions:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What type of company do I want to build?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Am I ready to scale?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How quickly do I want things to happen?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How much do I need to make it happen?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Should I bootstrap or raise external funds?<\/span><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-535751e\" data-id=\"535751e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ef4eae6 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ef4eae6\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-605af6c\" data-id=\"605af6c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-0b81315\" data-id=\"0b81315\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-116ff75 elementor-widget elementor-widget-text-editor\" data-id=\"116ff75\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">What Type Of Company Do I Want To Build?<\/span><\/h3><p><span style=\"font-weight: 400;\">There are a variety of reasons for investors to invest (more on this below), but a key factor is\u00a0ROI (Return on Investment).\u00a0<\/span><span style=\"font-size: 16px;\">At the seed stage (we\u2019ll go more into what a seed round looks like later), investors are taking a lot of risk and it\u2019s common for them to see over 80% of their portfolio companies go bust before returning a profit. As such, to make it worthwhile, investors are looking for hypergrowth companies &#8211; these are companies that have the potential to provide a 10x++ ROI as they scale.<\/span><\/p><p><span style=\"font-weight: 400;\">The reality, though, is that not all businesses are venture scale and will not provide a 10x ROI. At the same time, not all entrepreneurs feel comfortable with venture-style investors, given that they are focused on their fundamental world-changing missions first and foremost. Fortunately, there are other ways to be creative with your round, depending on the type of business you want\u00a0<\/span><\/p><p>to grow and the type of investor you want to attract. If your company has a strong mandate to improve the world for the better, impact investors are an option, as are community-oriented crowdfunding models amongst others.<\/p><p dir=\"ltr\">Impact investors still care about financial returns, but they also care about the mission and impact of your business, for example, they might look at your business if you have a slower growth model or have a smaller target market. You will however still need to show them \u201creturn\u201d on their investment by updating them on the impact that their money is having on the community\/environment, while also providing a financial return.<\/p><p dir=\"ltr\"><em>\u201cDefining your ideal investor is the first step to raising a good seed round\u201d &#8211; Keith Ippel, CEO &amp; Founder @ Spring<\/em><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-bb27e09\" data-id=\"bb27e09\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-1465111 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"1465111\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-cb2a0a3\" data-id=\"cb2a0a3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-12a40e3\" data-id=\"12a40e3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f603a06 elementor-widget elementor-widget-text-editor\" data-id=\"f603a06\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div>\n<h3><span style=\"font-weight: 400;\">Am I Ready To Scale?<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Some possible reasons for raising include:<\/span><\/p>\n<ol>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">R&amp;D\/Product Development<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Sales<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Marketing<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">PR<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Hiring<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Aside from the obvious, not every company is <\/span><i><span style=\"font-weight: 400;\">fundable<\/span><\/i><span style=\"font-weight: 400;\">. Here are a few things to consider before you start to think about raising or scaling your organization.<\/span><\/p>\n<p><b>Do You Have A Team?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Investors will rarely invest in a solopreneur. That being said, you don\u2019t necessarily need <\/span><b>co-founders<\/b><span style=\"font-weight: 400;\">, but you do need a <\/span><b>team<\/b><span style=\"font-weight: 400;\">. Investors want reassurance that if anything goes sideways, the business will still survive in your absence and their investment will remain valid. Contractors and PT staff can be considered a team if there is a plan for them to take on a <\/span><b>leadership role<\/b><span style=\"font-weight: 400;\"> when you close your round. Need more in-depth guidance on building a team?<\/span><\/p>\n<p><b>Do I Have A Minimum <\/b><b>Viable<\/b><b> Valuable Product (MVP)?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">If I had a dime for every business idea I\u2019ve heard\u2026<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You\u2019ve heard it, execution matters. You\u2019ll need to have a prototype that\u2019s close to commercialization, perhaps launched and have users on your platform (even if it\u2019s all done manually and pieced together with duct tape\/Zapier on the back-end), or have some revolutionary IP that is commercializable.<\/span><\/p>\n<p><b>What Does Traction Look Like?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Coming up with a solution is one thing, getting it into the hands of customers is another. Being able to prove traction will help with de-risking the opportunity for investors and allow you to secure a better valuation for your rounds.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Despite the negativity around Dave McClure and his recent allegations, Pirate Metrics, which he coined, is a great set of high-level KPIs to help gauge the health of your startup.<\/span><\/p>\n<p><span style=\"font-weight: 400;\"><strong>AARRR<\/strong> &#8211; this applies to not only software startups, but also to service\/hardware companies too.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Below are more details and a hypothetical measure for one of our companies &#8211; Nada Grocery.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nada is a certified B-corp, for-profit social venture. They provide package free groceries and are on a mission to eliminate waste in the world.<\/span><\/p>\n<p><b>Acquisition<\/b><\/p>\n<p><span style=\"font-weight: 400;\">What\u2019s your CAC (Customer Acquisition Cost)? Do you have a proven and repeatable method\/channel for acquiring new users\/customers<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nada Grocery: Number of new customers each month (measured through email capture &#8211; free membership program where members get exclusive discounts) OR weekly foot traffic, determined by setting up a foot traffic counter at the entrance of the store.<\/span><\/p>\n<p><b>Activation<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Are your users\/customers actually USING your product? It\u2019s one thing to say you\u2019ve had 200,000 downloads, it\u2019s another to say that people are actively using it (#of daily users, #of bookings made, #of customers who take action in your program etc.)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nada Grocery: Number of returning customers who utilize the membership card for discount OR tracking number of daily transactions.<\/span><\/p>\n<p><b>Retention<\/b><\/p>\n<p><span style=\"font-weight: 400;\">What\u2019s the LTV (Lifetime Value) of your customers? Do they stay around long enough for your to recoup your CAC?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nada Grocery: Period between joining membership vs. inactivity (as defined by lack of purchase activity for over 3 months.<\/span><\/p>\n<p><b>Revenue<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Have you figured out the right revenue model? Is it single purchase? Premium? Subscription? Advertising? Etc.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nada Grocery: Average Order Size<\/span><\/p>\n<p><b>Referral<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The benchmark here is NPS (Net Promoter Score), it shows that not only do users like and get value out of your product\/service, but that your company will grow organically.