The Art of Startup Fundraising

1 - The Art of Startup Fundraising: Pitching Investors, Negotiating the Deal, and Everything Else Entrepreneurs Need to Know [Seite 1]
1.1 - Contents [Seite 9]
1.2 - Foreword [Seite 15]
1.3 - Acknowledgments [Seite 19]
1.4 - 1: Everything Started with Onevest [Seite 23]
1.5 - 2: Raising Capital for Your Startup [Seite 27]
1.5.1 - Speeding Up the Machine [Seite 27]
1.5.2 - It's Not as Easy as Reading an Article on TechCrunch [Seite 28]
1.5.3 - The 18- to 24-Month Plan [Seite 29]
1.5.4 - Milestones [Seite 30]
1.5.5 - Breaking Even [Seite 31]
1.5.6 - Expectations of Investors [Seite 31]
1.5.7 - Outperform the Competition [Seite 33]
1.5.8 - Marketing [Seite 34]
1.5.9 - Storytelling [Seite 35]
1.5.10 - Leveraging Help [Seite 37]
1.5.11 - Divide and Conquer [Seite 38]
1.5.12 - The Rollercoaster of Emotions [Seite 39]
1.5.13 - Learn to Love Rejection [Seite 40]
1.5.14 - Connect the Dots [Seite 41]
1.5.15 - The Pros and Cons of Raising Capital [Seite 43]
1.5.16 - Don't Underestimate the Need for Capital [Seite 44]
1.6 - 3: Setting Yourself Up for Success [Seite 47]
1.6.1 - Investors Don't Want to Invest [Seite 47]
1.6.2 - The Core of Your Business [Seite 48]
1.6.3 - Experienced and Talented Management [Seite 49]
1.6.4 - Organize Your Corporate Structure with a Legal Team [Seite 50]
1.6.5 - Helpful Advisors [Seite 51]
1.6.6 - Building Momentum [Seite 53]
1.6.7 - Team Alignment [Seite 53]
1.6.8 - Show Your Competitive Advantage [Seite 54]
1.6.9 - Know Your Terms [Seite 55]
1.6.10 - Vision [Seite 56]
1.6.11 - Attracting Investors Requires Patience [Seite 57]
1.7 - 4: Crafting the Pitch [Seite 59]
1.7.1 - The Business Plan Problem [Seite 59]
1.7.2 - Get the Message Straight and Your Team behind It [Seite 60]
1.7.3 - The Elevator Pitch [Seite 62]
1.7.4 - The Effective Elevator Pit [Seite 62]
1.7.5 - Six Quick Tips for Mastering the Elevator Pitch [Seite 63]
1.7.6 - The Pitch Deck [Seite 63]
1.7.7 - Awesome, Effective Pitch Deck Design [Seite 65]
1.7.8 - The One Pager [Seite 67]
1.8 - 5: The Due Diligence Package [Seite 69]
1.8.1 - Sample Startup Due Diligence Checklist [Seite 70]
1.8.1.1 - Cap Tables [Seite 81]
1.8.1.2 - References and Background Checks [Seite 82]
1.8.2 - The Interview and the Visit [Seite 83]
1.8.3 - Find Balance [Seite 84]
1.9 - 6: Sources of Capital [Seite 87]
1.9.1 - Bootstrapping [Seite 87]
1.9.2 - Credit Cards [Seite 89]
1.9.3 - Business Loans [Seite 90]
1.9.4 - Friends and Family [Seite 91]
1.9.5 - Crowdfunding [Seite 93]
1.9.6 - Angel Investors and Super Angels [Seite 96]
1.9.7 - Angel Groups [Seite 98]
1.9.8 - Family Offices [Seite 99]
1.9.9 - Venture Capital [Seite 100]
1.9.10 - Venture Debt [Seite 102]
1.10 - 7: Understanding the VC Game [Seite 103]
1.10.1 - Defining Roles in a VC Firm [Seite 103]
1.10.2 - The Process of Getting Funded by a VC [Seite 105]
1.10.3 - How VCs Monetize [Seite 106]
1.10.4 - VC Involvement in Your Company [Seite 107]
1.10.5 - Understanding the Value a VC Brings [Seite 107]
1.10.6 - Cutting through the VC Noise [Seite 108]
1.10.7 - Differences between Venture Capital and Private Equity [Seite 109]
