Whether you’re a new founder or a seasoned entrepreneur with a thriving startup, knowing the secrets of investor due diligence will help you build a great company. For those savvy founders, knowing what an investor wants in advance will make you stand out from the crowd.
Before writing a check, investors ask founders questions, conduct research, and speak with their networks to gauge the potential of your startup. These activities are all examples of due diligence, and depending on the investor and the amount of cash you are raising, diligence can go from very simple to very complex.
Jacob Cordova, Director of Venture Capital Analytics at Rockies Venture (the longest operating angel investment group in the US) is pulling back the curtain and sharing secrets about what sorts of information VC and angel investors ask for, why they ask for it, and how the due diligence process works behind the scenes. Jacob has managed teams of analysts to execute due diligence with investors.
