@Abis is an engineer, treasurer, investor and entrepreneur. As a part of the Greentree Investment Company, he shared some interesting tips on how to start your get-a-VC funding journey as a budding startup founder and entrepreneur.
The first tip was for those of us yet to get off the drawing board. Once you are off the drawing board, he says:
Clearly, it is all in the presentation. Use numbers and scales that make your growth look inviting, interesting and exponential (read big).
But most of the startups we see on the news have little to no traction, so how do they get funding without showing exponential growth or traction. Abis explains this.
This is a different narrative from what the news says. Where you have a great idea, a great pitch and voila! VC money. Your work history also matters when you are a budding entrepreneur. Where you worked and how well you worked also matters. This is your initial traction.
And your team should also have this traction and more to get VCs interested. Abis explains some of the characters of a good team. He starts from the question “what makes a team outstanding?”
If you and your team have all this “traction and more”, the next step is to find the right investor for your startup/idea.
Note the stage your startup is in (idea, MVP, seed/pre-traction, traction, mature business) and find investors that operate and fund at your stage.
In summary, to get traction, you have to have traction as a founder. Then find a good team and an investor that fits your unique set up.
If you enjoyed this tip and guide on how to get traction and get VCs looking for you, be sure to check out the full AMA with Abis Soetan - Hi, I'm Abis Soetan of Greentree Investment Company. Ask me anything!