Chapter 4 - Investor Relationships
IN THIS LESSON
Getting a Third Investor Meeting
After you have had the second meeting with the investor (either in person, by video call or by phone), you need to work to get a third meeting with the investor. As we have been saying throughout this course, this is about fostering a relationship with the investor, getting to know one another, building trust through open and honest conversations, and establishing a rapport through meaningful interactions.
If you have only talked to the investor by phone or via Skype on a video call, this third meeting is when you really need to meet the investor in person, especially if this person could become your lead investor. Even though a video call is fine to start the relationship, an in-person meeting allows you to get a better sense of the person’s nonverbal communication.
When an investor believes in you as the founder/CEO of a start-up and is genuinely excited, this positive affirmation will be expressed nonverbally in a face-to-face meeting, more so than even on a video call. You want to observe if the words that the person is saying are matching the overall vibe and feeling that the person is conveying.
This gets more into the realm of emotional intelligence, which may or may not be your thing. But the point here is that you want to confirm the alignment that the investor’s interest is genuine and that you are building a good relationship. You will want to look the person in the eyes and know you can trust them.
In addition, by having a third meeting, you are keeping the conversation going forward. Even if the investor was shaky in his interest in the first meeting, he could be increasingly interested by the third meeting with you. It would show that you are listening to him and adjusting your information-sharing to what he is interested in or finds relevant. You have basically been educating the investor through multiple meetings, so he can make a more informed decision.
When an investor likes you as a person, trust you as a leader of a start-up company, is moved by the story you tell about your business, and has seen from you useful and relevant information about the opportunity for growth (and to make money), then you are hitting the mark. You’ll know by the third meeting where you stand.