This video explains how to track fundraising performance using tools like Google Drive, Dropbox, and CRMs to monitor investor engagement and optimize outreach efforts.
What this video covers
As they say, if it doesn’t get measured, you don’t really know about the performance – what you’re doing, how you could optimize your chances of getting that investment when you are in front of investors. In today’s video, we’re going to be breaking it down for you and giving you the insights as to how you know if you’re doing a good job or if there’s a lot of room there for improvement.
When it comes down to tracking your fundraising performance, there are great tools that you can use. You can use Google Drive, you can use Dropbox, and you can even use a CRM to know how people are engaging. How many times are they opening your emails? What are they clicking on?
Try to prioritize the time with the people that are going to be more inclined to actually make an investment. Those are going to be people that are on your CRM, on the tool, where you can see how they’re engaging with your interactions, with your communication.
Perhaps there’s a certain amount of money committed, or there is a certain amount of people that have committed some money whenever you get that lead investor. Those are all people that you’re going to be counting towards understanding if there is some momentum or not.
Next is the number of investor meetings. Remember one thing. More emails, more communication to investors may lead to more meetings, but more meetings don’t equal more money because investors, for a living, are meeting with entrepreneurs. Who is introducing that entrepreneur?
Then, you want to track the number of follow-ups with investors. How many follow-up meetings are you getting? How many follow-up Q&As, calls, or emails are you receiving from those investors that are showing interest.
The number of targeted investors that you’ve pitched. For example, if you have a list of 150 people that you can get an introduction to, how many of those were you able to secure a meeting with?
There’s probably something wrong with this business,” and they don’t end up investing. That, in many instances, is leaving the company to die.
Then you can take a look at the pitch deck tools. There are tools, for example, like DocSend, that allow you to see who is viewing your slides, how many times, what are the slides that they’ve viewed the most.
And there are other tools that you can use. You’ve got to be careful here because in many instances, for those types of tools to really make sense, the investor is going to need to input their email.
If you’re able to come across tools where the investor doesn’t need to input anything to actually view what they’re seeing, that’s great.
The data room that you put together, which is that room, that folder on Google Drive or on Dropbox that you’ve created, how many people are viewing that? You can actually track this on the analytics. You want to know how many times they viewed it.
There’s enough interest to go one step above to really put your company through the x-ray and see if it makes sense or not to follow-through. This is one of the last steps to actually give you the money. If you have a lot of views and a lot of momentum in your diligence room, that is a very, very good signal.
The rule of thumb is that per 100 meetings that you get with 100 different investors, one of them is going to tell you Yes when it comes to making an investment. If you put that into perspective, what kind of performance are you getting?
Then, on your CRM, you want to take a look at the percentages. So, you want to take a look at the open rates on the emails. You have to take a look at the clickthrough rates, at the response rate and put that into perspective and know whether or not those are good numbers if you put them with industry numbers.
Typically, the best profile of people to make that introduction are entrepreneurs that have received an investment in the last 6 to 12 months from that investor that you’re looking to target because ideally, those people are still getting to know each other with the investor. They’re still in the honeymoon.
