5 real life tips to get funding from VCs
Welcome to another insightful episode of the Tekpon SaaS Podcast. In this session, Cenk Tukel, CEO of Tukel INC Accounting, discusses the secrets behind securing that all-important venture capital funding. Tukel, who has navigated the tricky waters of investor engagement, shares a treasure trove of practical advice backed by his real-world experiences.
Cenk Tukel begins by addressing the common hurdles young sales professionals face in pitching complex products. To surmount these challenges, Tukel underscores the need for robust team support during sales engagements and interactions with potential investors. The multi-faceted nature of B2B sales necessitates a collaborative spirit, where skill sets complement one another to effectively communicate a product’s value to those with more experience in the industry.
Much of the conversation revolves around the strategic approach to reaching and persuading VCs. Tukel passionately speaks about the necessity of due diligence—finding warm references and executing cold outreach precisely. With tools like Crunchbase, startups can single out specific VCs based on critical criteria such as investment stage, industry focus, and geographical relevance. This targeted strategy is complemented by Tukel’s advice on qualifying investors, a process that ensures startups don’t waste precious resources courting firms with starkly different investment profiles.
Applying B2B sales methodologies to the VC hunt, Tukel makes an analogy easy for SaaS entrepreneurs to grasp. As sales teams foster customer relationships, startups must cultivate connections with VCs. He candidly shares the often-low conversion rates when pitching to investors and stresses the importance of tracking all interactions meticulously using CRM systems. This organized approach prevents valuable leads from slipping through the cracks and enables startups to analyze and refine their outreach process.
Where to find VCs
A fundamental piece of wisdom from Tukel is the art of networking for warm introductions. He proposes that founders leverage events, conferences, and the SaaS community’s collective knowledge to get that crucial handshake. Furthermore, persistence, which is vital in the B2B sales world, also finds its place in the VC journey. Startups are encouraged to engage potential investors through regular newsletters and updates, transparently positioning their progress, setbacks, and plans to maintain interest.
VCs, our guest notes, are refining their investment lens. No longer dazzled by mere Annual Recurring Revenue, they’re intent on seeing signs of sustainable growth, improved margins, and overall profitability. The ongoing shift from the high-flying tech investment days towards a more measured approach to sustainability forces SaaS founders to tell more compelling, financially robust stories.
As the episode draws to a close, Cenk reiterates the quintessential role of persistence, whether in perfecting a product, building a reputation through networking, or pursuing customer relations. Founders, he suggests, must embody the spirit of B2B sales – from the initial pitch to the final handshake.
