Week 8

Watch videos below:

a) Modern Startup Funding
(Link: https://www.ycombinator.com/library/8F-modern-startup-funding-sus-2019)

The presentation centers on the progression of fundraising paperwork and procedures,

particularly introducing "Safe" as a versatile and effective mechanism for fundraising.
"Safe" and convertible securities are contemporary and adaptable tools for acquiring
capital for startups. Early fundraising enables concentration on product development
and business enlargement without undue time and expenses. Establishing strong
relationships and communication with investors are paramount. Investors anticipate
witnessing advancements in the business and are inclined to offer assistance.

b) Fundraising Fundamentals
(Link: https://www.ycombinator.com/library/7I-fundraising-fundamentals-sus-2018)
Securing funds isn't solely about figures but also about yourself and the narrative
behind your startup. Your tale should be captivating, credible, and must envision a
future that investors can buy into. Crafting your story is crucial, invest time in its
development, and present compelling rationales around it.
Opting for a lofty valuation may alienate investors or lead them to perceive the price
as excessive. It's vital to contemplate the valuation to prevent excessive dilution or
agreeing to a valuation that's too modest. Researching investors beforehand,
comprehending their investment portfolio, and their priorities is essential. Mastering
the art of captivating investors right from the start, steering clear of dullness, is
imperative.
Lastly, to entice investors, you must narrate your company's story in a dependable and
persuasive manner, avoiding embellishments or presenting an overly optimistic
picture. The lecture stresses that fundraising is merely a small stride in the journey of
constructing a company and a product that resonates with users. In this journey,
fundraising isn't merely about securing funds but also about attracting the right
investors who will journey alongside the company's growth.

c) Reading: A Guide to Seed Fundraising

(Link: https://www.ycombinator.com/library/4A-a-guide-to-seed-fundraising)
Securing funding is vital for startups to advance and compete, particularly in the
realms of recruitment and marketing. It's imperative to embark on fundraising when
there's a compelling concept, a proficient team, and a product swiftly embraced by the
market. Financial avenues for startups encompass convertible debt, safes, and equity
rounds, with convertible debt and safes being preferred for their simplicity and
adaptability.
Offering fundamental guidance on startup fundraising, from recognizing the need for
capital to the strategies for effectively raising funds, is crucial. When engaging with
investors, prioritize piquing their interest for subsequent meetings rather than
immediate deal closure. Mastering the pitch, actively listening, and establishing
connections with investors are paramount. It's advisable not to depart without making
an attempt to close or defining clear next steps. Introducing fundraising principles like
"Be opportunistic" implies casting a broad net weighted toward potential value. This
entails engaging with as many individuals as feasible, concentrating on those likely to
be receptive. Provide some dos and don'ts for reaching out to investors.