Points to note when you are fund raising:
1. Do your homework — Your job is to get your fund raising materials (deck, financials) to a level that is ready to be communicated and consumed. It will constantly be updated as you move along in your business as well as while you are pitching. Research your target investors really well to better optimise conversion rates (which stage and average check size, geography (your beach head market vs your eventual markets), sectors, do they lead or follow, post investment engagement with the company etc.).
2. Have a different mindset from selling — Your job is to get your “nos” as quickly as you can as you go down the list of investors to reach out to as opposed to trying to convince an investor and wrestle them down to a “yes”. Investors know what they like to invest in, that is their day job. From your own research and interviews with founders who received investments from investors, you are only maybe 70% of the way there as far as you how much you know an investor and what do they like to invest in “at this time”, it will never be apparent.
3. Start with 3 warm up pitches followed by 7 ones — Use the first 3 pitches to hone your real-time pitch down, have a cofounder be in the room as well to jot down frequently asked questions and watch for any visual cues that signals that your pitch is weak or strong. If you get 10 straight rejections, stop fund raising and regroup with your team, advisers/investors and find out what is wrong. Sometimes its you, the targeted investors, or its because the investment environment has changed. Find out the cause and tweak (A/B test it) your approach again. Sometimes you need to hit a different set of investors to talk to, and most times it is not your pitch style or flow. And of course, there are times when the reason is you. But trust me, there are enough investors out there now to invest in all types of founders, so just keep going.