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Prematurely scaling can lead to failure, be aware of how ready you are before you start to scale\/raise. Just because 5,000 people have signed up for your newsletter, doesn\u2019t mean that you\u2019re ready to pour money into it and make it go boom. The last thing you\u2019ll want to do is build a leaky ship. You could be amazing with marketing but actually have a terrible product\/solution which needs to be revised.<\/span><\/p>\n<p><i><span style=\"font-weight: 400;\">\u201cIf you have at least Acquisition, Activation, and Retention nailed down, I believe you\u2019re ready to start raising.\u201d Chin Hing Chang, Head of Growth @ Spring<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400;\">Proving traction will also help build confidence with an investor and show them that you\u2019re not going to use their money to experiment or figure-things-out, but have a viable business and are ready to scale.<\/span><\/p>\n<p><span style=\"text-decoration: underline;\"><b>&#8212;If you\u2019re not there yet, pause here. Bookmark this, go focus on customer discovery, flushing out your product, and acquiring new users\/customers. To make good use of your time, come back when you\u2019re ready&#8212;<\/b><\/span><\/p>\n<\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-901a316\" data-id=\"901a316\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-6bf91bf elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"6bf91bf\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-b36185f\" data-id=\"b36185f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-53b8ca4\" data-id=\"53b8ca4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-010f831 elementor-widget elementor-widget-text-editor\" data-id=\"010f831\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">How Quickly Do I Want Things To Happen?<\/span><\/h3><p><span style=\"font-weight: 400;\">Considerations revolve around:<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Level of adoption needed to push your community over the threshold (marketplace type platforms)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Competition in the marketplace<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Regulatory implementations that might hinder or facilitate adoption<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Personal ambition<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Ability to recruit a stellar team member<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Runway<\/span><\/li><\/ul><p><span style=\"font-weight: 400;\">If you\u2019re ready to raise (as per above), and there\u2019s a strong motivation, then let\u2019s get started!<\/span><\/p><p><span style=\"font-weight: 400;\">Do note that raising a seed round typically takes 6-12 months from preparation to close so you\u2019ll want to start the process early.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-c36d6c9\" data-id=\"c36d6c9\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-8e2da57 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"8e2da57\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-d9e2123\" data-id=\"d9e2123\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-b8fc96a\" data-id=\"b8fc96a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f940827 elementor-widget elementor-widget-text-editor\" data-id=\"f940827\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">How Much Do I Need To Make It Happen?<\/span><\/h3><p><span style=\"font-weight: 400;\">Before we even talk about valuation, get started by mapping out your use of proceeds. Create a financial forecast and budget, map out your sales\/marketing plan, plan out your next sizable milestone. Your goal is to raise enough for 12-24 months so that you don\u2019t have to go back into fundraising mode.<\/span><\/p><p><span style=\"font-weight: 400;\">Investors know that fundraising is distracting for the business and they want you to raise enough to be in a healthy position and focus on growth.<\/span><\/p><p><span style=\"font-weight: 400;\">If you\u2019re raising less than average ($250k in Canada, $1mil in US), investors will doubt that you know what you\u2019re doing. They\u2019ll think that you\u2019re using their money for operations, to pay yourself (nothing wrong with this, you can include it in the cashflow forecast, but you shouldn\u2019t say that you\u2019re raising to pay yourself a salary), or to develop a product. Investors want to know that you\u2019re going to use their money to scale, and they know there needs to be a significant sales\/marketing budget to do so.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-ee6679e\" data-id=\"ee6679e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3068a0c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3068a0c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-7ace04a\" data-id=\"7ace04a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-5ca99bd\" data-id=\"5ca99bd\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f123945 elementor-widget elementor-widget-text-editor\" data-id=\"f123945\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Should I Bootstrap or Raise External Funds?<\/span><\/h3><p><span style=\"font-weight: 400;\">Don\u2019t buy into the hype of raising capital. Raising money is distracting, you should always focus on your customers and generating revenue. If you are able to generate an equal or greater amount of revenue with the time and effort spent raising capital, you might not need to raise a round.<\/span><\/p><p><span style=\"font-weight: 400;\">That being said, there are clear benefits for raising.<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">There\u2019s nothing that will push you harder and faster than being held accountable by actual stakeholders in your company.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Investors can add a lot more value than just monetary, getting an investor to contribute also secures them as a strong advisor\/advocate for your company.<\/span><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-7536e96\" data-id=\"7536e96\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-dd022e4 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"dd022e4\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-526693a\" data-id=\"526693a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-7d7b22b\" data-id=\"7d7b22b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-0f00aa5 elementor-widget elementor-widget-heading\" data-id=\"0f00aa5\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 2 - How Do I Raise?<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-01db2db elementor-widget elementor-widget-text-editor\" data-id=\"01db2db\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Before we get into raising from investors, let\u2019s make sure we cover our bases on all the different financing options available. <\/span><\/p><p><span style=\"font-weight: 400;\">They all come with pros and cons; your duty as an entrepreneur is to remove all personal biases and consider what\u2019s best for your business given the conditions.<\/span><\/p><p><span style=\"font-weight: 400;\">Another big consideration is your runway and urgency to close. In order of least amount of time to longest to close:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Friends &amp; Family<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Revenue<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Loans, Grants, Competitions<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Crowdfunding<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Equity<\/span><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-6bab198\" data-id=\"6bab198\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-8fd998f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"8fd998f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-97dc51f\" data-id=\"97dc51f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-1d92b46\" data-id=\"1d92b46\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-44d869c elementor-widget elementor-widget-text-editor\" data-id=\"44d869c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><strong>Non-dilutive<\/strong><\/h3><p><span style=\"font-weight: 400;\">If you can get money without giving away equity, why not! Especially if you have a proven revenue stream and have relative confidence that you can turn $1 into $2+.<\/span><\/p><p><span style=\"font-weight: 400;\">Investors also like to see that you\u2019re being resourceful and have considered all options and have some skin-in-the-game.