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Why Do Startups Need Financial Models? #shorts

Name: Why Do Startups Need Financial Models? #shorts
Uploaded: 2024-02-08T01:00:14+00:00
Duration: 23 s
Channel: Royston G King
Description: In this short advisory, the speaker emphasizes that startup founders must determine how much capital they need to raise and have a financial model ready…

8 Feb 2024 · 0 min

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0:23

In this short advisory, the speaker emphasizes that startup founders must determine how much capital they need to raise and have a financial model ready before approaching investors. He warns that investors will request detailed financials, and lacking them can jeopardize fundraising. The speaker advises preparing financial projections early, as the model becomes increasingly complex the further a startup progresses in its fundraising journey.

I wanna understand how much money do I need to raise, or less ideal, I'm raising money and the investors that I'm pitching asked me for the financials and I don't have them. We get a lot of, we get a lot of customers that come at that, at that stage. But again, you know, you should have worked on that slightly earlier before you went out to pitch investors. And the, the model gets increasingly complex after that.