Chapter Five - network your way to the right Investors
by Joe · 39 things on Twos
- ‘Driven people with great ideas find their way to investors’ -Ashton Kutcher
- You need to knock on the right doors
- Strategic networking is your key to success
- Your network equals your net worth
- If one resource doesn’t give you what you need, you have 10 more people
- Because the investment community is highly connected, your venture network is one of the most valuable things you own
- Think about the referrals from other investors
- Your investors credibility will make your startup seem more attractive
- Sometime it’s difficult to get your foot in the door
- Huge reputational obstacles
- Reach investors through a warm introduction
- Get to know other startups
- Build a high quality connection base
- Begin by making a list of people you interact with regularly
- Put a star by the people you have the best relationship with (the co-founder of your startup)
- Organize your list by columns
- Column 1: 25-50 people who are the greatest help us reach investors
- Rank those people on a scale from 1-5 (1 being least and 5 being most likely) of how much wealth, gravitas, connections, etc
- 4 and above are our champions
- In column 2 write where you met them and make notes about things you have in common
- In column 3 brainstorm possible connections they can make for you…bankers, CPA’s, investors
- Highlight the people you consider super connectors
- People who know people to connect you to
- And enjoy connecting people
- ‘Who do you know that might help connect me with investors?’
- Anyone may provide the connection you need
- Share your story with the people in your own network
- Let your connections on LinkedIn know what our goals are, because you never know who someone will know.
- Make sure all your team members ask their own networks
- All of this is going after a warm introduction
- Five ways to add the people you need to your network
- Four steps to feel comfortable approaching anyone
- The best thing you can do is add value to the other person
- How can I help this person today?
- When we are given something, we feel obligated to help repay it
- Investors need more information
- Our value may be the list about the conversation
- Five warm introduction sources
- Proper Email Etiquette