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-7e227a0\" data-id=\"7e227a0\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-81ef5e9 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"81ef5e9\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-507405c\" data-id=\"507405c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-390cc5d\" data-id=\"390cc5d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-debcb61 elementor-widget elementor-widget-text-editor\" data-id=\"debcb61\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Friends &amp; Family<\/span><\/h4><p><span style=\"font-weight: 400;\">Some people are terrified by the idea of raising from friends and family. But here are a few things to think about:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Friends and family are usually the QUICKEST way to raise a small amount of operational capital (most F&amp;F rounds are &lt;$100k)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">If you can\u2019t even convince your F&amp;F to contribute to your cause, some investors might doubt your ability\/credibility and hesitate to invest.<\/span><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-762853e\" data-id=\"762853e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-877ed36 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"877ed36\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-97084ac\" data-id=\"97084ac\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-10d9780\" data-id=\"10d9780\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4e9e2ea elementor-widget elementor-widget-text-editor\" data-id=\"4e9e2ea\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Loans<\/span><\/h4><p><span style=\"font-weight: 400;\">Look into entrepreneur friendly loans\/micro-financing options at your local bank. The key to being effective with financing is to separate business from personal, for example, I wouldn\u2019t recommend taking out a personal line of credit to finance your business. <\/span><\/p><p><span style=\"font-weight: 400;\">Specific to Canada, below are some good sources to check out:<\/span><\/p><ol><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.futurpreneur.ca\/en\/\"><span style=\"font-weight: 400;\">Futurpreneur<\/span><\/a><span style=\"font-weight: 400;\"> (If you\u2019re under 39)<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"http:\/\/www.womensenterprise.ca\/\"><span style=\"font-weight: 400;\">Women\u2019s Enterprise Centre<\/span><\/a><span style=\"font-weight: 400;\"> (if 50%+ ownership of your company is female)<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.bdc.ca\/en\/pages\/home.aspx\"><span style=\"font-weight: 400;\">BDC<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.vancity.com\/BusinessBanking\/Financing\/Loans\/SmallBusinessAndStartup\/\"><span style=\"font-weight: 400;\">Vancity<\/span><\/a><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">SR&amp;ED (Scientific Research and Experimental Development) financing &#8211; provides financing based on tax credits from the Canadian SR&amp;ED program.<\/span><ol><li style=\"font-weight: 400;\"><a href=\"http:\/\/www.okrfinancial.com\/\"><span style=\"font-weight: 400;\">OKR Financial<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.espressocapital.com\/\"><span style=\"font-weight: 400;\">Espresso Capital<\/span><\/a><\/li><\/ol><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Revenue financing &#8211; <\/span><a href=\"http:\/\/timiacapital.com\/\"><span style=\"font-weight: 400;\">Timia Capital<\/span><\/a><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-f2399bd\" data-id=\"f2399bd\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-c711222 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"c711222\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-567bc4f\" data-id=\"567bc4f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-df6698a\" data-id=\"df6698a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8f0d65f elementor-widget elementor-widget-text-editor\" data-id=\"8f0d65f\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Grants<\/span><\/h4><p><span style=\"font-weight: 400;\">Unfortunately, I can only speak to the Canadian options here, but below are some great choices for Canadian companies:<\/span><\/p><ol><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.canada.ca\/en\/revenue-agency\/services\/scientific-research-experimental-development-tax-incentive-program.html\"><span style=\"font-weight: 400;\">SR&amp;ED<\/span><\/a><span style=\"font-weight: 400;\"> mentioned above<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.nrc-cnrc.gc.ca\/eng\/irap\/\"><span style=\"font-weight: 400;\">IRAP<\/span><\/a><span style=\"font-weight: 400;\"> &#8211; Industrial Research Assistance Program<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.mitacs.ca\/en\"><span style=\"font-weight: 400;\">Mitacs<\/span><\/a><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Leveraging hiring\/job training grants &#8211; reach out to <\/span><a href=\"https:\/\/www.nrc-cnrc.gc.ca\/eng\/irap\/concierge\/index.html\"><span style=\"font-weight: 400;\">NRC Concierge<\/span><\/a><span style=\"font-weight: 400;\"> to learn about what you qualify for<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.tpsgc-pwgsc.gc.ca\/app-acq\/picc-bcip\/index-eng.html\"><span style=\"font-weight: 400;\">BCIP<\/span><\/a><span style=\"font-weight: 400;\"> &#8211; Build in Canada Innovation program<\/span><\/li><\/ol><p><span style=\"font-weight: 400;\">Too busy to apply for a grant? Check out <\/span><a href=\"http:\/\/granted.ca\"><span style=\"font-weight: 400;\">Granted<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-aa5213c\" data-id=\"aa5213c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-95b694e elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"95b694e\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-938244d\" data-id=\"938244d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-094fc36\" data-id=\"094fc36\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-9a7b079 elementor-widget elementor-widget-text-editor\" data-id=\"9a7b079\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Competitions<\/span><\/h4><p><span style=\"font-weight: 400;\">Start by looking at local universities, local government support organizations, or large corporations that have innovation departments.<\/span><\/p><p><span style=\"font-weight: 400;\">Again specific to Canada:<\/span><\/p><ol><li style=\"font-weight: 400;\"><a href=\"http:\/\/www.newventuresbc.com\/the-competition\/\"><span style=\"font-weight: 400;\">New Ventures BC Competition<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/telusfund.ca\/\"><span style=\"font-weight: 400;\">Telus Fund<\/span><\/a><span style=\"font-weight: 400;\">, <\/span><a href=\"http:\/\/bellfund.ca\/\"><span style=\"font-weight: 400;\">Bell Fund<\/span><\/a><span style=\"font-weight: 400;\"> (Media focused)<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"http:\/\/programs.fwe.ca\/pitch-for-the-purse\/\"><span style=\"font-weight: 400;\">Pitch for the Purse<\/span><\/a><span style=\"font-weight: 400;\"> (Women only)<\/span><\/li><\/ol><p><span style=\"text-decoration: underline;\"><b>Starting to feel overwhelmed with the different options? We built a tool with Vancity called &#8211; <\/b><a href=\"http:\/\/impactmoneyfinder.ca\/\"><b>Impact Money Finder<\/b><\/a><b>, it\u2019ll help you narrow down all the different options available based on your company.<\/b><\/span><\/p><p><span style=\"font-weight: 400;\">Another resource is <\/span><a href=\"https:\/\/www.ic.gc.ca\/app\/scr\/innovation\"><span style=\"font-weight: 400;\">this tool<\/span><\/a><span style=\"font-weight: 400;\"> by Innovation Canada.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-9383c80\" data-id=\"9383c80\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-04e8d85 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"04e8d85\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-e2f86ce\" data-id=\"e2f86ce\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-f3dcc9b\" data-id=\"f3dcc9b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-11e2840 elementor-widget elementor-widget-text-editor\" data-id=\"11e2840\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Crowdfunding<\/span><\/h4><p><span style=\"font-weight: 400;\">Can you imagine? This source of funding DID NOT EXIST 10 years ago. To date, over $34 billion has been raised through this new medium which allows companies to raise from non-accredited investors.