How to Approach Investors

By Steve Walsh, Techstars Mentor-in-Residence and Founder of Hands On Angel LLC

Hello Founders,

Approaching investors can be a daunting task, but with the right strategy, you can make a lasting impression and build meaningful connections. In this blog post, we share essential pointers on how to approach investors effectively.

Before Reaching Out - Engage

Before sending a message to a potential investor, take time to engage with them and build a rapport. Here are some tips:

• Like and Comment: Interact with their posts on social media by liking and commenting. Show genuine interest in their content.

• Feedback: Provide thoughtful feedback on their events, speeches, or posts. This will make them more likely to remember you and respond positively.

Crafting Your Message

When you're ready to reach out, keep these points in mind:

• Be Concise: Keep your message short and to the point.

• Find Common Ground: Mention any commonalities, such as attending the same school or having mutual connections.

• Brief Introduction: Introduce yourself and highlight your startup's traction briefly.

• Clear Ask: Clearly state what you want — whether it's guidance, advice, or a coffee meeting.

• No Immediate Investment Request: Avoid asking for money or an investment right away. Focus on building a relationship first.

What Not to Do

To ensure your approach is effective, here are some things to avoid:

• Unsolicited Pitch Decks/Demos: Don't send pitch decks or demos without prior communication.

• Starting with the Product: Begin with your story and who you are, not just your product.

• Multiple Requests: Avoid overwhelming the investor with different or too many asks.

Closing Note

Approaching early-stage investors doesn’t have to feel intimidating. By taking the time to engage authentically, crafting personalized messages that build rapport, and focusing on relationship-building before seeking investment, you set a strong foundation for successful connections.

Keep building, folks!