16
Jul

How to Interview an Investor

As entrepreneurs, we often focus on how to prepare for an interview with an investor: getting the business plan in order and ensuring that the financial documents are in order, and preparing the essential elements of our pitch deck. However, a meeting with an investor needs to be a two-way process. The questions that you ask an investor will provide you with a wealth of information about their approach and expectations when working with startups.

Standard Investor Questions

Investors are interested in how you know your business model, and how you see the market opportunities your company has. They’ll also be interested in knowing what you’re planning to do to prepare for growth, what metrics are important to you most, and how you will bring value to their investment. Your answers to these fundamental questions will set the stage for further discussion later during the interview.

Questions about Processes and Firms

Doing your research on investors and their investment procedures before you meet them is crucial. This will allow you to tailor your strategy to meet their requirements and increase the chances of them making a positive choice about investing in your business. Knowing what investors’ expectations are for returns as well as their typical timeframes for deals can help to align your goals with theirs. Learning how they’ve dealt with turbulence in their portfolio companies could provide insights into how they board meeting productivity interact with founders during difficult times.