This is a guide on raising VC funding. It is based on stuff that we did well and mistakes that we did.

The reason I am writing this is that there have been quite a lot of inquiring over in Linkedin DMs to talk about funding. I usually leave these meetings with founders in a startled state.

Most advice in here might come across subjective. Before I start, here is a guide on how to read this:

A guide on how to read this advice:

1. If something sounds too good to be true, you should assume that it is and disregard it.

2. If something sounds too bad to be true, it almost always is worse.

3. This is based on the experience of GodmodeHQ team members.

   1. We would like to (unfortunately) think that we did not have the best experience raising funding, neither pre raise nor post raise.

   2. Hence this puts us in a good spot to give advice on.

Golden Principles Pre Raise

1. If you are not talking to the partner eventually in the process, leave the process right away.

2. Assume and request only one single thing: Money. The rest rarely comes to play.

3. Talk to an exited or shut down founder about the VC you are seeing. If they say "Don't take their money", don't. Never ever.

4. If the money is not in your bank account, you have not raised. No deal is done until it is done. Same for M&A transactions.

5. If you do not feel the pull from investors into your company, assume the deal is going to suck. That does not mean you should not take the money however think hard.

6. Try to raise from a point of leverage. Several ways to do it:

   1. A lot of revenue pre raise

   2. Highly competitive process with other investors wanting a piece

7. Get a good lawyer.

8. Ask them point blank what happens if things go south, what do they want you to do?

9. If they would like to be involved or catch up every week or 2 weeks etc, you are hiring a boss. They will micromanage you. Run away.

10. If money is all you need, there is a single firm that offers you awful conditions, you will not listen to this advice and take the money anyways to survive.