A growth company, regardless of whether it is actively seeking
capital, should always be fundraising. Fundraising is more than
just a formal period during which a company is officially seeking
capital. A growth company must also engage in the informal process
of getting its name out, creating a buzz and networking. Investors
are more likely to invest in companies and people they know, and
the best way to get to know a company is by watching it grow.
Company founders should network with investors whenever possible
and build relationships that create possible platforms or networks
for future fundraising.
Raising capital is not a quick process. In fact, a formal raise
takes time, usually longer than you think. One of the best ways to
jumpstart the process and better position a company is to regularly
engage in the informal fundraising process by consistently
networking with investors.