<\/span><\/p><p><span style=\"font-weight: 400;\">There are 2 main types:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Reward based crowdfunding (Kickstarter, Indiegogo)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Equity crowdfunding (<\/span><a href=\"https:\/\/www.frontfundr.com\/\"><span style=\"font-weight: 400;\">FrontFundr<\/span><\/a><span style=\"font-weight: 400;\">, SeedsUp)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Other options include:<\/span><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Community based fundraising &#8211; <\/span><a href=\"https:\/\/www.wayblaze.com\/\"><span style=\"font-weight: 400;\">Wayblaze<\/span><\/a><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Patreon<\/span><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/fundrazr.com\/\"><span style=\"font-weight: 400;\">FundRazr<\/span><\/a><\/li><\/ol><\/li><\/ol><p><span style=\"font-weight: 400;\">Many entrepreneurs underestimate the amount of effort that goes into building a successful campaign. This method is typically more suitable for B2C type companies with a large community\/user base.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-3e2e21b\" data-id=\"3e2e21b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0dc93a5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0dc93a5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-273b571\" data-id=\"273b571\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-5b01f17\" data-id=\"5b01f17\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6e4d928 elementor-widget elementor-widget-text-editor\" data-id=\"6e4d928\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><strong>Dilutive<\/strong><\/h3><p><span style=\"font-weight: 400;\">Took me a while to get to this eh, just wanted to make sure you get all the information you need to make the best decision on funding options before we dive into raising from investors.<\/span><\/p><p><span style=\"font-weight: 400;\">Venture financing takes place in \u201crounds\u201d &#8211; Seed, Series A, Series B&#8230;IPO. With Bridge rounds happening in between. How these rounds are determined is defined by the amount being raised and who you\u2019re raising it from. In a seed round, you\u2019re typically raising from individual angel investors, not institutional\/VC (Venture Capital) firms. In Canada, seed is typically $250k-$1.5mil. In the US, seed is typically $1mil-$10mil.<\/span><\/p><p><span style=\"font-weight: 400;\">Before we start, let\u2019s cover some different types of investment paperwork<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Common Shares<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Preferred Shares<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Convertible Debt<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Safe<\/span><\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-ebaaa01\" data-id=\"ebaaa01\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-755559c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"755559c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-22572ab\" data-id=\"22572ab\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-20f35f3\" data-id=\"20f35f3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8e39236 elementor-widget elementor-widget-text-editor\" data-id=\"8e39236\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Common Shares<\/span><\/h4><p><span style=\"font-weight: 400;\">Direct ownership in a company, common shares are the simplest and most easily understood form of ownership. This requires setting a valuation. To drill deeper, if this is what you\u2019re going for, make sure you get educated with your lawyer on equity incentive plans (option pools), liquidation preferences, anti-dilution rights, protective provisions, etc.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-9e85445\" data-id=\"9e85445\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-b84c190 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"b84c190\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-4b0a060\" data-id=\"4b0a060\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-a37b26a\" data-id=\"a37b26a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-732c6e4 elementor-widget elementor-widget-text-editor\" data-id=\"732c6e4\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Preferred Shares<\/span><\/h4><p><span style=\"font-weight: 400;\">Like common shares, but entitles the holder to certain rights and payments which take priority over common shares. Usually used by growth stage investors or VC\u2019s and includes many rights and privileges &#8211; liquidation, redemption etc.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-94a09eb\" data-id=\"94a09eb\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-63803d2 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"63803d2\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-ed29640\" data-id=\"ed29640\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-cdb5cd8\" data-id=\"cdb5cd8\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-bef0e66 elementor-widget elementor-widget-text-editor\" data-id=\"bef0e66\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">Convertible Debt<\/span><\/h4><p><span style=\"font-weight: 400;\">The paperwork here is called a convertible note &#8211; it is effectively debt with an interest rate (usually a minimum of 2%) and maturity date. Notes do not sit on the books as equity and allows for you to have the valuation conversation at a later date. It includes an option for holders to convert their holding shares into a fixed number of common shares at a later date (usually triggered by a subsequent financing transaction). <\/span><\/p><p><span style=\"font-weight: 400;\">You\u2019ll also commonly hear the terms Cap\/Target Valuation\/Discount. Cap is the maximum valuation regardless of valuation of the future round in which it converts. This allows for investors that come in early to pay a lower price compared to investors who join in the future round. Specific terms are negotiable. If no future round is raised, earned interest has to be paid out at maturity (but maturity dates are often extended).<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-0027041\" data-id=\"0027041\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-37e9570 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"37e9570\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-187216b\" data-id=\"187216b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-d57f7d9\" data-id=\"d57f7d9\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-82ee00e elementor-widget elementor-widget-text-editor\" data-id=\"82ee00e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h4><span style=\"font-weight: 400;\">SAFE (Simple Agreement for Future Equity)<\/span><\/h4><p><span style=\"font-weight: 400;\">Originally released by Y-Combinator, SAFE also allows for the valuation discussion to be deferred. <\/span><\/p><p><span style=\"font-weight: 400;\">Basically the same as a Convertible Note, but without interest rate, maturity, and repayment requirements.<\/span><\/p><p><a href=\"http:\/\/www.ycombinator.com\/documents\/\"><span style=\"font-weight: 400;\">Read more about it on YC\u2019s website<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p><p>\u00a0<\/p><table><tbody><tr><td>\u00a0<\/td><td><p><b>Common<\/b><\/p><\/td><td><p><b>Convertible Notes<\/b><\/p><\/td><td><p><b>SAFE Agreement<\/b><\/p><\/td><td><p><b>Preferred<\/b><\/p><\/td><\/tr><tr><td><p><b>Set Price<\/b><\/p><\/td><td><p><span style=\"font-weight: 400;\">Yes<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Discount + Cap<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Can have caps<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Discount<\/span><\/p><\/td><\/tr><tr><td><p><b>Shares<\/b><\/p><\/td><td><p><span style=\"font-weight: 400;\">Yes<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Not up front<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Debt<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Yes, with preferred terms<\/span><\/p><\/td><\/tr><tr><td><p><b>Preferred Treatment<\/b><\/p><\/td><td><p><span style=\"font-weight: 400;\">Valuation<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Interest, on sale, future financing<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">Convert to pref., no timeline<\/span><\/p><\/td><td><p><span style=\"font-weight: 400;\">On sale, future financing<\/span><\/p><\/td><\/tr><\/tbody><\/table>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-8fa9224\" data-id=\"8fa9224\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-9317b0f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9317b0f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-623e095\" data-id=\"623e095\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-01a5c5a\" data-id=\"01a5c5a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-525c72a elementor-widget elementor-widget-text-editor\" data-id=\"525c72a\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><strong>How Do I Value My Company?