Getting your business proposal into the right hands takes pluck, luck and persistence. Investors are deluged by startups looking for funding. The challenge is to grab their attention and keep it long enough for them to give your venture serious consideration. These tips can help:

Use referrals

Nothing garners the attention of potential investors like a strong reference. Tap into your database of friends, acquaintances, and colleagues for referrals to the contacts you need. If you don’t yet have a qualified attorney and accountant, get one immediately – professional firms that cater to startups often have close ties with professional investors. Finally, don’t pitch by proxy. Hiring an agent or broker to get you in to see an investor rarely works, and can even hurt your chances of finding money.

Work the Web

There are a growing number of Web sites designed to bridge the gap between qualified investors and startups looking for cash.These sites – such as garage.com and ACE-Net (see Resources) – act as matchmakers for investors and startups. Their screening processes, which can be as detailed as a VC’s, ensure that any plans forwarded to a particular investor meet his or her specific criteria. This kind of targeted introduction can be as useful as a direct referral.

Take advantage of public forums

Industry conferences, special events, and other financing forums are excellent opportunities for startups to connect with funding sources. Local “new media” or Internet groups, for example, often sponsor conferences where promising startups can make pitches to an audience of potential investors. Venture capital clubs and angel networks offer similar services. Attend these events even if you’re not ready to present – they present valuable networking opportunities, and you can learn from other startups’ presentations.

Consult VC Web sites

Like a sales call, approaching a venture capitalist takes solid preparation. You both want to find out if you may be right for a VC, and if that VC’s focus is right for you. Spend some time researching potential investors to ensure you are targeting a good prospect. Most VCs have Web sites that provide an abundance of useful information – their investment goals; their portfolio of companies; backgrounds of individual partners; average investment amounts; and other parameters. They also often detail specific guidelines for submitting a plan.

Have the right documents ready

There are three documents you will need to prepare before approaching an investor:

1.	Slideshow – A presentation (often in Microsoft® PowerPoint®) describing your business. Try to keep it to no more than 15 slides.
2.	Executive Summary – A high-level synopsis of your business plan. It should be no more than 2 pages.
3.	Business Plan – The roadmap of your business, and the most crucial document to an investor. Keep it succinct, under 25 pages.

Each of these documents should be well-researched, easy-to-read, and highly professional. They should not require explanation, and should reflect your energy and enthusiasm for your idea. This will help investors believe in your vision. Update these documents every time your company hits a new milestone or signs a new customer to convey your ongoing success.

Get your site running

If you’re starting an Internet-based venture, don’t even consider visiting a potential investor unless you have a demo site up and running. It doesn’t have to be the final site, nor does it even have to be available to the public. Venture capitalists and investors like to see something concrete. While they receive pitches for hundreds of ideas, they don’t always get ideas that can be executed. Your demo site will show that you have a clear understanding of what works on the Web, and how users will navigate your site. It doesn’t have to be perfect, but it does need to convey that you’re ready to put an investor’s money to work effectively.

The VC Process
The New Rules for Fast-Growth Startups
Incubator FAQs
Fast-Growth Startup Resources