FUNDRAISING STRATEGIES
The best investors for your startup depend on its stage and development needs.
Early Stage
- Sweat Equity & Friends/Family
- Founders and their close circle invest personal funds for initial expenses.
- Clarity and upfront communication about goals and intentions are crucial.
- Non-Profit Grants
- Ideal for aligning a company's mission with a non-profit's goals.
- Ideal for aligning a company's mission with a non-profit's goals.
- More prevalent in healthcare and social issues.
- Provost‘s Proof of Concept Fund
- Non-dilutive grant to advance innovation prototyping (only eligible to pre-startup technology at Tulane University).
- Non-dilutive grant to advance innovation prototyping (only eligible to pre-startup technology at Tulane University).
- SBIR/STTR Grants
- Federal grants for research in small businesses (<500 employees).
- Excellent for early research funding but has a lag between phases.
- Learn more at www.sbir.gov.
Growth Stage
- Angel Investors
- Successful entrepreneurs who are investing $25k-$100k each, often in groups. Funding is dilutive in exchange for equity.
- Provide capital and valuable guidance.
- Examples: Gulf South Angels, Lagniappe Angels, Red Stick Angel, New Orleans Startup Fund, Tulane Ventures.
- Successful entrepreneurs who are investing $25k-$100k each, often in groups. Funding is dilutive in exchange for equity.
- Industry Partnerships
- Collaborations with larger companies for product development and validation.
- Provide non-diluted capital and boost valuation.
- Careful structuring is crucial to avoid hindering growth.
Later Stage
- Venture Capital Firms
- Professional investors managing pooled funds generally from high-net-worth individuals and institutions. Funding is dilutive in exchange for equity.
- Invest significant capital and offer valuable expertise and network.
- Examples: High-tech VCs are more common than life sciences VCs due to shorter exit timelines
PITCH TO US!
By understanding your options and making informed decisions, you can secure the proper funding to propel your startup toward success.
Choose investors wisely
Their experience and network can significantly impact your company's trajectory.
Seek expertise
Utilize resources at Tulane Innovation Institute and other support networks for guidance.
Match the investor to your stage
Each type of investor offers different benefits at different stages of your startup journey.