<\/strong><\/h3><p><span style=\"font-weight: 400;\">Even if you\u2019re not raising through common shares, this is still a commonly asked question that you\u2019ll need to address with investors.<\/span><\/p><p><span style=\"font-weight: 400;\">Bad news is, there\u2019s no easy answer or formula to calculate it.<\/span><\/p><p><span style=\"font-weight: 400;\">Two things will determine your value<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Comparable transactions<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Market response<\/span><\/li><\/ol><p>\u00a0<\/p><p><b>Comparable Transactions<\/b><\/p><p><span style=\"font-weight: 400;\">You\u2019re trying to figure out what companies that look like yours are being valued at during a financial transaction, in the current market. Considerations include:<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">IP<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Traction<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Revenue<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Industry\/type of customer<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Maturity of your product\/solution<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Team<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Location of your company<\/span><\/li><\/ul><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">There are a few ways you can shop around for this:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Speak to lawyers\/accountants that are dealing with a high volume of transactions in your industry or stage &#8211; they have insider knowledge on the size of rounds and valuations that are being closed in your region and can give you an estimate of where your company might be at.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Speaking to other founders in your space.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Speaking to investors about their portfolio.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Reviewing reports from your local angel groups<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Using tools to estimate<\/span><ol><li style=\"font-weight: 400;\"><a href=\"https:\/\/angel.co\/valuations\"><span style=\"font-weight: 400;\">Angel List Valuation Data<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.crunchbase.com\/search\/funding_rounds\"><span style=\"font-weight: 400;\">CrunchBase Funding Data<\/span><\/a><\/li><\/ol><\/li><\/ol><p>\u00a0<\/p><p><b>Market Response<\/b><\/p><p><span style=\"font-weight: 400;\">As with all economics, price is driven by supply vs. demand. If you\u2019re able to drum up a large amount of interest, naturally your valuation will increase in parallel. <\/span><\/p><p><span style=\"font-weight: 400;\">As there is no such thing as perfect valuation, your goal is to find one that you\u2019re comfortable with, that investors find reasonable, and will allow you to raise the capital you need to hit your milestones. The typical range of seed valuation is $1.5-$10 million.<\/span><\/p><p><span style=\"font-weight: 400;\">Being mindful of future downrounds<\/span><\/p><p>\u00a0<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-bae6f6b\" data-id=\"bae6f6b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ba841cc elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ba841cc\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-ba3782a\" data-id=\"ba3782a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-74edeb2\" data-id=\"74edeb2\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-d6e5cad elementor-widget elementor-widget-text-editor\" data-id=\"d6e5cad\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><strong>Dilution<\/strong><\/h3><p><span style=\"font-weight: 400;\">I\u2019ll keep this brief, dilution is typically 10-20% for seed rounds. Anything more than 25% is uncommon.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-cd6c0f3\" data-id=\"cd6c0f3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-580a30c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"580a30c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-d7b03f7\" data-id=\"d7b03f7\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-d640cea\" data-id=\"d640cea\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-5d0b88a elementor-widget elementor-widget-heading\" data-id=\"5d0b88a\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 3 - Who Should I Raise From?<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5e125cc elementor-widget elementor-widget-text-editor\" data-id=\"5e125cc\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Here\u2019s where fundraising prep properly begins. First off, let\u2019s discuss some common places:<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Angel Investors<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Angel Groups<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">VC (Venture Capital)<\/span><\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-115c34e\" data-id=\"115c34e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-28e17ae elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"28e17ae\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-c0246b3\" data-id=\"c0246b3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-286aeed\" data-id=\"286aeed\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6b48fa0 elementor-widget elementor-widget-text-editor\" data-id=\"6b48fa0\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Angel Investors<\/span><\/h3><p><span style=\"font-weight: 400;\">Usually invest in early-stage companies. They\u2019re investing their own money on their own terms. Due diligence process is variable from angel to angel. Decisions are usually more emotionally driven based on how much they like you, your business, or your team.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-cf1a0b1\" data-id=\"cf1a0b1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3757b51 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3757b51\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-223fe5b\" data-id=\"223fe5b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-f8589c1\" data-id=\"f8589c1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-cd6eb1e elementor-widget elementor-widget-text-editor\" data-id=\"cd6eb1e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Angel Groups<\/span><\/h3><p><span style=\"font-weight: 400;\">Are a collective of Angel investors who have banded together to collectively vet and review deals. There might or might not be a dedicated fund manager that oversees or makes decisions on which companies to invest in. Typically they are more involved in Seed Bridge\/Series A rounds, sometimes seen in Seed.<\/span><\/p><p><span style=\"font-weight: 400;\">Local groups in Canada include:<\/span><\/p><ul><li style=\"font-weight: 400;\"><a href=\"http:\/\/theraisecollective.com\/\"><span style=\"font-weight: 400;\">RAISE Collective<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.vantec.ca\/cpages\/homepage\"><span style=\"font-weight: 400;\">VanTec Angel Network<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"http:\/\/www.keiretsuforum.com\/\"><span style=\"font-weight: 400;\">Keiretsu Forum<\/span><\/a><\/li><li style=\"font-weight: 400;\"><a href=\"https:\/\/www.angelforum.org\/cpages\/home\"><span style=\"font-weight: 400;\">Vancouver Angel Forum<\/span><\/a><\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-3e921e1\" data-id=\"3e921e1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-aa5c58c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"aa5c58c\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-8443de0\" data-id=\"8443de0\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-c73f622\" data-id=\"c73f622\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4c38cee elementor-widget elementor-widget-text-editor\" data-id=\"4c38cee\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Venture Capital (VC)<\/span><\/h3><p><span style=\"font-weight: 400;\">These are the big guns; they\u2019re investing other people\u2019s money. VCs are more metrics driven and go after \u201csafer\u201d investments or investments with a larger promise of return. You\u2019ll usually need to have a potential for 30x++ return for VCs to show interest. Uncommon in Seed, typically Series A++<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-5d8b74a\" data-id=\"5d8b74a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-9884b2f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9884b2f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-f6b21c7\" data-id=\"f6b21c7\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-b6ad335\" data-id=\"b6ad335\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-047f9b8 elementor-widget elementor-widget-heading\" data-id=\"047f9b8\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 4 - Definitive Steps To Get Started<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-66d7192 elementor-widget elementor-widget-text-editor\" data-id=\"66d7192\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><i><span style=\"font-weight: 400;\">\u201cYou wouldn\u2019t stand on the sidewalk and try to sell your product to any random customer, neither should you try to pitch to every investor or take money from any random person. It\u2019s just not the most efficient way to approach fundraising.