How to find a venture capital investor? As explained by Mr. TS Darbari
‘How to find a venture capital investor?’ is a question that several people have asked Mr. TS Darbari. He says that finding an investor of any kind is always hard. Mr. TS Darbari further adds that it is even harder to find the right venture capital investor. Therefore, here is the answer to the question — ‘How to find a venture capital investor?’
Steps to find Ventur Capital Investor:
Mr. TS Darbari says that the journey to find a venture capital investor can be divided into the following steps:
1. According to Mr. TS Darbari, “The journey begins with research. You can only score meetings with VCs by first creating a targeted outreach list of firms that are aligned with your business.”
The first phase of this process is understanding which VCs are a good fit for your company’s goals. Before adding a VC firm to your target list, be sure it’s actively pursuing deals in your stage.
Most venture capital firms share their investment ethos or criteria on their company website. Mr. TS Darbari mentions that another way to determine if your company fits within a VC’s investment ethos is to review the firm’s recent deals, which you can usually find online.
2. Mr. TS Darbari says that before adding a company to your list, you must consider the location also. Some firms only invest locally, while others are open to investing beyond their city and state. Generally, it will be easiest to get attention from a local firm. However, if your business is truly attractive to VCs, the location will not be a hindrance.
3. According to Mr. TS Darbari, “One must add at least 25–35 companies to the target list. Also, keep a track of your communications.
4. Mr. TS Darbari further adds that the second phase of this journey is securing the meeting. This post will give you the tools to accomplish both of the above-mentioned tasks.
5. Intro- Mr. TS Darbari says that we all know ‘first impression is the last impression’. Therefore, be ready for any sort of situation. You must have PPT, plan, design and everything ready. Also, try to find if you can establish any direct connect or any link with your target organization. Any one whom you know may have a link with that organisation. Are there people in your extended network (i.e. parents, mentors, past employers, friends, professors) who have VC relationships? Does your company have board members with VC connections? This is the best-case scenario, as VCs are more open to deals that come from a trusted source.
If you do not have any connection or link, a cold email may also be an option. This is the more difficult way to get a meeting, but it’s not impossible.
6. Mr. TS Darbari suggests that try to be direct and concise. Get to the point quickly. Everything from your email subject line to the layout of the text should be clear, concisely explaining why your company is relevant to the particular VC.
7. Thereafter comes the judgment day or a big pitch as it is called. Mr. TS Darbari mentions that a meeting with a VC is your chance to pitch your big idea and ask for investment. The pitch will include information about your company and detail the product or service you’re developing. You’ll need to create a pitch deck for this.
Mr. TS Darbari says that though the journey is hard and log but all the great races are started with the first step. Therefore, as mentioned in one of the previous blogs, Mr. TS Darbari states again- ‘Dare to dream bigger.’
Who is Mr. TS Darbari?
Mr. TS Darbari is a top management professional, with several years of rich & diversified experience in Corporate Strategy, New Business Development, Sales & Marketing, Commercial Operations, Project Management, Financial Management and Strategic Alliances.