2/09/2014

Why Startups Seeking Funding Should Use Content To Build Their Credibility

Today, venture capital (VC) is more democratic than ever. Investors are becoming increasingly sophisticated, and geography is no longer a constricting factor.

Lower barriers, however, create stricter filters. With so many startups jockeying for funding, the Internet also enables investors to make snap judgments. Therefore, if you're looking for funding, you can be sure that your online presence will be the subject of intense scrutiny.

What do investors want to see? According to Edith Yeung, founding partner at RightVentures, there are two main criteria: the passion of the entrepreneur and the potential of the startup.

What better way to convey passion and potential than with well-crafted content? Yeung says that, with strong content, you can "take a stand publicly…addressing issues that [investors] care about in a timely manner."

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Establishing yourself as an industry thought leader gives you a competitive advantage in the fight for funding. Here's how you can use content to gain visibility, attract investors, and secure capital.

Start with Strategy

When your media presence is strategy-driven, you can shape the way funders perceive you.

Before you begin publishing content, ask yourself some basic questions about your brand. What sets you apart? What are the potential funding concerns?

Strive to create content that is inherently useful for investors — meaning it answers their questions. If they don't find it valuable, they'll never read it.

Fortify Your Presence with Credibility

"There is a common misconception between 'getting press' and being credible," says Rishi Roongta, a venture capitalist at Pritzker Group.

Ensure that every potential point of interaction with your brand showcases your dedication and credibility.

When investors Google you, they should find:

A solid, vibrant presence on all of your social media platforms. Whitepapers, case studies, and testimonials on your website. Articles you've published in a diverse set of publications.

Remember: Your email signature is a valuable tool to bring each of these together. Recently, I saw an email from Elite SEM, and their team uses each email to market its newsletter. I update my email signature to include my latest published article. This is valuable real estate. Don't waste it.

Deliver Content to Your Audience's Doorstep

Yes, getting published on Forbes and The Wall Street Journal does wonders for your overall credibility. But an article in a VC industry journal or publication establishes a direct line of communication between you and your ideal funder. Choosing the right publication can be as important as writing the right message.

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