Overture - an introduction to something more substantial

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Start-up struggling to raise capital? Look for a catalyst.

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Start-up struggling to raise capital? Look for a catalyst.

Justin Ho
Mar 23, 2023
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Start-up struggling to raise capital? Look for a catalyst.

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To start-up founders in a recession: find a catalyst before fundraising.

Catalysts build momentum and confidence, like successful product launches, M&A offers, and large commercial deals.

Momentum is on your side following a successful catalyst, and investors’ need a reason to invest _now_ vs. waiting 

Successful product launches or the introduction of new technologies can create a paradigm shift for your sector, driving innovation and growth 

M&A offers signify there is value to the tech and team you have built, even if you have very little revenue, setting a floor to your startup valuation. Plus, you can always say no :) 

For enterprise businesses, commercial deals, M&A, and fundraising can fuel each other.

Examples: Chat GPT 3.5 and Microsoft's investment in OpenAI led to investments in pre-revenue Generative AI startups. Lyft turned acquisition interest into a $600M fundraising round. RideOS closed a 7 digit commercial deal and turned it into an accelerated Series B.

Look for game-changing catalysts before you start your fundraising process! 

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Start-up struggling to raise capital? Look for a catalyst.

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