1.11 - 8: Investment Rounds Explained [Seite 111]
1.11.1 - Friends and Family [Seite 111]
1.11.1.1 - What Are the Aims of a Preliminary Investment Round? [Seite 112]
1.11.1.2 - Who Are Preliminary Investors? [Seite 114]
1.11.1.3 - Does My Startup Need a Preliminary Investment Round? [Seite 114]
1.11.2 - Micro Seed Round [Seite 114]
1.11.2.1 - What Are the Aims of a Micro Seed Investment Round? [Seite 114]
1.11.2.2 - Does My Startup Require Micro Seed Investment? [Seite 116]
1.11.3 - Seed Round [Seite 117]
1.11.3.1 - What Is Seed Investment? [Seite 117]
1.11.3.2 - Who Are Seed Investors? [Seite 118]
1.11.3.3 - Does My Startup Need Seed Investment? [Seite 119]
1.11.4 - Series A Round [Seite 119]
1.11.4.1 - What Are the Aims of Series A Investment? [Seite 119]
1.11.4.2 - Who Are Series A Investors? [Seite 121]
1.11.4.3 - Do I Need Series A Investment? [Seite 121]
1.11.5 - Series B, C, D Investment Rounds [Seite 121]
1.11.6 - Initial Public Offering (IPO) [Seite 122]
1.11.6.1 - What Is an IPO Investment Round? [Seite 122]
1.11.6.2 - Who Are IPO Investors? [Seite 123]
1.11.6.3 - Should I Take My Company Public? [Seite 123]
1.11.7 - Research Is Critical [Seite 124]
1.12 - 9: Deciding InvestmentAmounts and Prospects [Seite 125]
1.12.1 - Needed, Realistic, and Ideal Investment Levels [Seite 125]
1.12.2 - Your Valuation versus Market Valuation: The Asking Price [Seite 127]
1.12.3 - Persuading Investors with a Financial Forecast [Seite 128]
1.12.4 - Identifying Prospective Investors [Seite 130]
1.12.5 - Six Ways to Contact Investors [Seite 131]
1.12.6 - Creating a Buzz around Your Startup [Seite 133]
1.13 - 10: PR: Creating a Storm and Building Momentum [Seite 135]
1.13.1 - The Rainmaker Code [Seite 135]
1.13.1.1 - Synergy [Seite 136]
1.13.1.2 - Efficiency [Seite 136]
1.13.2 - Journalist Outreach [Seite 136]
1.13.3 - Six Hacks for Effective Journalist Outreach [Seite 137]
1.13.4 - Self-Distributed Press Releases [Seite 138]
1.13.4.1 - Best Practices for Creating Your Own Press Releases [Seite 140]
1.13.5 - Ten Things to Publish in a Press Release [Seite 140]
1.13.5.1 - How to Maximize Your PR ROI [Seite 141]
1.13.6 - More Buzz-Building Tactics for Smart Startups [Seite 141]
1.13.6.1 - Partnerships and Business Development Deals [Seite 141]
1.13.6.2 - Month-over-Month Growth [Seite 142]
1.13.6.3 - Product Launches and Events [Seite 142]
1.13.6.4 - Social Media and Blogging [Seite 143]
1.14 - 11: What to Look For in an Investor [Seite 145]
1.14.1 - Three Keys to Landing the Best Investors [Seite 145]
1.14.2 - Why Selecting the Right Investors Is So Critical [Seite 145]
1.14.3 - Three Factors You Should Be Looking For in Investors [Seite 146]
1.14.3.1 - Factor 1: Domain Experts [Seite 146]
1.14.3.2 - Factor 2: Connected [Seite 146]
1.14.3.3 - Factor 3: Financial Strength [Seite 147]
1.14.4 - Three Factors to Avoid in Investors [Seite 148]
1.14.4.1 - Factor 1: Greed [Seite 148]
1.14.4.2 - Factor 2: Lack of Scruples [Seite 148]
1.14.4.3 - Factor 3: The Takeover [Seite 149]
1.14.5 - Six Key Questions to Ask Potential Investors [Seite 150]
