June 18th, 2019 | By: Wil Schroter | Tags: Funding
In order to keep their sanity, investors have to look for signals to determine which emails to even open — much less respond to. This is where the art of contacting investors gets interesting.
The most important, by far.
If we had to compare an email sent through a trusted connection with a crappy company versus a cold email with a great company, chances are the crappy company would get a response. That's because investors put so much weight on whether the introduction is being vetted through a trusted friend.
Not if the e-mail never gets opened or read.
The first goal in contacting investors is to get them to even look at you. The second goal is to get them to listen. If we can't connect in a trusted manner that gets their attention, the quality of our deal won't save us.
We've never bought anything from a store we never visited.
Not really. Investors are rewarded for sorting through deals and picking the ones that look promising. That means they only have time to respond to inquiries and deals that they can invest their precious little time into.
You can, but it's probably not very useful. The better approach would be to find another way to get an introduction to the investor through a third party. Most people do this through social networks or through trusted advisors.
When to raise funds (podcast) Sure, every startup could put more money to use. But does every startup truly need it? Ryan and Wil break it down.
How to leverage connections to raise startup capital. Mile Belisto, author of Startup Seed Funding for the Rest of Us, explains how to build connections within the venture community.
How to craft the perfect investor email pitch. Learn the key ingredients investors want to know in your email pitch and stay out of the dreaded trash bin.
Wil Schroter is the Founder + CEO @ Startups.com, a startup platform that includes Bizplan, Clarity, Fundable, Launchrock, and Zirtual. He started his first company at age 19 which grew to over $700 million in billings within 5 years (despite his involvement). After that he launched 8 more companies, the last 3 venture backed, to refine his learning of what not to do. He's a seasoned expert at starting companies and a total amateur at everything else.