What Not To Do When Reaching Out to Investors!

Warm Introductions Work Best

Leverage your existing network to secure introductions rather than sending cold emails or making unsolicited calls. A credible recommendation from a mutual connection—such as a former investor, a board member, or an industry leader—can significantly increase your chances of catching an investor’s attention. Investors receive tons of inquiries, and one way to stand out is by being introduced by someone they trust. Many venture capitalists prioritize warm introductions, as their deal flow is often overwhelming. Strategically plan your approach to potential investors, which could set the tone for your future relationship with them. First impressions matter, and making the right one from the start can prevent the need for a second chance.

Research Angels, VCs, and Investment Thesis/Portfolios

It may be easier to send a mass message on LinkedIn, but you will reach many investors who are uninterested in your company. Do some research and find out who is investing in your sector. Every Angel Investor or VC lists their entire portfolio and investment criteria on their website, and you can make a case for why they should be considering your startup. For better results, be very targeted in whom you reach out to.

When to Reach Out? Before You’re in Urgent Need

That’s the worst time to seek investment. Instead, you should present your startup when it’s performing well, with strong metrics and a solid position. Ideally, you should initiate discussions even before actively seeking funding. Even if you don’t need immediate investment, establishing relationships with investors early on provides several key advantages:

Early engagement allows you to build relationships with investors over time. When the moment arrives to seek funding, you’ll already have direct access to a warm contact rather than relying on cold outreach. It’s always easier to negotiate with someone you’ve built rapport with rather than trying to make an impression from scratch.

.

Keep things simple

When reaching out to an investor, a blurb can land in front of anyone, so it must be universally accessible and easy to digest. Use simple words any member of your target audience can understand with ease. Avoid obscure industry jargon and complicated, rambling sentences. Well-crafted blurbs don’t need those things to get the message across. Keep your blurb short. Even people who genuinely want to know what a book, product, company, or person is all about are unlikely to be patient enough to read through multiple paragraphs of text. Great blurbs are concise, snappy, and get straight to the point using minimal words.