Capital Raising Guidance & Strategy
I wanted to share a quick bit of advice on raising capital: developa daily process. You hear the idea of ritual thrown around by a lot
of business coaches and consultants and that's because it's
a crucial fundamental concept that is so often ignored.
In the capital raising space, you face intense competition and your
success is largely determined by how hard you are willing to work.
One way I've been able to have success is by making a point of
establishing a daily process for reaching investors every day.
Whether you are the lone capital raiser or you run a marketing team
of 30, it is important that you meet with potential investors
face-to-face more often than does your competition. The best way to
ensure that your team raises more capital than the competition is
to identify the top three most valuable activities and schedule
those first every day. If you have a large team of 15 to 20
investor-relations professionals, like one $19B hedge fund I met
with recently, then those activities will vary widely based on each
person's role on the team. You'll have to delegate daily
actions to fit the unique skills of each team member.
If you are like most funds and have one or two people focusing on
capital raising, then probably the most valuable activities will
include meeting with potential investors, setting up meetings with
potential investors, and following up via email and phone with all
of the past investors you have met with to date. Many people get
caught in a circle of leaving voicemails and sending emails that
never get responded to, when they should be getting out and sitting
face-to-face with as many qualified potential investors as
possible.
In my own capital-raising efforts, I schedule 90 minutes daily for
following up with past investors I have met with and I leverage my
team to help me schedule more investor meetings every week. In
today's marketplace if you rely on raising capital via phone
and email alone you will raise little to no capital.
You have to go the extra mile when raising capital and often that
means a grueling travel schedule, communicating with investors
through every possible medium at all hours, and a consistent high
level of productivity. To develop and maintain a daily process, you
have to be motivated by your goals and the client you are
representing. When I commit to raising capital it's because
I'm really excited about the client or project and that makes
it much easier to stay focused and carry out my process every day.
If you enjoyed this free bit of advice, stop by my next Capital
Raising Workshop in New York where I'll work with you to
improve your capital raising efforts and implement the latest
strategies for engaging investors. You can register here:
http://HedgeFundGroup.org/
