10 Common Startup Fundraising

Mistakes
and how to avoid them

Lance Cottrell - 2022

Reality Check
Most companies are not a good fit for VC or angels
1. Only Looking at Equity

Grants
Partners
Grants Partnerships
Debt
Bootstrap (boot pic)

Debt Bootstrap
2. Going in Cold
Network before you fundraise

Some kind of image showing being introduced

3. Fundraising Too Early

Image?
4. Missing the What and Why
Show the big picture

Confused person image

 We enable consumer wheat processing
businesses to maximize revenue streams
by reprocessing their deliverables with
new logistical processes
We are the Salesforce™
of carbohydrate reconfiguration
People love sliced bread but
hate slicing it
Our machine automatically
slices whole loaves in seconds
We sell those to bakeries
They then get more business
from happy consumers
5. Failing to Understand Your Audience
Imagine we are stupid

Simple not Jargon

Business not Tech
Benefits not Features
Skim don’t Dive
6. Weak Communications
It matters how you say what you say

Energy & Passion

Narrative over Facts
Aesthetics
Practice
Energy &
Passion
Stories not
Facts
Aesthetics
7. Hiding Weaknesses

Sweep under the rug image

8. Failing to Make Commitments

With this $$$

We will do XXX
By YYY date
9. Raising Too Much (or Too Little)

Something funny
Maybe a huge pile of cash?
 10. Failing to Follow-up

Crickets?
Anyone there?
Someone left waiting?
11. Forgetting Don’t
to show forget to
your traction
talk about traction!
11. Forgetting to show your startup’s traction
Thanks!
LanceCottrell
@FeelTheBoot
FeelTheBoot.com