A Useful Guide for Founders, Part I
Starting up your own company can be a daunting process, especially from a founders’ perspective. Recognizing this, we wanted to share a list of valuable articles that can help you get started. In addition, this list can act as a guide so that potential founders can navigate the process with less fear and more confidence.
- The Pitch Deck
You’ve got a great idea. But how do you present it to potential investors? Through a pitch deck — an elevator pitch where founders present their company to prospective angel or venture capital investors. Pitch decks vary in length, but they usually consist of 15–20 slides to showcase its product, market, perks, team, and technology. Writing a good pitch deck can be challenging. So how do you articulate a compelling story? Keep your presentation short but to the point? The following articles could potentially provide some insight.
A Guide To Investor Pitch Decks For Startup Fundraising. Forbes. https://www.forbes.com/sites/allbusiness/2020/06/20/guide-to-investor-pitch-decks-for-startup-fundraising/?sh=2b7fcf515a5a
This Forbes article provides a general overview of how to prepare a pitch deck. It lists the Do’s and Don’t’s and the points that a founder should cover in their presentation. It’s a great place to start.
17 Pitch Deck Slide Examples: The Good, The Bad, The Ugly. Crunchbase. https://about.crunchbase.com/blog/pitch-deck-slide-examples/
Now that you’ve gotten an overview of what a pitch deck entails look at these examples of templates inspired by real-life startups and businesses. Each template comes with annotations, and by looking at these examples, founders can hopefully pick up some golden rules: don’t make your slides too wordy or use confusing visuals; instead, present your information in a bitesize, consumable manner.
Experts’ Corner: Pitch Deck Tips for Fundraising Success. https://www.toptal.com/finance/pitch-deck-consultants/best-pitch-deck-examples-and-tips
You’ve got the basics down but still feeling unsure? Then, read this article: an excellent synthesis of the points mentioned in the two articles above.
2. Structuring
Structuring is a crucial but often overlooked step to the success of a start-up. While there may be the common misconception that small-scale companies don’t require a clear structure, these articles will hopefully change the minds of budding founders. From our experience, we can see that startups that execute the boring stuff well significantly de-risk the initial phase of getting from 0 to 1, can better deal with external setbacks, and have a more solid foundation going forward.
The Anatomy of a Startup Organisation.
https://www.dave-bailey.com/blog/the-anatomy-of-a-startup-organisation
This article gives a clear overview of the different ways to organize a start-up, providing founders with a fundamental understanding of positions and roles within a standard company.
How to Design an Organizational Structure for Your Startup.
https://m13.co/how-to-design-an-organizational-structure-for-your-startup/
This article illustrates how structuring is crucial for internal organizations and how it impacts the recruitment process. Having a clear structure sends a message of the talent a start-up is looking for and how they fit into a company's broader goals and objectives.
Capital structure that attracts investors to your tech startup.
https://learn.marsdd.com/article/capital-structure-that-attracts-investors-to-your-tech-startup/
What kind of structure do investors appreciate? This article provides a clear crash course on the key terms that founders will hear when discussing the set-up of the start-up’s capitalization structure.
3. Investing
Investors are crucial for start-ups to gain much-needed capital and accelerate their growth. Thanks to our technological connectedness, access to investors have become more accessible. However, this also means that competition has increased exponentially, and therefore standing out among other startups and projects has become all the more critical. Please take your time to find out more about your investors and reach out to them before you start raising to build a relationship. It will significantly increase your chances of raising your round.
Want To Find Investors For Your Startup? Here’s How To Begin
A Guide To Venture Capital Financings For Startups
Nine Ways Small Businesses Can Better Reach Out To Investors
https://www.forbes.com/sites/forbesbusinesscouncil/2019/10/2
4/nine-ways-small-businesses-can-better-reach-out-to-investors/?sh=44bccff63889
Here we present a trifecta of Forbes articles that provide founders with valuable information on investing: finding investors, reaching out to investors, and smarter ways to finance for startups. The importance of demonstrating traction and focusing on profit retention are also covered.
4. Managing expectations
Being a founder of a start-up comes with goals, missions, and objectives, but it also comes with certain obligations. Treat the following articles as emotional support on how to manage your expectations as a founder. Communicate often and in detail. It’s better to overshare than leave your investors wondering (and lower you as a priority).
How to manage investor relations as a founder.
https://medium.com/swlh/how-to-manage-investor-relations-as-a-founder-a5fc3c64fa1d
The importance of open communication, honesty, and mutual understanding are things that are often overlooked. This article not only acts as a reminder of the traits founders must practice, but it also gives the valuable suggestion of tailoring your collaboration between founders and investors.
6 Necessary Ways to Manage Investor Expectations.
https://www.inc.com/springboard/6-necessary-ways-to-manage-investor-expectations.html
Through an interview with founder Bettina Hein, CEO of Pixability, this article provides a real-life example of building and maintaining relationships with investors. Through her sharing, founders will realize that entrepreneurship is hard work: it takes a look of patience and determination to succeed.
What can an entrepreneur expect from an investor?
https://startups.co.uk/funding/investors/what-can-an-entrepreneur-expect-from-an-investor/
What should an entrepreneur expect from an investor and then do to bring their expectations to life? Seasoned angel investor Matthew Cushen shares some valuable advice on how founders should work with investors on board. His biggest tip? Be proactive and ask for help when necessary.
