If you’re hoping to close a round of funding you must be able to prove that you have all the elements of your business in place. This includes sharing documents that evaluate your company’s performance and strengths. One of the best methods to accomplish this is to use a digital investor data room, which enables safe and efficient sharing of sensitive data during due diligence.
What documents should be included for investors who are in the dataroom? How do you know if you are including too many or not enough documents? We talked to Andrea Funsten, a partner at Basecamp Fund, to https://dataspacelab.net/flexibility-with-caplinked-data-room/ find out.
The answeris « It depends ». While every company is unique, there are some things that all founders should take into consideration before creating an online data room.
Generally, you should include the following documents:
1. Pitch Deck It is a high-level overview of the company’s thesis and vision. It also includes the competitive landscape, traction and an overall competitive landscape. It should also include an investor pitch draft and a rough timetable for capital raising.
2. Financial Information: This includes both historical and projected financial statements, aswell as the sources and reasoning behind those projections. You should also include information about the legal structure of your business including bylaws, articles, business certificates and tax information.
Certain founders will also have additional documents, like executive summaries, or internal reviews of the performance of the company. It is important to be aware that adding additional documents can consume valuable time and can slow down the due diligence process.