#FundraisingFriday Tip 3— Pipeline

Practical tips for founders who are fundraising

Will be publishing fundraising tips every Friday for entrepreneurs who are embarking on the arduous journey of convincing VCs to give them money.

Tip #3:

Always have a pipeline of customers ready. VCs want to sell who you’re selling to and possibly do a few reference calls with them to understand how receptive the market is to your product. While this mainly applies for B2B companies, B2C companies can do something similar (I’ll get into that in a later post). You should have documents showing the following:

• Stage of sale (initial conversation, product demo, proposal requested, terms negotiation, verbal, LOI, closed)
• Size of initial contracts (aka pilot contracts)
• Size of maximum contracts (looking for potential to up sell)
• Losses (which accounts did you lose ←This is important!!!)

Hope this helps and stay tuned for more #FundraisingFriday tips!