Chubby Brain_Logo

How do you get Venture Capital?

There are innumerable posts available on the internet which aim to tell you how to pitch a venture capitalist. What all those posts reveal is that there is no single way to pitch a venture capitalist. Venture capitalists are all individuals and so they have their own unique preferences on how to pitch them.

Ultimately, raising venture capital is a process and each venture capitalist has different preferences in terms of what industries they’re interested in, how they want to be contacted and what types of founders they want to back.

It is good to understand that there is no magic recipe for finding and getting venture capital. so the below is a framework more than an ironclad solution. The reality is that there are far more entrepreneurs than venture capital dollars. This supply demand imbalance makes finding and seeking venture capital an imperfect game.

Please note the first to getting venture capital is not to blindly send your business plan to a list of investors you found on the internet. It is also best not to sign up for a website or a conference that says “Pay us $300 per month and we’ll put your business plan in front of thousands of investors and get you venture capital.” If it sounds too good to be true, it generally is.

Steps to Getting Venture Capital

  • Understand that it will take time
  • Get your business plan (or something similar in order)
  • If you can, build something and get some traction
  • Identify investors who match your company
  • Figure out how to get in front of those investors
  • Pitch them
  • If they say no, understand why and make adjustments as necessary to your plan or product. Lather, rinse, repeat

How long does it take to raise Venture Capital?

Getting venture capital is not an overnight thing. Most entrepreneurs spend on average from six to 18 months in pursuit of VC, but it can be as little as three months with a solid business plan, traction (which generally equates to momentum with regards to customers, revenues, etc) or success in past entrepreneurial ventures.