\u201d &#8211; Keith Ippel, CEO @ Spring<\/span><\/i><\/p><p><span style=\"font-weight: 400;\">To speed up fundraising, we encourage treating it like a sales process. Below are 10 steps to a strong start:<\/span><\/p><p><b>Step 1: Set a goal for the round<\/b><\/p><p><span style=\"font-weight: 400;\">How much, by when, ideal investors<\/span><\/p><p><b>Step 2: Define the ideal investor and identify targets<\/b><\/p><p><span style=\"font-weight: 400;\">AngelList, CrunchBase, Gust, LinkedIn<\/span><\/p><p><b>Step 3: Select a lawyer with experience with funding rounds<\/b><\/p><p><span style=\"font-weight: 400;\">Don\u2019t get a painter to fix your car<\/span><\/p><p><b>Step 4: Build your 3-5 year forecast<\/b><\/p><p><span style=\"font-weight: 400;\">Base, best, and worst case scenarios<\/span><\/p><p><b>Step 5: Start your due diligence folder<\/b><\/p><p><span style=\"font-weight: 400;\">Dropbox or Google Drive<\/span><\/p><p><b>Step 6: Ask the lawyer to create the draft financing docs<\/b><\/p><p><span style=\"font-weight: 400;\">Start with the financing docs, then the term sheet<\/span><\/p><p><b>Step 7: Build your pitch deck<\/b><\/p><p><span style=\"font-weight: 400;\">Get it reviewed by at least 3-4 people<\/span><\/p><p><b>Step 8: Identify ways to get warm intros to key investors<\/b><\/p><p><b>Step 9: Practice your pitch on others first <\/b><\/p><p><b>Step 10: Start to reach out!<\/b><\/p><p><span style=\"font-weight: 400;\">Warm intros &amp; do your homework on them<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-dcaa064\" data-id=\"dcaa064\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3bad660 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3bad660\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-988e6a5\" data-id=\"988e6a5\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-17e34ae\" data-id=\"17e34ae\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4e7e0da elementor-widget elementor-widget-heading\" data-id=\"4e7e0da\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 5 - Defining Your Ideal Investor<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-939a5c1 elementor-widget elementor-widget-text-editor\" data-id=\"939a5c1\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">7 Traits of an ideal investor<\/span><\/h3><p><b>#1: Network<\/b><\/p><p><span style=\"font-weight: 400;\">A network that can add value to you and your business is really broken down into three groups. 1st: If you are raising money, do they have a network of fellow investors that can help you raise this, and\/or future investment rounds? <\/span><\/p><p><span style=\"font-weight: 400;\">2nd: They have a network of potential customers or partners in your market. <\/span><\/p><p><span style=\"font-weight: 400;\">3rd: They have a network of talent that can be called on to help answer tough questions or to grow the team as you start to scale.<\/span><\/p><p>\u00a0<\/p><p><b>#2: Industry Experience<\/b><\/p><p><span style=\"font-weight: 400;\">Investors who have been in your industry, know how it works, who the players are, and the market. These are the folks who can help you avoid rookie mistakes, and open doors to newer, bigger opportunities. This is worth its weight in gold: rank such investors accordingly.<\/span><\/p><p>\u00a0<\/p><p><b>#3: Business Model Experience<\/b><\/p><p><span style=\"font-weight: 400;\">Whether you are retail, software as a service, or anything in-between, a business model expert investor can help you learn quickly from where others have gone before, show you how to optimize the business model quickly and connect you with folks in the know. This can be especially helpful for learning from early customer feedback and making changes to your business model post-launch to finding product-market fit.<\/span><\/p><p>\u00a0<\/p><p><b>#4: Functional Area Expertise <\/b><\/p><p><span style=\"font-weight: 400;\">Does this investor have functional expertise that he or she could use to help out the company temporarily? These could be things like project management, negotiation, or I.T. Getting the investor to take on a temporary role in the business could help you cut costs. Also, you can be certain that they\u2019ll put in their best work since they\u2019re invested &#8212; literally &#8212; in the business. In this case, look for investors who may be willing to be more active as an advisor or even in the day-to-day if you want and\/or need it.<\/span><\/p><p>\u00a0<\/p><p><b>#5: Geographical Relevance<\/b><\/p><p><span style=\"font-weight: 400;\">Is this investor in the same country or region as you or your customers? Getting in-person, hands-on help from investors could help speed up progress. If your investor lives in the same place as your target customers, he or she could provide invaluable intel that you may otherwise have no access to.<\/span><\/p><p>\u00a0<\/p><p><b>#6: Aligned Views On \u201cReturn\u201d<\/b><\/p><p><span style=\"font-weight: 400;\">Does this investor have an agenda that\u2019s aligned with yours? Do they share the same values as you? Are they trying to make money or are they more interested in helping your business fulfill its mission? How fast are they expecting the return? These are all important factors to consider.<\/span><\/p><p>\u00a0<\/p><p><b>#7 Easy To Work With<\/b><\/p><p><span style=\"font-weight: 400;\">How does this investor work with companies? Does he or she like to take on a more \u201clean in\u201d, \u201cheavy on the business\u201d approach? Or do they like to be more of a \u201cshadow\u201d? Does their style align with the way you like to work?<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Ensuring that your investor\u2019s preferred \u201cstyle\u201d of working is aligned with yours allows you to avoid friction in the relationship.<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">These are the 7 traits of a \u201cUnicorn\u201d investor. By evaluating potential investors with this criteria, you get to quickly identify your top candidates. Of course unicorns don\u2019t exist, but if they meet 4-5 of these traits, they\u2019re solid.<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Based on a research by DocSend and Harvard Business School &#8211; On average, companies contact over 60 investors and have over 40 meetings for average round sizes of $1.3 million. So don\u2019t just spray and pray, if you treat raising capital like a sales process, you\u2019ll be able to go after more specific investors that are more likely to close and add value to your company.<\/span><\/p><p>\u00a0<\/p><p><span style=\"text-decoration: underline;\"><b>Access our Fundraising Kit which includes an Ideal Investor Profile Worksheet and many more tools\/templates<\/b><\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-9792941\" data-id=\"9792941\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-dd5749f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"dd5749f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-623e603\" data-id=\"623e603\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-17028f4\" data-id=\"17028f4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8b7ffcb elementor-widget elementor-widget-text-editor\" data-id=\"8b7ffcb\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Assessing Investors<\/span><\/h3><p><span style=\"font-weight: 400;\">You have just as much a right and duty to perform due diligence on your investors, as they do with your business. You wouldn\u2019t marry any random person, neither should you sell your company to anyone who will pay for it. Below are some things to consider.