Giving to Investors as a Startup Founder

Too often, founders come to meetings with investors feeling inferior, as though all of the power is in the hands of the investor.

Sure, you are asking for money, and yes, most startup investors see a lot of investment opportunities and get to choose the ones they like the most.

Still, an investment is a business transaction, and it will only happen if it is in the best interests of both parties.

Come to the meeting with an investor from a position of strength and confidence.

One way to do that is to remember that you have a lot to give investors. You're not coming just to ask or take.

You have a lot more to give than you might realize.

Too many founders miss this point entirely, but this approach to networking can reshape your interactions with investors, enhancing your chances of raising the capital you need, all while building strong, reciprocal relationships.

You can give the investors you meet the following three:

1. Opportunity: You must be raising money for an opportunity that you believe in. In other words, you’re not just there asking for cash; you’re offering them a ticket to participate in what you hope will be a successful venture. This is a unique opportunity you are providing them, and there are no others like it.
2. Knowledge: As the person driving a start-up, you’re working on the front lines of your market, putting together something special and unique. This grants you a deep insight into market movements and technological trends. Your unique perspective can prove invaluable to investors, who appreciate this level of insight to spot new trends and opportunities.
3. Connections: Finally, don’t overlook the power of your connections. While it might seem like the investor has a vast network that you want to tap into, don’t forget that you can also offer your own. Whether it’s other founders you can introduce, or other investors you know, your network can be a valuable asset.”

Knowing what you have to offer investors will give you the confidence to position yourself correctly, so that you close an investment deal that benefits all parties involved.