
In general, the following milestone of your business usually attracts, and become more valuable in the eyes of an investor:
- CEO and management teams with proven track records;
- Strong customer validation (i.e., people are buying your product or service in good numbers);
- A potentially huge market for your products or services;
- A defensible business model that can generates recurring profits;
- A good story, well told;
- A significant return on investment;
- A well-defined exit strategy with credible options, and a projected timeframe that meets investor expectations;
and, be prepared to deliver all these on a pitch in no more than 20 minutes.
Key Takeaways
Think of the capital raising process as a series of challenges that must be overcome one by one before getting your money – the journey begins with first impressions followed by investor scrutiny in each of the above milestones, roughly in the same sequence of consideration.