How To Cold Email Investors - Michael Seibel

Summary

In this insightful guide, an experienced investor shares essential tips for founders on how to effectively cold email investors when seeking funding. Key recommendations include keeping emails concise and focused, avoiding jargon, using a professional email address, and clearly presenting the problem and solution. Founders should aim for a quick response rather than immediately requesting meetings, and they should track email opens to gauge interest. By following these strategies, entrepreneurs can improve their chances of initiating meaningful conversations with potential investors.

Takeaways

• 😀 Keep your cold email short enough to read in 60 seconds or less.
• 📌 Clearly articulate the problem you're solving and your solution.
• 📈 Mention any traction you've gained, such as launches or growth metrics.
• 🤝 Include information about your co-founders and your team's capabilities.
• 💡 Highlight unique insights or controversial knowledge about your market.
• 🗣️ Use simple, jargon-free language that anyone can understand.
• 📧 Send your email from a professional company email address.
• 📊 Attach a well-formatted deck if relevant, following industry standards.
• 🔍 Track email opens to gauge interest and engagement.
• 🚫 Avoid requesting meetings in the initial email; focus on starting a conversation.

Q & A

What is the primary goal when cold emailing an investor?

The primary goal is to get the investor to read your email and engage in a conversation, not necessarily to secure an investment right away.

How long should a cold email to an investor ideally be?

A cold email should be concise enough to be read in 60 seconds or less.

What key information should be included in the email?

The email should include the problem you are solving, your solution, the current status of your product, market potential, team details, and any unique insights into your industry.

Why is it important to avoid jargon in your email?

Avoiding jargon ensures that the email is easily understood by the investor, who may not be familiar with industry-specific terms.

What type of email address should founders use when contacting investors?

Founders should use a professional company email address that clearly identifies them, rather than personal or unclear email formats.

Is it necessary to attach a pitch deck to the cold email?

Attaching a pitch deck is not required but can be helpful. If you do attach one, ensure it follows common formats that investors expect.

How can founders track whether their email has been opened?

Founders can use email tracking tools to monitor open rates and see if investors are reading their emails.

What should founders avoid doing in their initial email to investors?

Founders should avoid making the email too long, immediately requesting an in-person meeting, sending multiple follow-ups quickly, and neglecting to clearly describe what their company does.

Why is it a mistake to request a meeting in the first email?

Requesting a meeting too early can make investors feel pressured. Instead, the focus should be on piquing their interest and starting a dialogue.

What is a good strategy for writing a follow-up email if there is no response?

If there is no response, it's best to wait a reasonable amount of time and send a polite, brief follow-up rather than bombarding the investor with multiple emails.