During your presentation to an investor, the investor will ask you a number of questions. Be prepared to answer these questions at any stage of the fundraising process:
Industry Analysis:
Competitive Advantage:
- What value do you provide that is not already available to your customers?
- What makes your company different?
- How will you keep someone with a lot of money from taking over your market?
Marketing and Sales Strategy:
- How will you establish brand-name recognition?
- How do you intend to acquire market share?
- How important is advertising?
- How do you compete in terms of price, performance and support?
Business Strategy:
Financial Strategy:
- What factors most affect your profitability?
- What specifically would you use the money raised for?
- How much more financing will you require beyond this round?
Team:
Product Development:
- What is the lifecycle of the product?
- What other products do you anticipate developing
Take notes on what the investor is focusing on and saying. Reply in a timely manner (less than one week) to the investor’s follow-up requests or questions that you could not answer at that time.