Dec 1, 2020
Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.
I’m often asked how long it will take to raise a round of funding.
It will take you one calendar year for every million dollars you are raising, that’s if you are working on it full-time. If you are part-time, then it will take longer.
You’ll need approximately two months to prepare for the raise. This includes preparing the company, the investor documents, and the initial investor list.
It takes another 2-3 months to engage investors and bring them up to speed on your deal. They’ll want to monitor it for a few months to see the traction in motion.
Then it takes a month to close.
After you close those investors, you’ll need to find another round of investors and repeat the process.
For a million-dollar raise, you’ll need to do this three times on average.
Some companies don’t need all
their funding in one go as most are based on recurring revenue and
have the option of growing incrementally so they can raise funding
the same way.
Thank you for joining
us for the Startup Funding Espresso where we help startups and
investors connect for funding.
Let’s go startup something today.
___________________________________
For more episodes from Investor Connect, please visit the site at: http://investorconnect.org
Check out our other podcasts
here: https://investorconnect.org/
For Investors check
out: https://tencapital.group/investor-landing/
For Startups check
out: https://tencapital.group/company-landing/
For eGuides check
out: https://tencapital.group/education/
For upcoming Events, check
out https://tencapital.group/events/
For Feedback please contact info@tencapital.group