Series | Insights into investor processes
How successful investor searches really work
Many entrepreneurs assume that investor processes are primarily a question of having the right contacts.
If the right investor is found, it is assumed that this will almost automatically lead to financing.
In practice, however, the picture is different.
Investor processes rarely fail due to a lack of capital.
And also rarely due to a lack of investors.
They often fail due to three factors:
– unclear positioning
– unstructured investor approach
– lack of process management
A successful investor search is therefore not a random process.
It is a project that can be structured.
In practice, such a process comprises several consecutive steps:
– the analysis of the company
– the development of a convincing investment case
– the selection of suitable investors
– a structured approach
– and active management of the entire process
It is precisely these aspects that determine whether initial discussions actually result in financing.