Questions about finding investors

Finding investors starts with a clear profile of who fits your deal. These answers cover how to build a focused list and where each investor type tends to be reached.

1 question

Related tool: Family office fit check. Browse all capital raising questions.

Who invests in what

I start with fit. Ten investor types, the stage they usually invest in and what they want to see.

Investor typeTypical stageTypical check size varies widelyWhat they want to seeHow to reach them
Friends and familyIdea to early businessHundreds to tens of thousands of dollarsClear explanation, personal trust, use of funds, risksPersonal conversations and warm introductions
AngelsEarly stageThousands to hundreds of thousands of dollarsTeam, problem, early evidence, clear planFounder networks, angel communities, relevant introductions
Angel groupsEarly stageTens of thousands to low millions per group roundPresentable opportunity, team, diligence materials, fit with member interestsGroup application, pitch events, member referrals
CrowdfundingEarly stage to growthHundreds to thousands per individual; the total varies widelyClear public story, audience, campaign materials, eligibility and platform fitRegistered crowdfunding platforms and an existing audience
Family officesEarly stage to mature, direct deals or fundsHundreds of thousands to tens of millions of dollarsTrusted operators, fit with priorities, understandable structure and risksWarm introductions, relevant events, focused relationship building
HNW private investorsEarly stage to matureTens of thousands to several million dollarsCredibility, an understandable opportunity, fit, useful communicationTrusted intermediaries, referrals, targeted networking
Venture capitalSeed to growth, depending on the fund mandateHundreds of thousands to tens of millions of dollarsLarge market potential, growth evidence, team, fund fitWarm introductions, founder networks, targeted outreach
Private equityEstablished businesses and buyoutsMillions to hundreds of millions of dollarsFinancial history, management, transaction fit, diligence accessAdvisors, intermediaries, direct sector outreach
Institutional LPsFunds with an established strategy and operating historyMillions to tens of millions or moreStrategy fit, track record, operations, reporting, governanceInstitutional networks, consultants, existing relationships
LendersStartups through established businesses, depending on the productThousands to tens of millions of dollarsRepayment capacity, collateral or guarantees where they apply, cash flow, credit and termsBanks, credit unions, specialist lenders, brokers

Check sizes are broad, commonly cited ranges for orientation, not limits or promises. Actual checks vary by region, fund mandate, company, structure and investor. The ranges are general knowledge and do not come from Richard's talks.

Watch: 1 videos

Finding Investors | Ep 15

The video discusses reaching out to investor leads after defining an investor avatar. It emphasizes staying focused and adding value while seeking warm investor leads.

Richard C. Wilson

General education only. Not legal, tax or investment advice.

About Richard C. Wilson

Richard has run the Family Office Club since 2007, the largest investor club in the world by media reach. The team hosts 30 events a year, including 16 in person, and has hosted more than 340 events. Richard has done 46+ transactions as an investor and shares what he has learned on the Centimillionaire Strategies YouTube channel.

If you're working through a raise and have a question, I'm happy to help. Text or WhatsApp me at (808) 600-9260 or email Richard@CapitalRaising.com.

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