<\/span><\/p><p><b>Focusing too much on the financing of the deal<\/b><\/p><p><span style=\"font-weight: 400;\">Excessively hounding you on previous, current, and future valuation, who else has invested, and excessive focus on the type of paperwork. <\/span><\/p><p><span style=\"font-weight: 400;\">A good investor will focus on understanding your customers, your strategy, your competitors, and your team.<\/span><\/p><p><b>Asking you to use their lawyer\/accountant<\/b><\/p><p><span style=\"font-weight: 400;\">Doing so puts them in control of the round. You might find their accountants\/lawyers slow to respond to you because they answer to the investor, not you. <\/span><\/p><p><span style=\"font-weight: 400;\">Worst case scenario, the investor might deliberately delay things so that your runway gets tighter and you\u2019re forced to offer a better deal to keep the business running.<\/span><\/p><p><b>Bad reputation<\/b><\/p><p><span style=\"font-weight: 400;\">Sounds obvious enough, but you\u2019d be surprised at how unfrequently entrepreneurs do background checks on their investors. <\/span><\/p><p><span style=\"font-weight: 400;\">Don\u2019t be afraid to ask the investor for contacts of some companies they\u2019ve invested in &#8211; so that you can do reference checks.<\/span><\/p><p><b>Asking for additional %<\/b><\/p><p><span style=\"font-weight: 400;\">You might occasionally hear an investor ask for additional % to be an \u201cactive investor\u201d. Don\u2019t do it.<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">If they\u2019ve invested in the company, they should already be motivated to be active without any additional incentive.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">If they\u2019re proposing real value, have that % vest over time or based on milestones if the commitment is significantly tangible.<\/span><\/li><\/ol><p>\u00a0<\/p><p><strong>Asking for unrealistic dilution<\/strong><\/p><p><span style=\"font-weight: 400;\">They may have never invested before and are unfamiliar with dilution norms or how a bad round can negatively impact future rounds. Or they\u2019re looking for suckers.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-cf43219\" data-id=\"cf43219\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-d8dc885 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"d8dc885\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-35b32e4\" data-id=\"35b32e4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-e4852ec\" data-id=\"e4852ec\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-560df45 elementor-widget elementor-widget-text-editor\" data-id=\"560df45\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Why Do Investors Invest?<\/span><\/h3><p><span style=\"font-weight: 400;\">It\u2019s important to understand what\u2019s going on in their head so that you can best position yourself to win them over.<\/span><\/p><p><span style=\"font-weight: 400;\">The top 3 questions that early stage investors ask are:<\/span><\/p><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Do I like you and your team?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How are you different?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">How are you going to make me money?<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What is the impact of your business?<\/span><\/li><\/ol><p><b>Do I like you and your team?<\/b><\/p><p><i><span style=\"font-weight: 400;\">\u201cDo I trust you with my money? Are you coachable? Are you able to execute and not just focus on planning? Are you humble? Sure, the idea is great, but do you and your team have the right set of skills and mindset to make this company a success?\u201d<\/span><\/i><\/p><p><b>How are you different?<\/b><\/p><p><span style=\"font-weight: 400;\">An active investor has probably heard at least 5 other pitches that sound exactly like yours. <\/span><\/p><p><i><span style=\"font-weight: 400;\">\u201cHow defensible are you from competitors? Do customers really perceive enough differentiation and added value that they will choose to use you? Any product can be sold by good sales people, but is your product really good enough that people will want it otherwise? How well do you know your market? How will you grow and scale? Sure, you might be different, but is different really better?\u201d<\/span><\/i><\/p><p><b>How are you going to make me money?<\/b><\/p><p><i><span style=\"font-weight: 400;\">\u201cHave you figured out the revenue model? How quickly can you scale? How large is the market?\u201d<\/span><\/i><\/p><p><b>What is the impact of your business?<\/b><\/p><p><span style=\"font-weight: 400;\">Impact is a broad term, some investors will focus on the potential for your business to disrupt the industry. Others care about the environmental, community, health, or mental wellbeing influence that your business has through your product\/service or the code of conduct which you hold yourself to.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-985daf1\" data-id=\"985daf1\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-f870baa elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"f870baa\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-b50a45e\" data-id=\"b50a45e\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-e1b7687\" data-id=\"e1b7687\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-898d66d elementor-widget elementor-widget-text-editor\" data-id=\"898d66d\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">Prerequisite Checklist For Contacting Investors<\/span><\/h3><ol><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Know the state of your business<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Pitch deck ready and tested<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">90s, 3min, 10min pitches ready<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Financials &#8211; drafted, built and understood<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Team<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Progress<\/span><\/li><\/ol>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-202accf\" data-id=\"202accf\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3606205 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3606205\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-55c1c93\" data-id=\"55c1c93\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-2d26702\" data-id=\"2d26702\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-72097b1 elementor-widget elementor-widget-text-editor\" data-id=\"72097b1\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<h3><span style=\"font-weight: 400;\">How Do I Find Investors?<\/span><\/h3><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Former CEOs who have exited (they might have disposable assets to invest with)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">CEOs of comparable companies<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">CEOs you trust<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Investors in the news<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Speakers at relevant events<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Asking your mentors\/advisors for recommendations<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Asking your current angel investors for referrals<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Law firms, accounting firms<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Trade Commissioners office<\/span><\/li><\/ul><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">C100 (for Canadian companies looking for US investors)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Filtering individuals on Angel List, <\/span><a href=\"https:\/\/angel.co\/people\/all\"><span style=\"font-weight: 400;\">start here<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Search angel\/investor and filter based on your industry\/subject matter expert etc.<\/span><\/li><\/ul><\/li><\/ul><p>\u00a0<\/p><p><span style=\"text-decoration: underline;\"><b>Access our Fundraising Kit which includes a Guide on How to Meet Influential People, The Top 13 Do\u2019s and Don\u2019ts of Business Introductions and many more tools\/templates<\/b><\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">If you know who you\u2019re going after, here are some options for warm introductions:<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">View their LinkedIn connections for people you know who can bridge the introduction<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">CEOs of the companies they have prior\/active investments in<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Your incubator\/accelerator<\/span><\/li><\/ul><p>\u00a0<\/p><p><span style=\"text-decoration: underline;\"><b>Access our Fundraising Kit which includes Spring`s Investor Funnel Template and many more tools\/templates<\/b><\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-dc9b0b0\" data-id=\"dc9b0b0\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-8cb4b47 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"8cb4b47\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-e3a8d34\" data-id=\"e3a8d34\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-84893b5\" data-id=\"84893b5\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-2a8430f elementor-widget elementor-widget-heading\" data-id=\"2a8430f\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Part 6 - Pitching<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b503252 elementor-widget elementor-widget-text-editor\" data-id=\"b503252\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">There\u2019re plenty of resources on this topic, below are some lesser known tips that will help you stand out.