Australian startups share tips on how to raise early stage funding
The early stage funding could be challenging for several startups, including those from Australia. Some Australian startups admitted they did not have the expertise or knowledge of how to raise funds, a new survey has found.
The new Startup Muster, a poll of the Australian startup ecosystem, showed that 12.9 percent said they did not possess the expertise to raise funds. SafetyCulture CEO and founder Luke Anear offered an advice, saying startups must not go to an investor meeting and ask for cash.
Anear said the approach should be like in dating. A startup needs to know the investor first before accepting an investment. “You don’t get married on your first date, you don’t take investment on your first investor meeting,” Business Insider Australia quoted him as saying.
SBE Australia general manager Julie Demsey also shared some tips. She said founders need to do their own homework, and stressed that it is going to be a long partnership so it is important to understand all the details.
Demsey suggested knowing everything that has to be learned about the investors. Both camps must be aligned in values and ideas about how to push the business forward. It also pays to be ready and ensure that the numbers are well understood.
Demsey also mentioned about anticipating questions that could be asked and having the answers ready. “Know that you will need to continue to refine your pitch deck again and again and be aware of the key things a specific investor might be interested in knowing and address those.” SBE Australia runs Springboard Enterprises Accelerator and E3 programs for women.
Despite the challenge in raising funds, a KPMG study shows that Australian fintech investment is strong. Australia-based fintech startup Airwallex has recently secured a $6 million investment prior to a Series B round planned for Q2 2018, Deal Street Asia reports.
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Source: Australian startups share tips on how to raise early stage funding | International Business Times AU
