How long does it take to fundraise?
The duration of fundraising varies depending on the stage of the startup and how much capital you are raising.
Below is a general timeline. 👇
Fundraising requires full-time attention–so don’t waste time.
Develop a plan and process to identify potential investors interested in what you are building.
You will need to do the following to kickstart your raise:
Build a list of 150+ investors (for early-stage startups)
Send cold and warm intro outreach emails (keep it short)
Secure meetings with investors and pitch in person or over Zoom
Follow-up correspondences
Start negotiating terms with interested investors
Be ready for due diligence
Draft term sheet
Seal the deal with lead and other investors
Get funded!
The timeframe for this process can range from a fast 1 - 2 months or as long as 9 - 12 months, depending on the due diligence process.
Each fundraising venture is unique and has a number of factors. The general stages look like the below to close the round:
Weeks 1 - 4: Pitch investors
Weeks 5 - 8: Conduct due diligence
Weeks 9 - 12: Draft the term sheet
Weeks 13 - 16: Craft legal documents
Weeks 17 - 20: Finalize negotiations
Weeks 21 - 24: Close deal
Below is a timeline illustrating the typical duration:
