When I ran angel networks using the dinner club model, I had entrepreneurs come in to pitch my investors. Ninety percent of them would go away and we would never hear from them again.
We had no idea what happened to them. About ten percent of them, though, would come back and give us updates and reminders about their deal. By and large, those were the startups that raised funding from the group.
Building a rapport with someone starts with introductions and awareness, to ongoing communication, to a level of familiarity. It takes seven touches to close a sale – so it takes seven touches to close an investor.
For substantial fundraises, it may take even more. The key here is that you must build a relationship with the investor before the funding not after. If you already have investors, think about how much you know about them?
How long did it take to figure those things out? In most cases it will be the same with your investor prospects.
Hall T. Martin is the founder of TEN Capital and a builder of entrepreneur ecosystems by startup funding through angel networks, funding portals, syndicates, and more. Connect with him about fundraising, business growth, and emerging technologies.