The document discusses key skills needed to raise money and attract talent to a startup enterprise. It emphasizes the importance of effectively communicating an enterprise's outcome, value, and rewards to potential investors and team members. It introduces the Definitive 4 Foundations Framework, which includes establishing management credibility, agreed value, appropriate rewards relative to risks, and securing the right sources of funding. The framework is described as a bridge to help innovators build momentum and engage investors to support their ideas.

1. supporting innovators who are solving the worlds problems

2. The ability to raise money and attract top team
members and partners to an enterprise is a
key skill of a founder or key team member.

3. Money affords advantages such as having a
strong enough cash position for your
enterprise to stabilize
and to ...

4. expand your enterprise by...
 attracting good people on your team
 better equipment and technology
 accessing education and training
 quickly penetrating markets
 increased capability to serve customers better
 achieving greater scale i.e. to plan and execute long-
term in new markets with new partners

5. Although attracting money is not all easy, it is
possible.
There are a large number of money sources
available..
…but there is a LOT of competition for it.

6. People who have successfully funded
their innovation or start up know that
transforming a good idea into a
thriving enterprise requires one to…
…..

7. Effectively – Powerfully - Efficiently
COMMUNICATE
reward/exit or
outcome
Team, Partners, Stakeholders, Investors

8. Many business builders and start-ups seldom go for the
outcome or reward which makes it more difficult for the
idea to take off.
That is unfortunate because a lot more good ideas would
happen if only more entrepreneurs knew ....

9. What to prepare and how to engage
achieving applying
Outcome
Idea
Window of Opportunity
engaging
build a bridge to
hearts & minds of
team, partners & investors
attract team, partners &
investors
Collateral
hearts & minds
of your
team, partners & investors
Framework
a bridge to
get to your outcome

10. It starts with gaining clarity on your outcome
achieve this
OUTCOME
Idea
Window of Opportunity
New Value
Collateral
hearts & minds of your
team, partners & investors
Framework
a bridge to
get to your outcome
Outcome includes
 What is your timeline, goals, milestones?
 What are your financial projections?
 Where, when and how will you exit?
 What is the investor reward/timing?
 Owner aspirations
 Ownership structure
 Market factors
 Resource requirements

11. Applying the definitive 4 foundations ideas to
enterprise framework
applying
Outcome
Idea
Window of Opportunity
build a bridge to
hearts & minds of
team, partners & investors
attract team, partners &
investors
Collateral
hearts & minds
of your
team, partners & investors
Framework
a bridge to
get to your outcome
 Definitive 4 Foundations
Framework is a learning tool to
build momentum for investor
and team members to gravitate
towards your enterprise/idea
 Metaphor - the framework is a
bridge: constructing a bridge to
get you to your outcome

12. you&team
reward
rightmoney
agreedvalue
Definitive 4 Foundations Framework
a bridge to get to your outcome

13. you&team
You and Team

14. 4 Foundations Framework You & Team
Management capability
Management skills are highly valued by potential
investors and team members alike.
It is management who can create a return on investment
money, time and resources.

15. Establishing management credibility.
The ability to raise money and attract top team members
and partners to your enterprise is a key skill of a
business owner, founder or key team member.
It is a key to demonstrating your management capability
it’s what we call the “70% criteria”.
4 Foundations Framework You & Team

16. Some venture capitalists say that they weight their
decision to invest 70% management, 30% product.
To get investment dollars out of them they need to be
impressed with the team.
4 Foundations Framework You & Team

17. Agreed Value
Agreedvalue

18. 4 Foundations Framework: Agreed Value
Key reasons to get an agreed value
• Attracting team (Only after arriving at an agreed value
can you offer your team shares, bonus system, profit
share ie. reward)
• Negotiate with investors & team
• Establishing the value of your sweat equity
• Keeping a fair share
• Planning for and attracting the right money, an exit or
any windfall profits

19. Many people do not know how to value their idea or their
existing enterprise.
They are either over optimistic about the prospects or
they under value the enterprise...
... either way they lose credibility!
They do not know how to substantiate the value by one
of the accepted methods of agreed value….
…. agreed value of what?
4 Foundations Framework: Agreed Value

20. Agreed value of:
 products or services
 intellectual property.
 intellectual capital
 company shares
 profit share and bonus systems
4 Foundations Framework: Agreed Value

21. When you have your agreed values you can then
determine the reward.
When potential team members can see their
reward, clearly and easily communicated and they come
on board you have arguably met 70% of the key criteria.
Investors then feel more inclined to come on board.
4 Foundations Framework: Agreed Value

22. The Reward ( Risk )
reward

23. What is the Risk to Reward ratio?
The key is to make the risks evident, discuss them
and discover how to make an investor comfortable.
Reward is often called an EXIT or the point of getting
a money or share value return
4 Foundations Framework: Reward/Risk

24. Components of Reward
InvestorsTeam members
Partners
fun, contribution, givi
ng back, dividend
streams, leverage
existing investment
multiplying $$$$
4 Foundations Framework: Reward/Risk

25. Since the exit is a key component of the reward the exit
comes first
Your exit plan aligns your team, investors and lays a
foundation for many of the planning decisions you
will make in the coming months and years.
4 Foundations Framework: Reward/Risk

26. Pic of bridge second foundation
rightmoney
The Right Money

27. What are the potential sources of money and when
are they most appropriate to the growth of your
enterprise and the ‘risk appetite’ of the investor?
4 Foundations Framework: The right money

28. Attracting the right money is essential
The right money for your enterprise is related to
the ‘risk appetite’ of your investor.
4 Foundations Framework: The right money

29. Founders
Family / friends & crowd sourcing
Incubators and Accelerators -
Private Investors & Angel Investors
Venture Capital
Trade Sales
Private Equity Funds
IPO
Start Up and Early Stage Enterprise
Mature Enterprise
4 Foundations Framework: The right money

30. What to prepare and how to engage
Outcome
Idea
Window of Opportunity
engaging
build a bridge to
hearts & minds of
team, partners & investors
attract team, partners &
investors
Collateral
hearts & minds
of your
team, partners & investors
Framework
a bridge to
get to your outcome
The bridge has been built to get to
your outcome
So now you need to demonstrate
sufficient collateral to attract investors
and team members.
You need to reach the heart and mind
of investors, partners and team
members

31. Developing your collateral
The three tools needed to communicate your collateral to
investors and team members and partners
1. Slide deck 2.‘Two pager’ 3. Strategic plan
When placed in a particular format these communication
tools easily show the potential of the enterprise and
interested parties will be encouraged to seek more
information.
(NB. These sales tools are used prior to any offer. An offer document needs to
comply with the Australian Corporations Act.)

32. Using these tools is an art in itself which make the
team, partners and investors attracted to your outcome
and collateral offering.

33. Plugg provides a series of programs that guide
entrepreneurs in how to maximise potential value and
achieve buy-in from investors.
We have created our introductory program
Ready4Money and our STARThere intensive to
prepare innovators and business owners for raising
capital.
.

34. The STARThere program assists people in making a start
on their collateral to support their ability to engage, raise
money and attract top team members to their enterprise.

35. STARThere provides:
 advice from a variety of professionals
 a sounding board with a team of entrepreneurs
 one-on-one entrepreneur mentoring
 “forced” acceleration of idea
 understanding of how to market and leverage idea
 assistance to develop the collateral to, present, transact
and start attracting
 a framework to help build communication, management
skills and financial literacy
 connections into the investment community both
nationally and internationally