Ben Jones

Aug 13, 2021

5 min read

100 employees. 100 lessons. Part 4: 🤑 Fundraising: Why, when and how much? 🎯 The process 🧮 Cap table & negotiations

This is part of a series. You can find a link to all the parts here.

🤑 Fundraising: Why, when and how much?

71. Understand what it means to take VC funding

72. There is nothing wrong with aiming to create a lifestyle business opposed to a unicorn

73. The VC route is tough

74. A funding round should get you to the next funding round.

75. You will need more money than you think

76. Don’t think too much about valuation.

Celebrating our 4th birthday. Make sure to organise fun events to break the tension of fundraising!

🎯 Fundraising: The process

77. Fundraising distracts management

78. It will take longer than you think to close your round

79. Fundraising should be ongoing

80. Be resilient

81. The perfect pitch structure

82. Be bullish, but casual during pitches

83. Your goal is the first term sheet

84. Milk investors for feedback

85. You can’t please everyone

VC to founder translation — source

🧮 Fundraising: Cap table & negotiations

86. Finding a co- investor is easier than finding a lead

87. Investors are better at negotiating than you

88. Don’t be too stingy with equity

89. Avoid milestones where possible

90. Get a personal / founder lawyer

91. Everyone should contribute to the ESOP

92. Keep the cap table working

93. Investors want to see the founders & management incentivised

94. Consolidate your angels and small investors

🎓 Investor relations

95. You are the boss!

96. Talk early about internal rounds early

👋 Hi, I’m Ben. I support Seed to Series B companies to grow and scale. Connect with me here.