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Outbound & Capital Raising Principles
Ryan Chen
January 06, 2025
Hey there,
Welcome to Capital Growth Partners newsletter. It is approximately a 4-minute read.
In today's newsletter, we are going to cover why using outbound as a channel to source investors is effective for private placements under 100M.
We are going to go over…
Why most email campaigns don’t work
Why having relationships at a few institutions isn’t enough
What the fastest way to raise capital is
Actionable Tip
Most ventures or early stage ventures raising capital tell me that email doesn’t work and they tried it before and yada yada yada. I’m really here to say all of that is bull shit.
With raises for companies it’s really a matter of investor message fit. That means that the investor might be looking for your exact profile at the time of writing and that you would need to have the track record to back that up.
In the fragmented space of early stage raises - that just means you have to reach enough of the right people and land in their inbox with a short and concise message.
Best Link
👁 Use this software to write newsletters to your investors (link)
💰 Use this to automate Linkedin outreach (link)
✔ Find investors using this platform (link)
⭐ Investor Type Matrix (link)
💵 Use this software to send massive volume of emails (link)
🕴️If you are a capital provider looking for deal flow click here (link)
🥂Recommend our newsletters here (link)
Why Most Email Campaigns Don’t Work
Most email campaigns don’t work because they don’t land in the inbox. The writer proceeds to also attach a PDF (usually the deck or a teaser) that goes straight to spam and expects the recipient to really take the time to open it and read. Most people don’t read spam and most people don’t read reallllllyyyy long messages from strangers. What’s required is a short and concise email that really sells the other party on why the business is a fantastic idea before looping them and presenting a full blown deck to convince the other side.
Why Having A Few Relationship At Institutions Isn’t Enough
The investment landscape is always changing. That means that a relationship that you have that invests in X one day of the year might later adjust to Y. Having relationships set up in different buckets like VCs, PEs, and family offices is a fantastic start but in the fragmented space of early stages of financing you need to probe into new funds constantly because of new entrants that can potentially fund your round.
What The Fastest Way To Raise Capital Is
If the product/concept is good & the founders track record is good then it’s simply a matter of connecting the right investors in a massive volume. I.E if you have 100 investors who raised their hand to invest in your round you probably will close one. The way you do that is by leveraging technology and having them read your message. And even if they don’t know you, if your concept is right then they will invest. Your product/concept should be good enough that you don’t need to depend on the relationship to sell.
How I Can Help You
If you like this newsletter and want to work with me, there are a few ways we can do so: