Match investor pitch decks to risk appetite, ticket size and purpose: angels (5‑10 L, fill the round), VCs (lead pre‑seed, need unicorn upside), family offices (20 L‑2 CR, happy with a 500 crore acquisition or SME IPO).
Most VCs reject 99 % of pitches; founders should raise a friends‑and‑family/angel round first to prove VC‑backability.
Angel investors typically have ticket sizes of 5‑10 L and are meant to fill the round rather than lead it.
Family offices usually offer 20 L‑2 CR tickets, have low risk‑taking capability, and are satisfied with outcomes like a 500 crore acquisition or an SME IPO.
I now ask every prospective investor a checklist of questions before signing a term sheet, including fund size, remaining years, follow‑on reserves, decision‑making process, expected milestones, board seat trust, and references to founders who struggled. If any answer makes the investor defensive, I walk away.
Founders should not feel obligated to meet investors early; the time can be better spent on personal health or product work.
Accepting a Tier‑1 term sheet too early locks the company into a lower valuation; waiting for higher traction usually yields a better price.
I separate building mode and raising mode into distinct focus periods to preserve momentum and avoid the loss of productivity that comes from mixing the two.