1.14.6 - Speed Is a Two-Way Street [Seite 150]
1.14.7 - Arming Yourself with Answers [Seite 151]
1.15 - 12: Term Sheets and Terms [Seite 153]
1.15.1 - Term Sheets 101 [Seite 153]
1.15.2 - Terms within Term Sheets That You Need to Know [Seite 162]
1.15.2.1 - Convertible Notes [Seite 162]
1.15.2.2 - SAFE Notes [Seite 163]
1.15.2.3 - Investment Tranches [Seite 164]
1.15.2.4 - Board Seats [Seite 164]
1.15.2.5 - Antidilution Provisions [Seite 164]
1.15.2.6 - Miscellaneous Terms and Clauses [Seite 165]
1.15.3 - Term Sheet Tactics [Seite 165]
1.15.3.1 - Red Flag Terms to Watch Out For [Seite 165]
1.15.4 - Smart Term Sheet Strategies [Seite 166]
1.15.5 - If Things Don't Go Forward [Seite 167]
1.16 - 13: Closing the Deal [Seite 169]
1.16.1 - The Importance of Urgency [Seite 169]
1.16.2 - Creating a Completion Schedule [Seite 170]
1.16.3 - Managing Expectations [Seite 171]
1.16.4 - Updating Your Investors [Seite 173]
1.16.5 - Closing the Deal Is Not the End of the Deal [Seite 174]
1.17 - 14: Avoiding Common Fundraising Mistakes [Seite 175]
1.17.1 - Failing to Connect [Seite 175]
1.17.2 - Clarity and Doing What You Say [Seite 177]
1.17.3 - Self-Sabotage in the Deal-Making Process [Seite 180]
1.18 - 15: Understanding the JOBS Act [Seite 183]
1.18.1 - The Game Changer [Seite 183]
1.18.2 - The JOBS Act [Seite 184]
1.18.2.1 - Title I [Seite 185]
1.18.2.2 - Title II [Seite 185]
1.18.2.3 - Title III [Seite 188]
1.18.2.4 - Title IV [Seite 193]
1.18.3 - Implications for Startups and Raising Money Online [Seite 195]
1.18.4 - Implications for Individual Investors [Seite 196]
1.19 - 16: Recommended Tools for Fundraising [Seite 199]
1.19.1 - Using the Right Tools [Seite 199]
1.19.2 - Organization [Seite 200]
1.19.3 - Research [Seite 203]
1.19.4 - Social Media [Seite 204]
1.19.5 - Outsourcing [Seite 205]
1.19.6 - Sales and Administration [Seite 206]
1.19.7 - Finding Your Investors [Seite 207]
1.20 - 17: Red Flags [Seite 209]
1.20.1 - Key Red Flags for Startups [Seite 209]
1.20.1.1 - Red Flags for Investors [Seite 210]
1.20.1.2 - Too Many Members of the Founding Team [Seite 210]
1.20.1.3 - Overhead Is Too High [Seite 210]
1.20.1.4 - Buzzwords [Seite 210]
1.20.1.5 - Founders Have Other Jobs [Seite 211]
1.20.1.6 - Founders Have No Other Source of Income [Seite 211]
1.20.1.7 - Poor Credit Ratings [Seite 211]
1.20.1.8 - Weak Marketing Plans [Seite 211]
1.20.1.9 - Relying Only on Paid Advertising [Seite 212]
1.20.1.10 - Blind Optimism [Seite 212]
1.20.1.11 - Claims of Having No Competition [Seite 212]
1.20.1.12 - No Technical Founders [Seite 212]
1.20.1.13 - Asking for Too Much or Too Little Capital [Seite 212]
1.20.1.14 - Poor Use of Previous Funds [Seite 213]
1.20.1.15 - Early Investors Not Participating in Additional Funding Rounds [Seite 213]
1.20.1.16 - Entrepreneurs Have No Financial Skin in the Game [Seite 213]
1.20.1.17 - Lack of Momentum [Seite 213]
1.20.1.18 - Moving the Ball Forward . . . [Seite 213]
1.21 - Glossary [Seite 215]
1.22 - About the Author [Seite 219]
1.23 - Index [Seite 221]
1.24 - End User License Agreement [Seite 227]