The Hidden Cost of a Slow Fundraise

Have you ever seen posts on LinkedIn from founders claiming to have raised their round of funding in 5 days? 15 days?

A lot of the time, the main reasons they were able to do this was strictly off the back of hype / strong positioning of the round itself.

Obviously, you need an exceptional product to get capital backing from investors. No doubt about that.

But most of you on here are not doing a good enough job on the front end of your round to engineer demand and accelerate your timelines.

You have a few investor conversations here and there, go back to the drawing board for 60 days, then take another 3 warm intro calls and wonder why you can’t close your round.

The reason our Capital Advisory process works is because the steps we take to engineer demand and accelerate funding timelines is deliberate.

We take what most founding teams accomplish in 6 months and say “we’re going to make this happen in 90 days.”

It is driven by data. Designed to give you leverage in your conversations with investors so you can mention things like “we’re in conversations with 3 more interested groups right now” to create FOMO among capital partners.

Even if you go-to-market with a raise thesis, and the investors you meet with tell you that your company is not ready to receive investment and that you need to change multiple things about your company - you still failed fast.

And failing fast is 100x better than failing long and slow, just to receive the same information.

Compressing your raise timeline sets you up so much stronger for finding the right partners to make the raise happen, and making the changes you need to if it doesn’t right away.

The only thing you can do “wrong” when it comes to raising is giving it half effort for way too many months, killing your momentum, demand, and feedback loops.

This is why our advisory practice is designed this way. Speed. Feedback. Speed. Feedback.

If you’re going to make the commitment to go, make sure you go with purpose.

Thanks for reading - let me know if you have any questions.

Ryan Bryden
Breakout Capital Group