What are the first four steps to beginning my start-up?

The first four steps may vary a bit depending on the professional you ask or the type of business that you have. While you’ve been given a lot of solid answers about four quality steps to getting you start-up ready to pitch to an investor.

Here is my input:

Step 1: Be able to account for your CURRENT financial position

It sounds like you plan on seeking investors pre-revenue—which is okay. However, you should be able to account for things such as costs by presenting the information is a concise management report. This indicates to the investor that even if you aren’t making any money yet, you can manage your costs and that can go pretty far with establishing credibility without necessarily having any revenue.

Step 2: Realistic financial projections

No investor is going to bite if you have absolutely no data to back up financial projections. Take the time to create a solid financial model that is backed by realistic assumptions. Investors pay very close attention to numbers, so don’t try to inflate information just to make yourself look good—they will expect a thorough explanation of how you made your assumptions and you plan to meet those financial goals.

Step 3: Create a solid team

It’s unlikely that you’ll go to an investor pitch solo (although it does happen). Showcasing the expertise of yourself and your team members will go a long way in getting the interest of the investor. Make sure that roles and responsibilities are clearly defined and have a CV ready to present for each member. Make the the investor to be excited to grow with your team.

Step 4: Prepare a quality pitch

Take the time to prepare a good pitch. Remember that time is money and you only have a few minutes to wow your audience before they are bored. Create a quality PowerPoint that’s not lengthy, be prepared for questions, and clearly define your business and the problem that it solves. This is your chance to showcase your organization and planning skills!

It says a lot that you are already thinking about what you need to do before your business is ready to pitch to an investor. If you’d like more help with preparation and perhaps some additional guidance—you should get in touch with a startup attorney.

LawTrades is happy to connect you with a top-tier startup attorney. Our lawyers are highly experienced and educated in their specialized area of law. We go the extra mile to make sure that our clients are taken care of through effective communication and total project management. Take a look at our affordable services and get in touch for a consultation!