Do you want to raise capital for your startup? Here are 6 tips to achieve it

According to The Failure Institute, 65 percent of startups in Mexico fail because they do not have sufficient income to survive and 38 percent have financing problems.

Lack of capital is a common situation for startups, money is what makes a business feasible, that is why at all stages of the company it is necessary to raise capital . For this, G2, a firm specialized in startups and in the implementation of strategies for raising capital, offers you the following recommendations:

Build good relationships , even if you consider that they are not yet in time to start your first capital rounds, it is important that as a founder, you begin to explore financing options, who your potential investors may be and how you can have first approaches with them or with people who link you with investment funds or angel investors.

• Read: 4 questions to ask yourself before raising capital

Don't burn bullets ahead of time. If the ecosystem of entrepreneurship is small, the Venture Capital of the what is far more, so do not go looking for an appointment to pitch with an investor who does fit with your project if you are not sufficiently prepared for it.

Pitcha with passion. At G2 we are looking for passionate entrepreneurs, who believe in their project and who have all the impetus to move forward with each milestone, each situation that arises in the market, with the product, with the clients. A good entrepreneur is a guarantee that the startup achieves success, since passion maintains the commitment to build the company.

Rate your investors. Do not go with the first investor you meet, you must know their investment thesis, the criteria with which they invest in companies, in which industries they invest, what their values are; Investigate what type of companies you have invested in to see if it is appropriate and match with the company.

Focus and make sure that no one or nothing allows you to deviate from your main objective. Draw a roadmap and align your company to achieve those goals, that when you obtain the capital you need, you will require your entire team to take your startup to the next level.

Define your vision and your metrics Your main objective is to negotiate with your prospective investors, so what you can best offer is a great vision of your company and metrics that guarantee that the business is business for them too.

These are some recommendations that we offer you, since raising capital is an art that you should be practicing constantly. Practice, create a great pitch, follow the previous recommendations and preferably, become an expert to create a strategy in raising capital.

• You may be interested: The playbook to raise capital for your startup