Why is this Important?: You will need funding to take the company through the proof of concept stage and leave sufficient time to raise additional funding
|Key Actions||Things to Consider||Tool Kit|
|Educate yourself on general terms and instruments used in early stage funding||Understand common financing terms (i.e. pre-money valuation) and those used in term sheets
Study various financing vehicles (Notes, Equity)
|Financial Terms Definitions|
|Create a 10 min investor pitch suitable for raising money||Are all your assumptions covered?
The Feasibility Report and the investor pitch should compliment and match content
|Pitch Deck Template|
|Practice pitch in front of experienced investors & experts||Expect & encourage questions. Are all of them addressed in the pitch?
Plan to iterate the presentation many times before actually pitching
|LSWI Pitch Coaching and Consulting|
|Put together a budget that will get you through Proof of Concept and Series A financing||Try to be a virtual company as long as possible
Only spend money on things that create value
|Startup Financials Template|
|Identify potential investors:
Non-Dilutive Funding: Government grants, etc
|Good investors bring more than money to the party i.e. expertise, network, credibility, etc
||WA Investor Database
LSWI SBIR Grant Writing Program
|Raise enough money to get you through Proof of Concept and to Series A financing||Don’t try to raise money before you firmly understand your final value proposition
Do you have a valuation?
Take money when it is offered and, if possible, take more than you think you need.