On Friday, July 31st I presented this Slideshare to more than 50 entrepreneurs who are part of the latest OnDeck Fellowship cohort. We walked through how to run a fundraising process and how I run my own investment process as an angel investor.
Coach & Advisor at High Output, Angel Investor
"My mission is to help founders bring their
wildest visions to life and evolve into
Running an Investment Process2
Operator Investor Coach
The Founder’s Side
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End-to-End Fundraise Process
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• Create FOMO (your #1 job!)
• Continuously evolve pitch materials
• Don’t forget self-care!
• Choose your investors wisely
• Treat it like a sales funnel
• Expect process to take 1-6+ months
• Always know what stage you’re at
• Maintain momentum at all times
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• CB Insights
• VC Websites
• Midas List
• Forbes 30 U 30
• Do your homework
• Look at VC portfolios (themes, COIs)
• Seek investors with sector expertise
• Identify investors in your geo
• Note early-stage vs multi-stage
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• Cold Email
• Twitter DMs
• Warm intros
• Matching tools
• Networks + communities
• "Practice" pitches
• Make sure they’re relevant + a fit
• Get intros from founders / operators
• Track in Sheets / Airtable / Notion
• Monitor each stage in funnel
• Personalize your communications
• Don’t be lazy!
• Follow up in a timely manner
Cold Email Template
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• Zoom Pitch
• Phone Call
• "Socially Distanced Walk"
• Loom pitch
• Be on time
• Know your medium and audience
• Don’t read from your slides
• Balance depth and vision
• Every interaction is a data point
• Note common questions/traps
• Leave with clear next steps
Manage & Close
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• Share diligence requests
• Schedule follow-up meetings
• Gauge investor interest
• Secure a lead
• Manage offers & term sheets
• Balance allocations
• Devote & invest the time
• Follow up in a timely manner
• Evolve your slides & materials
• Create FAQ as appendix
• Get a term sheet, more will follow
• Backchannel investors
• Start with lead, fill round strategically
• Be patient— process can take time
The Investor’s Side
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End-to-End Investment Process
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• Make decisions on Monday
• Spend at least 2-4 hours with team
• Focus more on team, opportunity
• Seek input from operators/investors
• Output = quality investment decisions
• Execute process over 2-4 weeks
• Collect data at each interaction
• Source matters
Memo Screen 1
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Memo Screen 2
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Memo Screen 3
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Thanks for listening!
Appendix to follow
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• Other Angels
• Seed Funds
• Cold (Email, Twitter)
• Programs / Accelerators
• Is it worth screening?
• Do I need an intro?
• Is this a priority?
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• Request deck + product
• Review deck + materials, memo
• Decide to take first meeting
• Ask for more info if unsure
• Get input
• Who is the source?
• Is the team credible + capable?
• Is the company raising < $3M?
• Is there a product or demo?
• Is there any traction?
• What’s size/scope of market?
• Am I excited to dig in and spend
• Do I care?
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• Send fund overview
• Kick off w/ intros & objectives
• Log notes in Notion template
• Identify risks & next steps
• Why this idea?
• Why this team?
• Why now?
• What’s the product?
• Who’s the initial user?
• What’s the market size / scope?
• What has been learned?
• What is the wedge / roadmap?
• What are funding plans / milestones?
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• Reference founders
• Research investors
• Schedule second meeting / pass
• Get back to founder quickly
• Are the founders extraordinary?
• Do they deeply understand market?
• Who are the key competitors?
• What’s the early advantage?
• How does the company leverage
• What is unique, what’s borrowed?
• What are points of friction, risks?
• Can they grow without paid acq.?
Investing in Leaders
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• Technical / product focused
• Customer centric
• Insatiable curiosity
• Demonstrated grit / tenacity
• Unwavering belief
• Can they ship + build?
• Do they deeply understand
• Do they love to experiment / learn?
• Have they overcome adversity?
• Do they know themselves?
• Do they deeply believe?
• Are they on a mission?