Your Best Ways To Find INVESTORS?

[GetShitDone]

I own an on-demand delivery eCommerce start up.

- Nearly 10,000 deliveries completed

- Technology stack fully built

- Experienced team

- Proven model overseas that I am nailing it with in my country

The problem? I need to raise capital to expand into major cities now.

What are the BEST ways you have managed to (or seen) to find investors for your start up?

 

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[Bourbons]

I own an on-demand delivery eCommerce start up.

- Nearly 10,000 deliveries completed

- Technology stack fully built

- Experienced team

- Proven model overseas that I am nailing it with in my country

The problem? I need to raise capital to expand into major cities now.

What are the BEST ways you have managed to (or seen) to find investors for your start up?

Approaching venture capital firms directly works well, they're not as sensitive with their money as private investors.

Do you know anyone (personally/professionally) that has received investment? It works well to ask them for advice, you may find their advice comes with an introduction.

I was offered money from a VC firm, took private investment recently - I prefer this as the investor, although giving less money, is working in the business and has added a lot of value in experience.

 

[GetShitDone]

Approaching venture capital firms directly works well, they're not as sensitive with their money as private investors.

Do you know anyone (personally/professionally) that has received investment? It works well to ask them for advice, you may find their advice comes with an introduction.

I was offered money from a VC firm, took private investment recently - I prefer this as the investor, although giving less money, is working in the business and has added a lot of value in experience.

Yeah, we have nearly 10 private angel (mostly passive) investors now. A couple of which are working within the business as your investor is.

I feel we're a stage where we still need angel investors to invest and open up doors. I really just need the capital (as our team is good), but smart capital is obviously preferred.

I'll speak to the people I know that have raised capital as getting an intro makes sense.

Any other ideas in terms of approaching/finding High Net Worth Individuals or High Income Earning Individuals?

 

[JonnyC]

Yeah, we have nearly 10 private angel (mostly passive) investors now. A couple of which are working within the business as your investor is.

I feel we're a stage where we still need angel investors to invest and open up doors. I really just need the capital (as our team is good), but smart capital is obviously preferred.

I'll speak to the people I know that have raised capital as getting an intro makes sense.

Any other ideas in terms of approaching/finding High Net Worth Individuals or High Income Earning Individuals?

My investors were directly in the industry I'm working in. They own a company and when we met, they hinted they might be interested so I pounced. Sent them a pitch deck after calling and letting them know I was interested in raising capital.

I did a straight equity sale, which was a good way starting out since they're more like partners now than straight up passive investors. They're helping me make new products, develop the marketing plan, etc.

You might already know this, but in your case, since you're already surrounded by good people, I'd suggest looking at setting up a convertible debt/equity deal. This way you can avoid valuating the company today, and push it off to your next round. It's supposedly much simpler than equity deals since there's like legal work, which means less back-and-forth and less legal fees.

EDIT: Also wanted to add, if I was starting over tomorrow from scratch, I'd ask a lot more people in my network. Get your basic materials ready (deck, projections, business plan) and start calling people you know that may be related to or know someone in finance.

Some examples... I got a lead from a guy I rented an AirBnB from. Got a lead from one of my old army buddies who's in finance now. I got another few leads from cold-calling a partner at Price Waterhouse and asking for his help. I could probably get some leads from the founder of a VC-backed startup I met at an entrepreneur event a while back. It's all about your network, and just putting in the work and asking.

I was surprised to find that there's really a whole ecosystem of companies and people looking to give entrepreneurs large sums of money. You, with actual traction and sales should be very interesting to them.

Congrats on your progress so far!

 

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[EE7]

What are the BEST ways you have managed to (or seen) to find investors for your start up?

My situation is a bit different than yours but maybe I will be able to provide some value to you. The first thing I did (still doing) was communicate with the heavy hitters in the industry - people that my product would directly involve or affect. They wanted to have a leg up on (be unique) when compared to the others (read average people) in the industry and decided to jump on board - they are aware that there are multiple people in their industry involved (They don't want to be left out of something new - very powerful). This has been going extremely well except for one instance which I have explained in the following link in case you are interested https://www.thefastlaneforum.com/co...the-tampa-bay-fastlane-meetup-for-this.68672/ . My niche is very specific and there are a lot of donor groups reaching out to help to fill in the rest.

You seem to be well on your way and very established. Based on your given stats I don't see you having too much of a difficult time getting the funding that you need. Investors like to see a solid framework and you my friend seem to have just that. Great job!

 

[458]

Find someone to add to your team that has access to people with money. Offer him equity in your project.