Fundraising advice from 18 founders and investors, side by side.
This is the fundraising advice every guest on the show has given so far, sorted into seven questions. Where they disagree, both sides stand next to each other. Every card plays the exact moment it was said.
How long does it take to raise a round?
From one weekend to two years. The fastest rounds here ran on relationships built long before anyone asked for money.
Kirk DonohoeFounder, GRANDOne weekend: Closed a pre-seed with investors he had worked with before: a call on Friday, then calls on Saturday and Sunday.
35:03
Lars EickhoffCo-founder, DeepImmoOne week: A family office pre-seed, structured within one week after relatively quick conversations.
16:23
Marnix StokvisCEO, AquabluSix to eight weeks: Start to end, once a well-known former CEO from consumer electronics agreed to lead and helped bring in more angels.
28:26
Jessica LiewFounder, IntriqTwo to three months:
4:11Somewhere between like two to three months, I think, in the end.
Sam Tidswell-NorrishFounder, OPUSAbout three months:
35:02It was a short fundraise. It was maybe three months and we raised $2.2 million.
Florian MyterCo-founder, WeavelySix to eight months:
28:55It took a good six to eight months. I think I contacted a good 60 people.
Armon ShareiFounder, Portal BioSix to 12 months: Private rounds are a long six to 12 month process full of negotiation. On public markets, a raise can happen overnight.
28:04
Juanjo MestreCEO and co-founder, DcycleAlmost a year of talks: The Series A went to four or five investors he had been talking to for almost a year, until two of them said it was time.
22:59
Vlad SarcaGeneral Partner, Sparking CapitalHis venture fundMore than a year:
15:25It took us more than one year to launch it.
- Sam Tidswell-NorrishFounder, OPUS
A private equity fund24 months, on average: What a placement agent told him a private equity fund takes on average. Within 12 months, you are crushing it.
21:51
Log scale. Each bar is one round or fund, as the guest describes it.
Warm introductions or cold outreach?
Most guests go warm and ask more than once. Two of the bigger checks on this page came cold, because the approach was narrow and researched.
Warm intro first
Lars EickhoffCo-founder, DeepImmoAt the latest, the third person which tells you to talk to this person, you will talk to him.
Christian RebernikCo-founder and CEO, Tomorrow UniversityGive at least three to five times before you ask for anything.
Sam Tidswell-NorrishFounder, OPUSWarm introductions obviously is better. Doing something that can't be ignored is even better again.He put stealth mode on his profile as bait
Kirk DonohoeFounder, GRANDFlorian MyterCo-founder, WeavelyTargeted cold works
If they don't know us, it's fine to just send a deck, a deck that is well prepared.
Vlad SarcaGeneral Partner, Sparking CapitalOne of our larger investors is actually a cold outreach from being super, super targeted.
Jessica LiewFounder, IntriqMarnix StokvisCEO, AquabluDespite what all investors say, it's a really poor way to reach an investor.On the cold email
Kirk DonohoeFounder, GRANDWe were always told warm introductions are better than cold outreach. I don't know, I, I don't necessarily agree with that.On the same rule
Jessica LiewFounder, IntriqHow much does the pitch deck matter?
Investors skim it in minutes. Several guests won their round with something else: traction, a monthly memo, or a first call without slides.
The average time we see spent reading the pitch deck is about three minutes.
Denis KalyshkinVenture investor, 2BF Global VenturesKirk DonohoeFounder, GRANDSpend zero time on your decks, spend 100% of your time trying to win business.
James MarksFounder, CanopyCloudJames MarksFounder, CanopyCloudFlorian MyterCo-founder, Weavely
Nicolas WeberFounder, Medneo. InvestorChristian RebernikCo-founder and CEO, Tomorrow UniversityWhat do investors look for, and what are the red flags?
A solution many times better than what exists, founders who know the industry, and a clean cap table. Founders flag the investors who disappear at the first speed bump.
What they look for2
How large is the magnitude of improvement to the status quo?Two, four, ten or 1,000 times better
Andy GoldsteinPartner, Venture University and VU Venture Partners
Martin JanickiGeneral Partner, TenetRed flags in founders5
Denis KalyshkinVenture investor, 2BF Global VenturesVlad SarcaGeneral Partner, Sparking CapitalVlad SarcaGeneral Partner, Sparking CapitalNicolas WeberFounder, Medneo. Investor
Dr. Andreas SchmidtInvestor, Springboard Health VenturesRed flags in investors3
Always better to work with people that share the vision and the commitment, even if they're not necessarily the biggest name.
Armon ShareiFounder, Portal BioWould you want your name alongside theirs in a press release?And will they help when things are hard?
Sam Tidswell-NorrishFounder, OPUSKirk DonohoeFounder, GRANDHow do you set a startup valuation?
Less science than founders expect. Guests anchor on proof points and comparable deals, and they warn about the words that set an investor's expectations.
Christian Rebernik: valuation does not rise as a curve, it rises in steps. Each step is a proof point, such as a revenue threshold or a hire.
I guess that's our price now.
Armon ShareiFounder, Portal BioThe worst time to raise capital is when you need capital.Valuation rises in steps, one proof point at a time
Christian RebernikCo-founder and CEO, Tomorrow University
Dr. Nick KanopoulosFounder and CEO, Brite SolarOnce you call it revenue, every investor in the world will put it down in their mind as revenue.Then they ask for three times that next year
Dr. Andreas SchmidtInvestor, Springboard Health VenturesSam Tidswell-NorrishFounder, OPUSIt's very important to throw out words like I'm already oversubscribed, right, even though you have had two talks.VCs follow each other like sheep
Lars EickhoffCo-founder, DeepImmoBe realistic in your assumptions, don't exaggerate on traction or on future traction.Bold is fine, if you can support it
Vlad SarcaGeneral Partner, Sparking CapitalRaising in Europe or the US?
Europe is a good place to start, most agree. For the big rounds, customers and exits, most look to the US. One founder says Belgium never held him back.
Sales cycle
Contract size
An enterprise pilot, Europe against the US: the rule of thumb Martin Janicki gives. Not measured data.
Pulled toward the US6
I don't have a single startup that's gotten past their B round without getting money from outside Europe.
Andy GoldsteinPartner, Venture University and VU Venture PartnersMartin JanickiGeneral Partner, TenetJessica LiewFounder, IntriqJuanjo MestreCEO and co-founder, Dcycle
Dr. Emanuela MaggioniCEO, Hynt LabsDr. Nick KanopoulosFounder and CEO, Brite SolarEurope works2
I've never felt as though building and raising from Belgium was a disadvantage compared to any other place in the world.
Florian MyterCo-founder, WeavelyVlad SarcaGeneral Partner, Sparking CapitalHow do you raise a fund from LPs and family offices?
Harder than a startup round, say the guests who did both. Venture is a sliver of family office money, yet family offices also write early checks.
European family office allocation, roughly, from a chart Martin Janicki describes. Everything else in grey.
If you believe it's hard to raise funding for your startup, try to raise money for your VC.
Denis KalyshkinVenture investor, 2BF Global VenturesMartin JanickiGeneral Partner, TenetFor every successful private equity firm that's formed, there are 10 that die and don't make it.
Sam Tidswell-NorrishFounder, OPUSLess than 25% of all venture capital funds ever return more than one times the money.
Andy GoldsteinPartner, Venture University and VU Venture PartnersVlad SarcaGeneral Partner, Sparking CapitalLars EickhoffCo-founder, DeepImmoJessica LiewFounder, IntriqDr. Andreas SchmidtInvestor, Springboard Health Ventures
