Raising Capital - So it’s time to raise some money…

by Startacus Admin
Cally Russell of Malzee.com shares some of his top tips for getting your first investment...
There’s a point in most small businesses' journey where the founders realize that the mission they’ve set out on can’t be accomplished without significant capital and resources. It’s normally a low point and one that leads you to question what the next steps are. Well we hit this point at Mallzee.com 6 months ago and have just managed to take the next steps with the completion of our angel round of investment. It was a difficult path and one that at times we never thought was going to end. With this in mind I decided that we should share some of our top tips for getting your first investment.
Now I’ve only done this once so I’m not going pretend to be an expert on fundraising but this rookie's guide might help you along your way.
Don’t Start Too Early
Looking back I started 3 months too early with fundraising. Make sure you’re ready to take money within the next 3 months, if you’re not you’re just wasting your time and the investors.
Make a Killer Deck
Once you’re ready then make sure you have a killer deck. Make sure you don’t overload it with information though – everyone hates death by PowerPoint. A couple of lines of information on each slide MAX. Also don’t just throw something together in PowerPoint. Find a designer and get them to make it look stunning, unattractive slides won’t help you or your business.
Build Your Network
You’re going to have to speak to an awful lot of people if you’re going to raise an angel round of investment. Make sure you’re keeping track of connections and network your ass off.
Oh, and make sure you tap into your mentors' networks and get warm introductions to people that wouldn’t take your call normally.
Find A Lead Investor
And find them quick. Most investors want to know who else is backing you; it helps them justify their decisions. Find a lead investor who is willing to put their name to you and you’re well on your way.
It Takes Time
As Mark Suster says “Investors don’t invest in dots, they invest in lines.” The chance of someone meeting you once and deciding they want to invest is slim. They’ll want to see that you’re making progress. If you manage to have the money in your account within 6 months of deciding you’re going to try and raise then you’ve done a very good job.
Learn Your Stuff
Raising investment is complicated. There are more terms than you could imagine so before you set off down this path spend some time reading. I would suggest Dermot Berkery’s book, Raising Venture Capital for the Serious Entrepreneur.
It’ll get you up to speed and also save you some money in lawyers fees once you have investors lined up.
Beware of Sharks
You need the money but make sure you don’t end up in bed with a shark. Don’t be afraid to say no to investors that you don’t think will benefit the business. If they thought you were worth investing in, so will others.
And the most important piece of advice – never give up. This is likely to be the most difficult thing you’ll do in the early stages of your business so be prepared to get knocked back a lot and never give up.
Cally Russell is the CEO and Founder of www.mallzee.com - Mallzee is a bespoke online shopping experience that only shows you clothes that suit you from your favourite stores. If you like this article - you might also like our previous article on Raising Capital - your options for funding your startup
Join Startacus - the Self Start Society!
If you like what you see here on Startacus, why not become a member of our growing community? It's free! And you'll get all this - exclusive access to our Business Toolkit, discounts and offers galore for your business via our member only business deals, the chance to network and connect with loads of fellow self-starters, and maybe even become our celebrated 'Self-Starter of the Week' and tell the world your startup tale! Join right here for free...
Subscribe to our newsletter
If you would like to receive our startup themed newsletter, full of the latest startup opportunities, events, news, stories, tips and advice, then sign up here.
Erika Eliasson-Norris, Founder and CEO of Beyond Governance shares insights on why investing in governance from the off is so important...

Aerospace Xelerated and Tawazun Economic Council seek applications from innovative startups that are working in the digital services and solutions area.

SeeAI is a Leeds-based startup that's on a mission to empower radiologists and help patients to get their medical imaging diagnosis within minutes.

The lowdown on Buckle, the US-based insurtech platform that's addressing the insurance needs of rideshare and delivery drivers.

Based in the UK or Ireland and got an innovative early-stage idea for the health sector? Validate that idea via the DigiHealth pre-accelerator - applications now open.

The lowdown on watchTowr, the startup that's on a mission to provide organisations with "continuous cyber security assurance aligned to the capabilities of today’s adversaries."

Fin Cope, CEO and Co-Founder of environmentally conscious marketplace GoEthical shares insights on the signs of greenwashing he looks out for to help avoid contributing to environmental harm.

Pet owners take note! GetSetPet is a startup on a mission to become the ultimate destination for your pet supplies.

Andrea Szell, Founder of Spare Desk shares some insights on the positive impact that sharing a workspace can have on our mental health.

The lowdown on Oxford Quantum Circuits, the innovative Reading-based startup that's on a mission to make quantum computing accessible to all.
Published on: 25th May 2013
If you would like to enable commenting via your Startacus account, please enable Disqus functionality in your Account Settings.







- Aerospace Xelerated Opens Call for Startups Working on Digital Services and Solutions 15th Aug 2022 Aerospace Xelerated and Tawazun Economic Council seek applications from innovative startups that are working in the digital services and solutions area.
- DigiHealth Lean Launch Programme opens for applications 11th Aug 2022 Based in the UK or Ireland and got an innovative early-stage idea for the health sector? Validate that idea via the DigiHealth pre-accelerator - applications now open.
- Sodexo Live! And L Marks Seeking Startups and Scaleups for first ever North America Innovation Lab 5th Aug 2022 Sodexo Live! and L Marks open call for applications from innovative startups and scaleups to join their inaugural North America Innovation Lab.
- Innovative University-supported startups secure £500,000 in grant funding awards 4th Aug 2022 Startups founded by students and recent graduates from the University of Edinburgh secure SMART:SCOTLAND grants to help support their ambitious and innovative projects.