Lesson Progress:

Module 5 - Funding & investment

7. Module 5 Wrap-up

Key take-aways

  • Don’t forget your personal finances – Plan how you’re going to support yourself when things take twice as long as they should (because they always do). Consider holding on to your full-time job or working part-time in the beginning and working on your business idea in your free time.

Time to stop and think: How much personal runway do you have? What sacrifices are you willing to make if/when things get tough? Are you willing to give up certain expenses or certain aspects of your lifestyle to run a startup?

  • There are many types of funding (grants, crowdfunding, debt and equity) with pros and cons, so think carefully about your funding strategy.

Time to stop and think: are you willing to give up a share of your business in exchange for investment? If yes, do you want generalist or strategic investors?

  • To raise equity investment, you need to define your funding needs and business valuation, nail your elevator pitch and pitch deck, master your pitching skills and find opportunities to pitch to investors. Be prepared to sort out legal documents with lawyers and figure out how to manage investor relations.

Time to stop and think: how much capital are you looking to raise? What will you use the funds for? What do you want to achieve and prove before raising money again? How much value will the fundraise add to your business? How will you manage investor relations?

  • In addition to raising funds, crowdfunding is a great way to share your story, create a buzz around your brand and get your product in consumers’ hands. However, crowdfunding is anything but easy. It requires a lot of work and preparation. To reach your target, you need more than a great story.

Now, let’s get active!

  1. Figure out your personal finances. How will you support yourself at the beginning of your startup journey, especially when things take longer than expected?
  2. Come up with a funding strategy. Are you going to apply for grants, rely on crowdfunding,
    raise debt and/or raise capital from investors for a share of your business?
  3. Create a pitch deck of 15 slides showing key aspects of your business plan. Be creative and use the deck to tell a story that engages your audience emotionally.

Additional Resources

To learn about EU funds and support, check out these websites:

Thinking about turning to the crowds for capital? Read these articles for more information on crowdfunding:

Useful information and advice for raising money and nailing your pitch:

How To Raise Money
http://paulgraham.com/fr.html

13 Tips on How to Deliver a Pitch Investors Simply Can’t Turn Down https://www.entrepreneur.com/article/251311

These resources will help you create an awesome pitch deck so you can go get that money:

30 Legendary Startup Pitch Decks And What You Can Learn From Them https://piktochart.com/blog/startup-pitch-decks-what-you-can-learn/

6 Keys to Writing Great Investment Teasers
https://www.axial.net/forum/6-keys-to-writing-great-teasers/