<\/span><\/p><p>\u00a0<\/p><p><b>Secret #1: Don\u2019t follow a template!<\/b><\/p><p><span style=\"font-weight: 400;\">There are guides and templates on what needs to be included in a pitch deck. Don\u2019t just copy-paste, be different if you really want to stand out!<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">How should you do it then?<\/span><\/p><p><span style=\"font-weight: 400;\">Start with your STRONGEST point, then go into the regular details in a pitch deck. For example:<\/span><\/p><p>\u00a0<\/p><p><i><span style=\"font-weight: 400;\">Traction as the strongest point<\/span><\/i><\/p><p><i><span style=\"font-weight: 400;\">\u201c5 million downloads in 6 months, we have traction&#8230;We are company X&#8230;it started with an observation I made with [customer] having [problem]&#8230;\u201d<\/span><\/i><\/p><p>\u00a0<\/p><p><i><span style=\"font-weight: 400;\">Problem as the strongest point<\/span><\/i><\/p><p><i><span style=\"font-weight: 400;\">\u201c3 hours a day on transit?! That\u2019s ridiculous, I\u2019m creating a teleportation device.\u201d<\/span><\/i><\/p><p>\u00a0<\/p><p><i><span style=\"font-weight: 400;\">Demo as the strongest point<\/span><\/i><\/p><p><i><span style=\"font-weight: 400;\">\u201cCheck this out\u2026[wow them with demo] then go into the regular pitch\u201d<\/span><\/i><\/p><p>\u00a0<\/p><p><b>Secret 2: Leave things incomplete<\/b><\/p><p><i><span style=\"font-weight: 400;\">\u201cChin, you\u2019re crazy. Investors need to know everything before they can make a decision to invest.\u201d<\/span><\/i><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">True&#8230;but! You\u2019re not trying to get married on a first date. <\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Your goal with a pitch is to whet their appetite and gauge their interest. You should deliberately omit some information to see if they are asking questions and trying to know more. You\u2019ll know you\u2019ve done a great pitch if there are a ton of questions after; it shows that they\u2019re excited! This will also help you identify the investors that are interested vs. the ones who aren\u2019t.<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Of course, DON\u2019T leave out the KEY points<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Things you MUST cover&#8230;<\/span><\/p><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">WHO is this for? Be specific, if it\u2019s for everyone, no one is interested.<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What is their PROBLEM? Not a global problem, but the specific problem of the user.<\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">E.g. Companies struggle with understanding their communication strategy and productivity vs. HR Managers need to monitor communication efficiency between departments to understand where to allocate resources. The latter is more clear.<\/span><\/li><\/ul><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">What is your SOLUTION? What are you building? What is your product\/service? <\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Bad example of describing your solution<\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Problem = takes long time to match users, Solution = faster matching <\/span><\/li><\/ul><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Better example<\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Solution = we allow users to match more quickly by providing a visual interface to identify their matches<\/span><\/li><\/ul><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Speak to HOW it\u2019s done but you don\u2019t need to get too detailed or spill your secret sauce.<\/span><\/li><\/ul><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">VALIDATION. An investor will be thinking \u201cAre you taking my money to experiment with? Or have you already validated what works and have a clear path to growth which will return my investment in multiples\u201d<\/span><ul><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Ever notice all pitches have great market size\/opportunity? Don\u2019t spend too much time on top-down projections of Total Addressable Market (TAM) or Service Addressable Market (SAM). Instead highlight TRACTION, use bottoms up predictions to highlight growth trajectory, your ideal investors SHOULD be familiar with the market opportunity, if they aren\u2019t, you might not want to take their money.<\/span><\/li><\/ul><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Why YOU. Team, experience, difference from competition\/secret sauce (you might want to address this earlier in the pitch if you\u2019re in a crowded space)<\/span><\/li><li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">ASK. Always have an ask. &#8211; If you\u2019re raising &#8211; how much? Leave out valuation and term details (these are things that are meant for a discussion and negotiation). Also don\u2019t forget to list your contact info on the last slide.<\/span><\/li><\/ul><p>\u00a0<\/p><p><b>Secret 3: Don\u2019t attend pitch events<\/b><\/p><p><span style=\"font-weight: 400;\">I generalize here, but this speaks to the point of defining your target investor. You might end up going to a pitch event if you know that that\u2019s where your investor is most receptive to ideas, but don\u2019t go for pitch events with the goal of raising from all the investors in the room. It\u2019s too much of a mixed bag, and there are much more efficient ways to spend your time.<\/span><\/p><p>\u00a0<\/p><p><span style=\"font-weight: 400;\">Caveat: I\u2019m not talking about pitch practice events, which I strongly advocate for, even if entrepreneurs aren\u2019t raising their round. Pitch practice events help with publicity, allow you to better define your value proposition, and help you with understanding how to position yourself with investors when you\u2019re ready.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-f9bf996\" data-id=\"f9bf996\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-2b00884 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2b00884\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-5524aae\" data-id=\"5524aae\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-c04853d\" data-id=\"c04853d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-dd8f6b2 elementor-widget elementor-widget-text-editor\" data-id=\"dd8f6b2\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-33 elementor-top-column elementor-element elementor-element-de522a8\" data-id=\"de522a8\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>The Comprehensive Guide on Raising Seed Capital First off, let\u2019s clarify a few things: We\u2019re not investors &#8211; the advice we give here will support you in raising a round that\u2019s most beneficial for YOU, not to try to prime you for expectations of dilution that investors are looking for. &hellip;<\/p>\n","protected":false},"author":15,"featured_media":75947,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[30,31],"tags":[285,394,14,40,33,504,826,1112,1076,794,767,205,34],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Comprehensive Guide to Raising Good Capital<\/title>\n<meta name=\"description\" content=\"Are you ready for fundraising? The comprehensive guide to raising good seed capital. This will be the most comprehensive blog put out by Spring to-date. Written in joint collaboration between Keith Ippel, Sana Kapadia, and Chin Hing Chang.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Comprehensive Guide to Raising Good Capital\" \/>\n<meta property=\"og:description\" content=\"Are you ready for fundraising? The comprehensive guide to raising good seed capital. This will be the most comprehensive blog put out by Spring to-date. 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