How (And Why) To Keep Your Investors Updated
Maintaining good relationships with investors is an important skill for founders that takes time and energy. Investor relationships are what keep your company afloat. Current inventors in particular, are the ones mostly to provide additional funds, make introductions to new investors, and connect you with potential customers and other valuable opportunities.
If your company doesn’t regularly communicate with these investors, you risk valuable opportunities to address company needs. Without regular contact, investors can feel alienated, undervalued and neglected.
To avoid these negative outcomes and boost your communication with investors, regular updates can be a tremendous help. At the same time, investors don’t want founders spending an ordinate amount of time and energy keeping them updated.
They want you building the business, closing deals and growing the team. Fortunately, there are ways to keep investors up to date with minimal time investment. Resources like, Foundersuite, Reportedly, Visible and Subdate provide automated updates to investors and allow you to control the information you share. Some of these resources even automatically organize information so that it’s presented in a simple readable manner.
These resources allow you to add investors, activities , contributions, set status reports, set reminders to contact people and even create reusable update templates that you can automatically send every month.
By investing a little time and money on these resources, you will save a lot of headache, frustrations and confusion in the long term. It is important to remember that it is ultimately your responsibility as a founder to manage the relationship aspects of your business.
Automated resources can help improve your updates and communications practices but always remember that the human element of managing relationships is essential.