- Introduce yourself and your team
- Information on the problem you’re trying to solve and how your company can solve that problem for your customers
- Share important metrics and traction figures
- Any information on the funding round
Connecting with potential investors can be tedious, time-consuming, and stressful work. Cold emailing investors is one way to introduce yourself and your opportunity to show value in what you’re offering. It’s one of the best methods to secure funding for your startup and is a tested and proven method to find success.
There are hundreds of startups in the United States alone looking to find the perfect investors. With so many startups, it’s no surprise that investors can receive hundreds of emails daily. You need to be able to craft a cold email that gets responses and helps your startup stand out and increases your chances of successfully securing funding. This guide will walk you through some essential tips to help you write the perfect, personalized cold email to help you find the perfect investor and secure funding.
A cold email is an email that you’ll send out to investors as a way to introduce your startup and try to raise money for your business to keep traction moving forward. Any cold email needs to follow certain instructions to find success in whatever goal the email is trying to achieve.
When trying to get an investor to fund your startup or venture, you need to be able to write a carefully crafted email that gets to the point and creates intrigue. Your email should be concise and include introductions and what you can offer. By following these simple guidelines, you will see success in the number of responses you’ll get.
Research is a crucial first step in beginning your cold email campaign. Spend some time and potential research investors. Get to know their goals and preferences to help you better understand if they will be a good match for your opportunity. You want to find out their values and see if they have any investment requirements.
You want to make sure you are spending your time and energy on investors you think would not only be interested in your startup but also be a good fit for your company that meshes well with your team. Once you have a good list of investors, you’re ready to start creating your cold emails.
Cold emailing requires you to get investors to open your email. Investors, like many of us, have busy inboxes and often skim through emails to see if there’s a message that captures their eyes. They’re likely inundated with dozens, if not hundreds, of emails from startup founders daily. Too many cold emails are deleted before they’re even opened. Crafting a captivating subject line that can show value through the subject line can pique the interest of your target investor and get them to open your email to learn more.
Now that you’ve piqued their interest with your captivating subject line and they’ve opened your email, you need to keep them compelled by telling them who you are and what you do. One of the key elements to remember when crafting the body of your cold email is to keep the email short and straightforward.
A great cold email has a simple structure and starts with a few sentences about why you’re reaching out with your startup. Explain to the investor why you think they would be a great fit and how the opportunity may benefit them.
After you’ve introduced the why relating to the adventure, then you want to move on to write a quick summary on the core elements of your business and ensure that it’s readable within 30 seconds. Bullet points, numbering, or short sentences will help you introduce your company and answer the core questions.
Your investors need to know what the next steps are if they’re interested in working with your company further. Write a strong but respectful call to action and ask investors for a quick meeting to introduce you and your team further. You want to be flexible and show you understand their time is valuable by taking the initiative to be the one who schedules the meeting. Suggest specific times that might work best for them, and do your best not to be too pushy.
After you’ve sent your email, never underestimate the power of following up. After a few days, if you have not heard from the investor, it’s a great idea to follow up. Many investors have busy schedules and may not have had a chance to respond. Send a follow-up email or call them, depending on their preferred method of communication.
Communication is important, and a follow-up can show sincerity and dedication to your cause. Wait a few days and only start with one email or call to follow up to ensure you do not spam or overwhelm your investors. With your follow-up, you want to create urgency and remind them you have an exciting opportunity to share.
Cold emailing investors, when done right, can go a long way and help you get the funding you need for your startup. You’re not going to receive a response with every email, and that’s okay. With the right strategy, you can craft a perfect cold email to get important conversations going about the next steps to maximize your startup’s potential and build your investor database.