• Fundraising markets

  • Sources:

    Here are some insights on fundraising markets from various experts:

    1. Sumeet Gajri emphasizes a strategic approach to fundraising that involves identifying potential investors early, building relationships, and refining the narrative over several months. This includes A/B testing narratives with different investors to determine what resonates most and preparing a strong pitch to quickly engage and secure the best outcomes when officially fundraising 1.

    2. Kanyi Maqubela advises against viewing fundraising as a business model itself. Instead, focus should be on building a sustainable and capital-efficient business. He underscores the importance of investing in branding, which can be a resilient asset in the long term 2.

    3. Gergely Orosz points out the risks of burning bridges during the fundraising process. He highlights the importance of maintaining good relationships with potential investors, as falling out of favor can severely impact the ability to raise funds in the future 3.

    4. Jenna Brown shares that fundraising in the US can be more efficient due to a more liquid market, resulting in faster decision-making from investors. Despite some investors preferring local founders, being transparent about your constraints (like geographical location) can still lead to successful fundraising 4.

    5. Henry Ward suggests treating fundraising as a discrete activity, focusing on operations for 12-18 months between rounds to build a strong and attractive business. When ready to raise, create an auction-like process to maximize competition and terms 5.

    6. Henrique Dubugras views fundraising as a continuous process. He believes in consistently developing relationships with VCs, making it easier to secure funds when needed. Good companies will still be able to raise money even in a downturn, though it may affect valuations and funding amounts 6.

    These diverse strategies highlight the importance of preparation, relationship-building, and the right timing in the fundraising process.

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