Raising funds is one of the hardest, most complex and time-consuming activities any startup founder will tell you is a necessary process for their endeavour. It is often brutal, even lonely and entails convincing investors of the viability and likelihood of success not only of the endeavour’s concept, but of its execution and plan. A lot depends on founder credibility, track record or reputation, timing, and presentation.
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For Seth Goldman, one of Visram’s early investors, it was Shazi Visram’s passion and determination that initially won him over, not the potential that Happy Family Brands might someday become a billion-dollar brand. Visram, whose company became a Certified B Corporation in 2011, ultimately raised more than $23 million for Happy Family before the company was acquired by Danone in 2013. Happy Family has remained a B Corporation under Danone’s umbrella.
As this list of high-impact business leaders who have successfully raised capital illustrates, a host of purpose-driven companies have raised significant capital in their pursuit of growth and impact. Some advice below, and more via the link.
“Momentum matters, so prep before you get started (have your pitch down, your presentation set, your backup materials ready to share, and, of course, a list of appropriate investors you’re going to reach out to). A tight process not only increases the likelihood you’ll raise the money you need at the terms you want, but will allow you to get back to running your business.”
– Neil Blumenthal, Warby Parker co-founder & co-CEO
“In sharing our story with investors, we always lead with our social-impact mission, but it is the business model and product that get them to invest. Doing good isn’t good enough to get investors to invest, or customers to buy. You truly have to offer best-of-class products and show innovation in both product and processes.”
– Davis Smith, Cotopaxi founder and CEO
“The best investor meetings are the ones that become conversations instead of presentations. When you start the meeting with a pitch deck, the dynamic is set. Everyone is looking at the screen instead of at you, and they are expecting a show. If you can start the meeting by asking the investor a relevant question, you will get to know them and better understand whether they are passionate about your sector.”
– Benzi Ronen, Farmigo founder & CEO
