Mike speaks to Michael Orant who is an entrepreneur, fractional CTO and racing driver. Today, they discuss fundraising, covering when to raise funds and how to talk to VCs, what to expect from them and spending the money strategically.

To do this, Michael shares several real-world examples. Over the years, he has played a significant role in helping several startups to raise money.

KEY TAKEAWAYS

• Even when investors are more risk-averse, you can still raise funds.
• Think about your exit and the exit for the investors and make that as attractive as possible.
• Accelerator events are a great way to find funders.
• Get a warm invite. Michael explains how to do that.
• Practice articulating the opportunities to different types of investors in a range of settings. Practice on friends and family, if they understand investors will too.,
• Be honest and realistic about what your business is worth and the potential of your idea.
• Model out the future, in particular, consider what future rounds of fundraising will look like. Do everything you can to avoid having to raise further funds.
• Remember you are inviting the investors into your business and will be working with them for the long term.
• Fundraising takes a long time, so plan ahead to avoid running out of cash before the funding arrives.
• Sometimes the VC will want to change the board and management team.
• Engage with the investors and set expectations.
• You will have to hire a lot of people fast, prepare early and empower people to recruit for their teams.

BEST MOMENTS

12:57 "You need people that will ground you or at least challenge your thinking so you can check your facts and numbers are right." 

24:31 "Be transparent with everything. Let the skeletons out of the closet early." 

34:35  "Think about cash conversion. And actually, what can we do to mitigate having to go for further investment rounds." 

36:42 "You are inviting someone into your business, to be part of that business, do your due diligence on them." 

54:33 "If you're looking for highly skilled roles, then there is an advantage of using niche recruiters." 

42:45 – “You have to make sure that they're (VCs)  buying into that plan that you've put forward, or you accept that you're going into their plan.”

57.11 – Don´t underestimate how exhausting fundraising can be.”

ABOUT THE HOST

Meet Mike, a seasoned tech entrepreneur and visionary with over two and a half decades of invaluable experience in founding and scaling successful tech start-ups. Mike brings a wealth of firsthand knowledge and a deep understanding of the challenges faced by entrepreneurs and tech professionals.

As a host, Mike is dedicated to sharing actionable insights, strategies, and stories gathered from conversations with industry leaders, innovators, and experts. With a remarkable ability to distil practical wisdom from guests, Mike curates engaging discussions that resonate with both aspiring entrepreneurs and seasoned professionals. 

ABOUT THE SHOW

Welcome to Mastering Tech Growth, where we dive deep into the strategies, challenges, and triumphs of scaling tech-driven ventures. Join us as we explore the dynamic world of technology businesses, uncovering the secrets behind successful growth trajectories. Each episode brings you candid conversations with founders and industry experts, sharing invaluable insights, proven tactics, and real-life stories. Whether you're a budding entrepreneur or a seasoned professional, discover the roadmap to navigating the complexities of scaling in the ever-evolving tech landscape.