Before any slide is shown or your practiced opening line is delivered, an investor’s decision is already forming. In recent years, I’ve guided several early-stage startups in preparing for investor meetings, including a successful €50 million Series B closure. I’ve also assisted teams through their first detailed due diligence process, where questions delve beyond the pitch.
I’ve learned that investors make their initial judgments before you reach the graphs and roadmap. They assess your grasp of various aspects. Here are five things experienced investors notice quickly:
1. **Are you grounded or just glossy?**
Authentic confidence comes from real engagement with your product, team, and timeline, not just presenting the best version of your story. While polish is acceptable, overly rehearsed or defensive tones can raise alarms. At Series B, you’re proving your capability to navigate reality.
2. **Do you understand your operational fragilities?**
In one MedTech company I supported, a perceptive investor pinpointed our post-market compliance timelines, leading to discussions about team capacity and operational realism. In sectors like FoodTech and MedTech, where compliance affects market access, assumptions can undermine credibility. Investors dislike surprises; show that you’ve considered your pressure points and planned accordingly.
3. **Do you know who your product is really for and how they buy?**
At early stages, founders pitch to product users. By Series B, the focus shifts to understanding buyers, procurement processes, and revenue timelines. In regulated fields, knowing your end user and gatekeepers like health insurers and regulators is essential. Inability to explain your go-to-market strategy indicates a shallow understanding of your field.
4. **Is your deck aligned with your decision-making?**
Presenting a deck that smooths over changes can be risky. Discrepancies between your pitch and actual processes, such as timeline shifts, damage investor trust. Consistency is key to building credibility.
5. **Can you admit what you don’t know?**
Confident founders can say “I don’t know” and handle difficult questions without panic. They demonstrate willingness to learn and have a team complementing their gaps. Investors look for adaptability and honesty. Overconfidence may indicate a lack of exploration into unknowns.
**Final thought: The invisible pitch is the real one.**
Your slide deck and story are important, but your thought processes, handling of ambiguity, and assumption-testing are constantly evaluated. For founders in high-stakes sectors like FoodTech and MedTech, where regulations and timelines are challenges, this awareness is fundamental. Before perfecting your pitch, consider: What would I notice in myself if I were on the other side?