Let them know where they stand

I originally wrote this while fundraising earlier in 2012 for Boxcar, but never posted it. While reading “Here is what NO looks like" by Joanne Wilson (Gotham Gal), I was reminded of this post.

With great investors, you always know where you stand. You know if they’re still evaluating the deal, if they’ve passed or if they’re in.

Over and over again I saw this play out with Boxcar. Top tier investors - name brands - ┬áthat we interacted with always let us know where we stood. Whether that was a simple “no thanks, we’re passing” or a “come back in and let’s have another conversation”, we at least knew what was going on.

That’s important because fundraising is hard. Rejection hurts, but it closes the loop. It lets you put your attention towards other investors.

Not replying to an entrepreneur’s follow-up email is bullshit. You’re not that busy. If you think you are, get your assistant to do it. It’s not that hard and it’s incredibly disrespectful to the companies trying to get your attention.