This document provides guidance on creating an effective fundraising message. It recommends clearly communicating: (1) the problem being solved, (2) how you are the right team to solve it, and (3) evidence you are already making progress. Key elements to address include the problem statement, solution, growth plans, traction metrics, business model, market size, and competitive advantages. Examples are provided on how to structure the narrative and key metrics investors want to understand like customer acquisition cost, marketing ROI, and customer lifetime value. The overall advice is to tell a clear, concise story that addresses the key questions and concerns of investors.

1. How to Create a
Fundraising
Message That
Works
Parth Mukherjee – Head of Marketing Jifflenow
Rahul Thomas Mathew- Product Marketing Manager Jifflenow

2. We will cover
• Problem statement
• Solution statement
• Expressing your business plan and strategy
• Explaining growth plans
• Establishing traction
• Metrics that you should be ready with

3. What To Convey
1. This is an important problem that needs to be solved
2. We’re the right people to solve this problem
3. We’re already making it happen

4. What is the problem statement?
THIS is why we exist. THIS is what we
aim to solve. THIS is why customers
will care.
Has to be simple.

5. Define & Communicate the “WHY”
Simon Sinek’s
Golden Circles

6. How to Communicate “WHY”
The Setting
The Conflict
The Resolution

7. How to Communicate “WHY”
The Setting
The Conflict
The Resolution

8. State How You Solve It
1. Simple solution statement (<5 words)
2. Benefits versus Capabilities / Features. Use both.
Appeal to the emotional and the rational benefits

9. POP
Awareness Education Selection
Value Creation Moment
Emotional decision Rational decision
Problem
Selling
Problem solving
Pitch
Ask
Close
Educate
Communicate to VCs the Same Way as Initial Customers
On-boarding Use Expansion

10. Early Traction
1. Logos if applicable (B2B)
2. Scale if applicable (B2C)
3. Conversion rates
4. Key benefits customers have seen
5. Quotes

11. Business Plan
1. How much people are paying / will pay for it? Why?
2. Pricing plan (per users versus usage / Silver, Gold,
Platinum plans)
3. Projections (100 customers * 100 users * Rs 1000/ user)

12. Market Size
TAM
• Demographic?
• Potential numbers?
• Size of Wallet

13. Growth Plan
1. How will you spend the investment
2. Key areas that need attention in the next x months
3. Key targets that you will achieve based on it
4. 1 or 2 slides at best

14. Competitive Barriers / Your Advantages
What’s your unfair advantage?
1. How are you better placed at solving the problem
2. Relevant experience
3. Competitive barriers you are setting up

15. Example - BHive

16. BHive
Cover – Bhive Coworking Space
Target: Early-stage Startups in Bangalore
Problem:
• Setting - Early-stage startups in Bangalore work in isolated
apartments without expert help.
• Conflict – Lack of co-operation when working in distributed
team; Spend time in infrastructure setup instead of
innovation; Run around for advice, often don’t find any
• Resolution – High quality, plug-and-play workspaces with a
host of advisors

17. BHive
Solution:
• Workspaces that inspire people à Cool and inspiring design
• Benefit fro the experience of others who’ve succeeded à
Learning session from experts
• Save time to build what matters à Pre-packaged infra
• Be known in the startup space à Networking events
Early traction – names of startups, founder quotes
Business plan – price per seat, # locations, # of seats

18. BHive
Market Size – 5,000 pre-angel startups in Bangalore, average 2
pax per startup, seat cost Rs X per person per month
Growth plan - # of locations, support functions that have to be
established
Competitive barriers – have access to key properties across
Bangalore, pre-built network of experts, in-house architect, no
alternates

19. Now You Go!

20. Marketing Metrics that matter to investors
1. Customer Acquisition Cost
(CAC)
2. Marketing as a % of CAC
3. Ratio of CLV to CAC
4. Time to payback CAC
5. Marketing Originated
Customer %
6. Marketing Influenced
Customer %

21. Customer Acquisition Cost
How to Compute this Implications for Marketing
All sales & marketing
costs in a period/ Total
number of new
customers in that period
An increase means
Marketing/Sales spend
might not be efficient

22. Marketing as a % of Customer Acquisition Cost
Total Marketing costs/
Total marketing and
Sales cost used to
calculate CAC
An increase can mean 2 things
1. Marketing spend was not
efficient enough
2. Your Marketing model is
one where Marketing is
doing a big chunk of the
work to bring customers
How to Compute this Implications for Marketing

23. Ratio of Customer Life Time Value to Customer
Acquisition Cost
How to Compute this Implications for Marketing
A high ratio means you have a
higher ROI on Sales &
Marketing
Total annual payments from a
customer/(churn rate*CAC)

24. Time to payback CAC
How to Compute this Implications for Marketing
A higher payback means that
you take longer to earn back
the CAC
CAC/how many customers pay
you on average each month

25. Marketing Originated Customer %
How to Compute this Implications for Marketing
A higher percentage means
marketing is responsible for
driving a lot of the new
customers and sales isn’t as
effective
Percentage of all new
customers that came from a
lead that marketing generated

26. Marketing Influenced Customer %
How to Compute this Implications for Marketing
An increase in this % means
that Marketing is helping
influence more buying decision
making
Percentage of all new
customers for a specific period
who had any interaction with a
marketing activity

27. Things To Remember
1. The problem statement is your most important slide
2. Do not cram. Make every slide clear and concise
3. Include details on distribution, customer acquisition
4. Send only PDFs
5. Tell a story