Capital Raising Advisory

Raise Capital for Your Venture

We help prepare growing businesses raise capital and pitch to potential investors

We help entrepreneurs and founders raise capital for their ventures through equity capital raisings, debt capital or convertible notes.

Capital raisings can be time consuming and fraught with negative feedback – we help manage the process, create the right pitch documents and financial models and can partner with you at pitch meetings with investors.

We cater for ventures looking to raise equity or debt in these stages:

 

>> Concept and seed stage

 

>> Early-stage and late stage startups (Series A and venture capital rounds)

 

>> Mature SMBs that can grow through a mix of convertible notes, debt or equity

 

>> Pre-IPO and IPO equity issues and capital structuring

Capital Raising Process

Raising capital is a multi-stage process with the best prepared companies having the best opportunity to pitch and raise funds.

Raising Capital for Early Stage Companies

We work with you throughout the entire process:

  • Understand and provide impartial feedback on your concept / vision
  • Build the financial basis, model and forecasts
  • Identify the venture’s valuation – this forms the basis for equity given to new investors
  • Assess whether equity, debt or convertible notes are the best opportunity
  • Outline the best use of funds and capital raising stages
  • Create the pitch deck for investor discussions
  • Help with pitches and investor discussions

Preparing for a Capital Raising

Due Diligence Preparation

Detailed commercial, financial and contracts due diligence of your business that prepares you well advance by identifying potential issues early before external investors undertake their own due diligence reviews. Ventures that are prepared with their financials, business plan, key contracts and answers to potential investor questions typically progress through capital raisings processes faster.

Strategy Planning

Develop a strategic business plan that outlines the roadmap for the business, competitive threats and forward looking financials including pricing and margin analysis. All investors focus extensively on the key financial drivers of your business (not just historic performance) and you need to be able to clearly articulate the drivers of future performance.

Investment Documents

Investor briefing (also called an Information memorandum) along with a shorter investor presentation summarise your business plan, strategy and key investment points. This document outlines all the relevant information that an investor would need to make an informed decision. Well drafted investor documents will typically catch investors’ attention and articulate key points quickly.

Convertible Notes and SAFE

Convertible Notes

At Kapitalized we specialise in convertible notes issues for startups and venture capital. Convertible notes are a debt/equity hybrid form of raising capital with a interest component and a conversion into equity model at a predefined value or point in time.

 

Benefits of Convertible Notes

ConNotes offer fast and easy capital raisings with lower due diligence requirements and contractual paperwork. They also allow entrepreneurs to retain greater equity whilst providing upside potential for investors.

 

SAFEs

These are Simple Agreements for Future Equity and are similar to Convertible Notes however they are not treated as debt and have no interest coupons attached. SAFEs effectively favour the founders of the business however they provide less stress as they don’t require repayment with interest.

 

>> See How to Raise Capital via a Convertible Note