Investor Communication Template
Sending Investor Updates before Fundraising
People begin communicating with potential investors right before needing to raise funds, and after raising funds because of mandatory reporting requirements of the Shareholders Agreements.
However, it is good fundraising practice to keep all potential investors updated about your progress continuously, even 12-18 months before you think of raising funds, and that too consistently.
Well-written updates signal to investors that you as the founder can consistently make plans for the future, execute on them, and report results. All investors want good deals and you want them in your distribution channel early on.
Quick Pointers:
- Updates for Existing Investors are different from those for Prospective Investors
- To be sent monthly as a Marketing and Relationship Building Tool
- Short email consisting the following:
-- Brief 2 lines about the business
-- 3-6 important KPIs with rates of improvement
-- Wins in the last month since last update
-- Targets for the short term
-- Team photograph or update
-- Name investors who have helped you with challenges in bold, acknowledging them
- Do targeted Facebook/Linkedin ads for prospective investors
Template for Investor Update: https://foundersuite.com/reports/68a4833d-bad6-43fc-b397-97a1d9bfb044
