Due diligence of investors is an essential step in the process of investing. Due diligence on investors is an opportunity for investors to delve through the startup’s http://dataroomnote.com/on-premises-vs-off-premises-database-the-difference/ financials and documents, analyze the risk and decide if they wish to invest. A well-organized data room can accelerate the process, decrease the chance of miscommunication or miscommunication, and boost investor confidence.

This article will highlight a few of the fundamentals that all startups should have prepared before pitching to investors.

Investor Updates

Investor updates are a great tool to show investors you are still executing your plan and moving towards your goals. This is particularly true in the early stages. It also gives them an understanding of how far you’ve come since the last time they met you and will help build confidence.

Intellectual Property Assets

Angels and Venture Capitalists typically have an interest in a company’s intellectual property, which could be a big part of its valuation. Include patents, trademarks and other relevant data even if they’re not directly connected to your product.

Cap Table

A clear table of your cap shows potential investors the percentage of ownership you hold and how it’s broken into pieces. It’s recommended to include your articles of association, which provide legal background to your company’s structure.