Raising Money: What Not to Say and What Not to Believe
by GuyKawasaki
Over the past two weeks via my partnership with Microsoft and Office Web Apps, I’ve provided templates of models for you to create enchanting PowerPoint pitches , Word business plans , and Excel financial models . They are all available for you to download from my SkyDrive account . I hope these documents and blog posts help you save a boatload of time and increase the quality of your efforts.
I leave you with two sets of top ten lies: one of entrepreneurs and one of investors so that you know what not to say and what not to believe.
Top Ten Lies of Entrepreneurs
-
“Our projections are conservative.”
-
“Jupiter says our market will be $50 billion in ten years.”
-
“Several Fortune 500 companies are set to do business with us.”
-
“No one else can do what we’re doing.”
-
“Hurry up because other investors are about to do our deal.”
-
“Our product will go viral.”
-
“The large companies in our market are too big, dumb, and slow to compete with us.”
-
“Our management team is proven.”
-
“We filed patents so our intellectual property is protected.”
-
“All we have to do is get 1% of the market.”
The average number of these ten lies that I hear in most pitches is ten. At the very least, tell investors new lies.
Top Ten Lies of Investors
-
“I liked your company, but my partners didn’t.”
-
“We are patient investors who want to help you build a great company.”
-
“If you get a lead, we’ll invest too.”
-
“There are no companies in our portfolio that conflict with what you’re doing.”
-
“Show us some traction, and we’ll invest.”
-
“We love to co-invest with other firms.”
-
“We’re investing in your team.”
-
“We have lots of bandwith to dedicate to your company.”
-
“This is a plain, vanilla termsheet.”
-
“We will get other companies in our portfolio to work with you.”
Do you know what the difference is between the lies of entrepreneurs and the lies of investors? The investors have money.
It’s not all bad news. Think of everything that an entrepreneur needs (tech ones, anyway), and you’ll see that most things are free or cheap.
-
Marketing: use blogs and social media to promote your products.
-
Tools: most tools are Open Source and free. Microsoft offers free versions of applications like Word, Excel and PowerPoint in the cloud!
-
Infrastructure: More cloud goodness—you don’t have to buy servers anymore.
-
People: callous for me to say, but in a recession, people are free or cheap.
-
Office space: what office space? You can work out of your garage (like David Hewlett and Bill Packard) or just form a virtual team.
The bottom line is this is one of the cheapest times to be an entrepreneur, so go into your garage and start prototyping. Then when you need to create enchanting documents to raise money using PowerPoint, Word, and Excel, we’re all set to help with Office Web Apps, SkyDrive, and my templates .
Promotional consideration paid by Microsoft.
Scroll down for more posts ▼
Top 10 Most Recent News Articles
A Well-Earned Accolade in Franchising When you've got your finger on the pulse of the franchise business, it’s hard to ignore the likes of Rebecca Grovenstein snagging the IFA Franchisee of the Year award. Running a business ain't for the faint of heart, let alone steering multiple franchises to success. Grovenstein's operations of Lightbridge Academy in Apex and Holly...
Continue Reading
Popping Corks for Creativity: Decoy's New Chapter Stepping outside the vines and into the artistic limelight, Decoy Wines is shaking up the status quo. Announcing the launch of the Pour to What's Possible Grant, the brand is throwing down $10,000 to back creatives itching to make waves in entertainment. Now, doesn't that stand out? The Grit Behind the Grapes: Decoy's...
Continue Reading
The K-Royal Culture Festival is rolling out in Fall 2026 with a flair that promises to capture the globetrotters' imaginations and then some. South Korea's signature national heritage jamboree is popping off from October 7 through October 11, 2026, at four magnificent palaces and the Jongmyo Shrine. If you're into discovering the depths of a place's history through...
Continue Reading
New Frontiers in Lung Cancer Treatment Well, here's a story that rattles the cage in the oncology world. The name of the game is ivonescimab, Akeso’s latest move as they toss their hat into the already crowded yet pivotal lung cancer treatment ring. This isn't just some side hustle—they've got Phase III data pointin' straight north, figuratively casting a shadow over...
