I am willing to bet that by the end of this article you will know beyond a doubt you can raise capital for your business.

Client Acquisitions and Investor Acquisitions are exactly the same thing.

Understanding this parallel WILL transform your approach to raising funds. And turn a daunting task into a familiar one.

I've spent the last 25 years navigating the entrepreneurial seas. Raising over $100 million in private funding for a range of ventures. From film and television projects, to nightclubs, to construction companies. I am naming the difficult ones here. To real estate (as easy as it gets).

Every entrepreneur is a salesperson. At least that's where you begin.

The Fundamentals of Acquisition

At its core, whether you're seeking clients or investors, you're engaging in a form of outreach. The methodologies may vary, but the essence remains the same. You're trying to convince another party that engaging with your business will offer them substantial value.

SO WHY DO WE OVERCOMPLICATE THIS?

1. Fear of Rejection: Sure

2. Imposter Syndrome: They're rich, I'm not. Perhaps.

3. Vulnerability Exposure: You don't want them to see just how weak your comapany is? That would be a problem, if it’s true.

But in helping dozens of companies raise millions of dollars, this is what it boils down to time and again. And it's right out of the client acquisitions handbook:

YOU NEED A CLEAR OFFER.

To be specific…

4. You Lack a Clear Deal Structure.

Entrepreneurs are accustomed to knowing their product's value and pricing, making client transactions straightforward. In contrast, approaching investors without a clear framework is like asking your client to name her price and tell you what she needs from you. Imagine the mess.

That just doesn't work.

Offering a well-structured deal to investors is exactly the same as presenting a high-quality product to potential clients. Just as a solid product solves a customer's problem, a well-crafted investment opportunity provides value to the investor, often in the form of potential ROI.

Your pitch to investors should highlight this value proposition clearly and compellingly. While showcasing how their investment will yield returns, much like how your product or service resolves a client's need.

Once you get your deal structure down. The rest is the same.

Cold Outreach vs. Warm Outreach: Just as in client acquisitions, where cold calls or emails are a starting point for building relationships, the same strategies might apply to investor acquisitions.

Although instead of a cold email, it begins with a conversation. You might meet them at the Golf course or at, the gym, or your kid's soccer practice, but it's the same.

An initial contact, followed by nurturing leads through regular communication.

It's the exact same process of warming up potential clients. Your objective is to transform a cold lead into a committed investor, much like converting a prospective customer into a loyal client. It may take longer, perhaps years, but IT IS THE SAME.

Organic Social Presence: Establishing a strong presence on social media platforms can attract clients and investors alike. For investors, your online persona and the way you present your business can be a decisive factor in their willingness to invest.

Case in point. As of this article I have 1054 followers on X. That’s it. And I am very close to doing a deal in which I will be a passive investor for an entrepreneur who DM’d me for something completely unrelated. (more to come on this)

Investors are looking for evidence of your business acumen, the same way customers seek reassurance of your product's value. AKA social proof. Again. THE SAME.

Building Lifetime Relationships

The ultimate goal in both domains is to build long-lasting relationships. Just as satisfied clients can become repeat customers, investors who see a good return will likely invest again in the future.

If you excel in sales, you're not just closing deals; you're establishing ongoing partnerships. This skill is invaluable in cultivating a network of private funding investors who trust in your ability to deliver returns.

Stay in this game long enough and you’ll be forced to do it anyway.

Ask any CEO who started as a founder. They eventually move from selling clients, to what they call "investor relations" which is just a fancy term for selling investors.

Embracing the sales mindset in your funding efforts means recognizing that each investor interaction is a part of a larger relationship-building process. Your ability to articulate the value of your venture, coupled with a transparent and mutually beneficial deal structure, can turn potential investors into committed backers of your business.

It starts with the structure.

Overcoming these emotional hurdles is crucial for your entrepreneurial journey. It starts with structuring a deal, writing a term sheet and preparing the docs. Those items plus an investor are all you need to raise your capital.

Need a hand?

I'm here to guide you through this process. You don't have to navigate this path alone. There are two ways I can help you transform your approach to raising capital:

1) Enroll in the upcoming 60-Min Cap Raise Blueprint Course, set to launch next week.

I’ve been working on this for a while. It’s the distillation of everything I do for my one-on-one clients. I plan to add to it over time and bring a ton of case studies, sample term sheets and anything else I believe will bring value.

For a limited time, I'm offering exclusive access to my contacts for just $59 before it's released more broadly. It’s my first course and, to be honest, I am nervous as heck. So I am giving it away for less than the term sheets should cost.

2) For personalized guidance, reach out to me directly for one-on-one Cap Raise Consultations. Together, we can tailor a fundraising strategy, write your term sheet and craft a funding solution that aligns with your business goals and investment needs.

Don't let the lack of a clear deal structure or any emotional barriers hold you back. Take action today, and let's turn your fundraising challenges into successful capital-raising triumphs.

Mike P

Reflecting on Timeless Wisdom: 44 Years Ago Today

Today is my birthday. I feel compelled to share a poem that resonates deeply with me. Crafted by the Irish poet David Whyte, this masterpiece is from his collection, "Consolations."

In my journey through life, one truth has undeniable clarity: the value of friendships transcends all, second only to one's connection to God.

It's in the form of friendship that familial bonds find their highest expression, evolving beyond “blood” into relationships of profound depth and meaning. This transformative power mirrors, in a way, our spiritual rapport with the God.

Being a part of numerous lives, witnessing the unfolding of precious friendships, has been my greatest blessing.

I never had the words until I encountered this poem. Enjoy.