So, what does effective project planning for fundraising involve? To sum it up, it’s about mastering priorities, finding investors, and understanding your finances. I get it—it might feel like a big job, but It's really about being prepared and steering clear of avoidable pitfalls.

Let’s jump right in…

The Eisenhower Matrix

The Eisenhower Matrix is a super useful way to figure out what really needs your attention. Think of it as a simple 2x2 grid: one side's about how crucial stuff is, the other's about how quickly it needs doing.  Within this matrix, there are 2 quadrants where it’s easy to to decide how you handle them. For the stuff that's both urgent and mega important—those are your top priorities, handle them right away, no questions asked. Then, at the other end of the scale, there's the stuff that's neither urgent nor important. Also easy decision: you can just not do them and save your energy.

But where does fundraising prep work fit in? That kind of work ends up in what I call the danger zone of the Eisenhower Matrix—crucially important but not gun-to-your-head urgent.

As founders and CEOs, you've got a laundry list of tasks—hiring, firing, getting customers, building products—all crucial, all demanding your attention right now. So, preparing for fundraising often gets pushed aside, thrown into the non-urgent bucket.

But here’s the catch: delay that work too long, and suddenly it’ll become urgent. That's when you hit the fundraising wall. You're knee-deep in running your company, and then it hits you: "I need to start fundraising now." But by then, the clock's ticking louder than ever, and there just isn't enough time left to do it justice…

So, our goal? It's simple: move those fundraising tasks out of the danger zone and onto your calendar. That's the crux of project planning for your fundraising prep.

Identifying investors

How do you identify and approach target investors? This is a challenging task. Let's start by checking in: Have you started building your target list? The numbers vary widely: some have a small list of 20, while others have extensive lists of 85 or even 350 investors. If you plan to close funding within a short timeframe,  you might wonder about the necessity of a large list. The key is understanding why you need these investors and what strategy will work best for you.

Now, you might be thinking, "How do I compile a comprehensive list of target investors?" The answer lies in breaking down the task into manageable steps. Think of it like eating an elephant—one bite at a time. Each investor on your list requires research and possibly a request for a warm introduction. It's a time-consuming process, especially as you move beyond your immediate network and start exploring connections further afield.  But the work is necessary and someone has to do it.  Even the most connected people in the world go through this when setting up a best-in-class fundraise.

Here's a key principle: in fundraising, warm introductions are essential. Even though some deals get done through cold outreach, relying solely on this method will likely lead to disappointment. Therefore, focus on building a target list of investors whom you can approach through warm introductions. Cold outreach can be part of your strategy, but it should not be your primary approach. I often advise setting aside only 10% of your efforts for cold outreach. Instead, invest time in expanding your network, meeting other founders, and connecting with people who can introduce you to potential investors.

So, let's break it down: chop up your research work into blocks of 10 investors at a time to make it more manageable. Research each one thoroughly, identifying potential connections and pathways to approach them. Allocate sufficient time for this process, perhaps an hour per 10 investors. Initially, the first 10 might be quicker, but as you progress, each subsequent batch will likely require more effort. If you aim for 100 investors, plan for at least 10 hours of focused effort. If you're targeting 200, double that timeframe. Remember, the goal isn't just to hit a number—focus on building a robust and well-researched list that aligns with your fundraising goals.

Look out for part II, coming next week 💪

Be chased,
Jason