Continue Reading
Traders buckle up! GenesisFX Markets just kicked open a new chapter in forex and CFD trading with their Live Leaderboards and beefed-up social trading tools. What's the commotion about? Well, that's your hook. These leaderboards are the newest addition to their ecosystem, paired with some serious social trading muscle. As Arkadiusz Bujalski, the Head of Ops and System...
Continue Reading
The Future of Education Shaped Today There's a profound shift happening in higher education, and it's not the usual undergrad grind most folks think of. Cate Tolnai, stepping into her role at the University of Phoenix, is in the thick of it. She's set to join the UPCEA Council for Credential Innovation's leadership team, and that isn't some fluff title. Her appointment...
Continue Reading
Digging Deeper with AI in M&A Deals Picture this: you’re at the table with a fat corporate M&A deal, eyes darting as you decipher numbers and nods, when out swings Plan A Technologies with their new ace up their sleeve—a stealth AI assessment tool armed to sharpen their technical due diligence. Unmasking the Tech Jigsaw Las Vegas-based Plan A Technologies hasn't just...
Continue Reading
Unearthing the Secrets of High Valley AVA Brassfield Estate Winery, tucked away in Northern California's Lake County, is setting the wine world abuzz with its unique approach to Cabernet Sauvignon. As they celebrate International Cabernet Sauvignon Day, it's a chance to spotlight the magic that their High Valley terroir brings to the table. The Allure of High-Altitude...
Continue Reading
Veteran suicide is a crisis staring us square in the face, with rates 60% higher than the general population. It's a grim reminder that the mental toll on those who've served is a deep chasm hard to bridge. Cohen Veterans Network (CVN) is stepping up to the plate with a new campaign dubbed 'Ask Anyway: Conversations to Save a Life'. This isn't just any awareness...
Continue Reading
Legal Storm Brewing Around Geron Corporation Ah, the familiar smell of trouble in corporate paradise, and this time it's drifting from Geron Corporation (NASDAQ: GERN). If you've got your chips on the table with these guys, you'd better pony up and listen up. Kuehn Law, PLLC is lighting a fire under Geron's board, snooping on whether their head honchos scuttled their...
Continue Reading
Top 5 Most Recently Viewed Articles
Impact of Federal Scrutiny on Corporate Philanthropy Strategies In a climate marked by increasing federal scrutiny on Diversity, Equity, and Inclusion (DEI), a recent survey shared some eye-opening insights from corporate philanthropy leaders. This research indicates that roughly 55% of these leaders believe that federal pressures are reshaping their corporate giving...
Continue Reading
S&P Global Leadership to Share Insights at Investor Conference Martina Cheung, the President and Chief Executive Officer of S&P Global (NYSE: SPGI), is set to participate in a significant event known as Raymond James' Institutional Investors Conference. Cheung's presentation is scheduled for a time slot that allows for extensive engagement with institutional investors,...
Continue Reading
CPI Aerostructures Welcomes Paula Castellano to Leadership Team CPI Aerostructures, Inc. (NYSE: CVU) has recently made an exciting addition to its leadership team with the appointment of Paula Castellano as Senior Vice President, Operations. This strategic move highlights the company's ongoing commitment to excellence in the aerospace manufacturing sector. Paula...
Continue Reading
ScanTech AI Systems Secures Nasdaq Compliance ScanTech AI Systems Inc. (NASDAQ: STAI), a prominent player in AI-enhanced security screening, has successfully met Nasdaq's compliance requirements for publicly held shares. This achievement demonstrates the company’s resilience and ongoing efforts to strengthen its market position. Details on Compliance Notification...
Continue Reading
AMD Challenges Amid Competition Shares of Advanced Micro Devices Inc (NASDAQ: AMD) continue to experience downward pressure, influenced by a wave of competition from key market players. The latest movements follow an investment by Intel Corp (NASDAQ: INTC) from a prominent shareholder. This situation highlights the ongoing tension within the semiconductor landscape. The...
Continue Reading
