So You’ve Missed the 2024 Cap Raise Window… What Now?
Maximise Your Downtime to Build a Winning 2025 Fundraising Strategy
The 2024 capital raise window has closed, but the holiday period offers a golden opportunity to prepare for a strong start in January 2025. Here’s how to make the most of the next few weeks.
TL;DR:
Missed the window? Use the holiday downtime to refine your strategy, prepare materials, and get your house in order.
Send investor updates mid-January to catch their attention as they ease back into work.
Focus on rebuilding momentum with meetings planned from late January onwards.
Prepare for first investor settlements to land as early as April, but more likely May 2025.
Part 1: Questions Aussie founders should ask startup investors - qualifying investors
Part 3: Australian Founder Red Flags That Investors Watch Out For: What You Need to Know
1. Reflect and Refine Your Fundraising Strategy
Use this time to evaluate and improve your cap raise approach.
Questions to Ask Yourself:
Were you executing an effective and efficient raise, or were you procrastinating?
Did you target the right investors?
Was your pitch compelling and data-driven?
How can you set yourself up for capital raising success in 2025?
💡 Action Step: Identify areas for improvement and set clear objectives for your next raise.
2. Prepare Your Materials
Investors expect polished, professional materials. Ensure you have:
Teaser Pitch Decks: Tailored for both technical and non-technical audiences, ideal for email outreach.
Investor Presentations: A comprehensive long-form deck for pitching in meetings.
Warm Intro Templates: Email scripts for requesting introductions to potential investors.
Pre-Termsheet Data Room: Organise basic financials, forecasts, cap tables, and team bios.
Compelling Narrative: A clear, simple, and inspiring story that ties your mission to your business plan.
💡 Pro Tip: Focus on simplicity and clarity. A strong narrative can make all the difference.
3. Deepen Investor Relationships
Founders who maintain relationships with investors have a head start as relationships are they key to early stage investing.
What to Do:
Holiday Updates: Schedule a year-end email for Wednesday, 15 January 2025. Investors will likely be back but not yet swamped with meetings. Reflect on 2024 achievements and outline 2025 plans to grab their attention.
Personalised Touches: Share a quick holiday message to key investors to keep the relationship warm.
Want more Aussie founder cap raising content?
Check out some of my other articles on fundraising..
Part 3: Australian Startup Red Flags That Investors Watch Out For: What You Need to Know
Part 2: Australian Founder Red Flags
First Investor Meeting? Questions Aussie founders should ask startup investors
How long does it really take to raise startup capital in Australia?
ASIC and Competitors - A Practical Guide for Aussie Founders
4. Address Red Flags
The holiday break is a great time to tackle potential concerns investors may have.
Examples of Red Flags:
Legal risks or unresolved disputes.
High burn rate or unsustainable margins.
Messy cap tables (e.g., too many small shareholders).
Customer metrics like retention and churn.
💡 Learn More: Check out our series on red flags:
Part 3: Australian Startup Red Flags That Investors Watch Out For: What You Need to Know
Part 2: Australian Founder Red Flags
5. Know Your Numbers and Rehearse
This is your chance to truly master the details of your business and market.
What to Do:
Know Your Numbers: Understand your financials, growth metrics, margins, and market size inside out.
Rehearse Your Pitch: Practise presenting your story with confidence and clarity.
Anticipate Objections: Develop well-thought-out answers to tricky questions investors may ask.
💡 Pro Tip: Roleplay investor meetings with advisors or team members to perfect your delivery and responses.
6. Rebuild Momentum in January
Momentum is critical in fundraising. Investors are refreshed and ready for new opportunities in late January.
Key Actions:
Start scheduling meetings for the end of January.
Share updated plans and key milestones achieved over the break to reignite interest.
💡 Need Guidance on Raising Capital?
If you're exploring funding options and would like insights or support, feel free to reach out to Warwick Donaldson here on LinkedIn or here via our website.
7. Plan for Your First Investor Settlements in 2025
First settlements are likely to land in April or May 2025. Here’s why, using a best-case scenario:
Late January/Early February 2025: You restart meetings.
4-6 Weeks: Allow time for investor conversations, relationship-building, and due diligence.
2-4 Weeks: Negotiate and execute SAFEs or convertible notes. For priced rounds, negotiations may extend to 4-12 weeks.
1-2 Weeks: Fund settlement after agreements are finalised.
💡 Takeaway: SAFEs or notes could close by late April; priced rounds will very likely take until May or later.
8. Take Care of Yourself
Capital raising and startups are a marathon, not a sprint. Burnout can diminish your ability to lead effectively, make sound decisions, and maintain resilience.
Use the holiday break to step back, regenerate, and enjoy life. Spending time with loved ones, indulging in hobbies, or simply resting can give you the energy and perspective needed to tackle the challenges of 2025 with renewed focus.
Balancing preparation with self-care ensures you're at your best for the next phase of your startup journey.
Final Thought
Missing the 2024 window isn’t ideal but it’s a chance to regroup, refine and prepare. With a thoughtful strategy and strong materials, you’ll be ready to hit the ground running in 2025.
Hi - I’m Warwick Donaldson, the author of the Aussie Startup Capital Nerd.
I specialise in providing hands-on capital raising support services for the best Aussie startups (primarily DeepTech).
And I'm always representing the best interests of founders.
Over my career I’ve worked on 150+ startup fundraises, $50 billion in debt deals, founded three companies and have been the early hire at many scaling startups.
Contact me so we can see if it's a fit to discuss the most efficient capital strategy for you!
Disclaimer: Excentricity Pty Ltd, trading as CapXcentric (ABN 42 679 978 959, AFS Representative No. 001311296) is a Corporate Authorised Representative of True Oak Investments Pty Ltd (ABN 81 002558 956, AFSL 238184). The information provided in this article is intended for companies and startups and is not directed towards investors. Any statements or representations are general information only and do not take into account your personal objectives, financial situation or needs. Readers are advised to have regard to their own circumstances and consider seeking specific advice from a professional adviser before making any business decisions. No representations are made as to the accuracy, completeness, or reliability of any information provided in this article. Readers use the information provided at their own risk.