Loading...
Answers
MenuAmong platforms for startup funding, AngelList is the 800 pound gorilla. Does it make sense to use simultaneously other platforms like Gust, etc?
This question has no further details.
Answers
Short answer: Of course!
Many angel groups require you to submit through Gust because it offers a consistency and makes reviewing applications easier. But not all use Gust same as not all use AngelList... I haven't met an angel who frowns upon using multiple platforms.
I would encourage you to leverage your twitter and Facebook or Instagram to meet angels and get in their radar (don't hassle or stalk) just try to get exposed a bit to them by being part of the same meetup group, follow the same blog, membership... Subscribe to their own blog.. And when you submit funding request considerations do please send a follow up email or a call or basket of fruits if you have contact them before.
You can use multiple services as has been answered already, but I would suggest that using multiple services can create a "negative signal" by investors. Also, the likelihood that you will get *any* inbound interest from AngelList without already having "high signal" investors or an active syndicate is very low.
So I would suggest that you focus on whatever is going to give you the highest level of support and service. I recently spoke to the WeFund guys who are still actively curating what gets listed to their investors. I think if you don't have a network of investors, these smaller networks are a good starting point.
I've helped a lot of entrepreneurs here on Clarity with their early-stage fundraising questions (read my reviews). I'd be happy to talk to you to learn more about the specifics of your situation and give you advice based on my understanding of where you're at.
AngelList is only one among many, online and offline platforms. It makes sense to pitch your deal where there is a ready market for your proposition. Neither AngelList nor Gust has the market reach of Indiegogo or Kickstarter due to the delay of the JOBS Act Title III which give SMEs access to non-accredited investors. Unlike CircleUp or FundersClub, AngelList or Gust does not curate its deal flows.
I could tell you more. Take advantage of the interim free call.
Stick to one and hopefully to the one that is the leader, you can actually verify which one it is ( http://www.similarweb.com/website/angel.co?competitors=gust.com ). Fundraising consumes time, you could be at it 1 month 6 months or even a year so I recommend sticking to one single platform. It tends to be chaotic once you are 2 months in the process and you need to update multiple platforms, eventually one is going to lag behind because you will be so inmmerse in other activities. Also from a SEO perspective your top listing will benefit more when content is not replicated in other platforms, that way you dont dillute yourself and the power of achieving rankings for "long tail"
As of today more investors "gravitate" today in Angel List than in other platforms.
It's important to know the players in the space and what they're good at.
AngelList - very tough to raise funding and connect with people. There is a lot of saturation and barriers to connect (you need to have them following you or get intros from existing connections).
LinkedIn - work on your profile, post regulatory and garner support for your posts to position yourself as a thought leader whilst giving interesting status updates on your business. You can search LinkedIn through the "advanced" search tool to find angels in your city. Connect with a few, ask for advice and to meet for coffee. If they like you, they will help and usually know other angels. Strike for Angels who know the market problem.
SeedInvest - all the investments need to pass the screening committee and the partners. Thereafter there is some heavy due dill whence from the team and CrowdCheck. Only a handful of vetted deals are available and they co-promote to their investor pool. If it's a really good deal they may back the deal with $200k of SeedInvest's own capital once you pass $250k in fundraising. NOTE: they're a registered broker-dealer. They take 6.5% of capital raised but all the investors are accredited.
There is also OurCrowd, Crowdfunder, SeedEquity... It also depends where you are in the world as in the UK, there are some amazing tax-breaks for Angels and VCs.
Hit me up if you want to chat a bit more about it.
Related Questions
-
What metrics are investors looking for in a fashion/clothing/apparel startup?
Team is more important than the startup itself. Investors prefer invest in the Jockey over the Horse. There may be n number of reasons for not getting through the funding rounds. If your startup is able to provide 10x return I can invest straight away. However, I will look at the team first and foremost and then I will look at the management skills and then I will come to other metrics like traction and scalability.DS
-
What's the best visual format to display the size of the market when doing a pitch deck.
I like to take a rule from the Steve jobs playbook and use simple circles... one larger than the other but no more than 2. your most immediate target (realistic reachable) and one of the "enemy" competitor company. or overall untapped market cap. **for this to be effective you must provide as accurate projections as possible** no bar graphs and as little or no text as possible... remember that a deck is a companion to the speaker... avoid bullet points and use the deck to entertain rather than educate... is not a class is a pitch. :)HV
-
Pitch Decks: What do investors think of comedy in pitch decks?
Instead of calling it "comedy", aim for humor. Humor that supports a key discovery helps to anchor that insight in the investor's mind. I've coached many pitches, and find that when presenters are nervous they try to go for an improvised laugh, thinking it will cut the tension. However, in most situations, it comes off as just that: improvised and cheesy. Which confims to the audience that the presenter is nervous and unsure. Humor an advanced communication skill which requires strategy, planning and practice. The best humor is subtle and smart. The goal is not to get a laugh, but to get a knowing smile.DG
-
How to facilitate a perfect introduction to a potential investor on Linkedin.com through my connections?
Just because two people are connected to each other on LinkedIn, doesn't mean that these two people have a strong connection to one another. So first, ask your Mentor directly whether (s)he knows this person well enough to make an introduction. Also, I'd suggest that instead of asking that the introduction be made via LinkedIn, that the introduction be made directly via email. The way this best happens is to email your mentor with a two paragraph email explaining why it is that you want an introduction to this person and explaining why you think this person would want to meet with you. Then your mentor can forward this email directly to this person with a request for an introduction. If the person replies to your mentor, your mentor will then connect you two directly. If the investor is interested enough to accept an intro, then you'll likely get a 30 minute to 1 hour in-person meeting or call scheduled. In terms of what that investor will be looking for, I've written a lot of answers to questions around seed-stage financing that I encourage you to review. I'm happy to schedule a quick call to give you some specific feedback on where you're at and how investors might perceive your progress to date. Best of luck with this connection!TW
-
What exit strategies do angel investors want/prefer for a service business?
Keep in mind that investors invest for returns. Telling a prospective investor that you want his or her money to grow your business but don't plan on ever generating a liquidation event that pays him or her a dividend is not likely going to work; angel or not. You may be better served with debt financing where returns are generated in the form of interest payments not equity value growth. BUT, if equity financing is the plan, you're going to want to develop a strategic exit plan right from the start. That means identifying prospective buyers, strategic channels etc and characterizing the value drivers for each right up front. You'll find prospective buyers come in a number of forms; competitors, bigger versions of you, strategic partners, private equity, etc. Each will value your business in different amounts for for different reasons. Understanding this is vitally important for you to navigate to securing the right money, from the right sources, with the most favorable terms. Once you've qualified and quantified each of them, then determine what (specifically) you're going to need to do to align your business with those prospective buyers generating the highest returns. This will drive your business model and go to market strategy and define your 'use of funds' decisions. This in turn result in a better, more valuable business whether you exit or not. Do it this way and you'll have no trouble raising money from multiple sources. You can learn more about the advantage of starting with a Strategic Exit plan here: http://www.zerolimitsventures.com/cadredc Good luck. SteveSL
the startups.com platform
Copyright © 2025 Startups.com. All rights reserved.