Fundraising Readiness Checklist

Fundraising Readiness Checklist

Before you approach investors, you need to be thoroughly prepared. This checklist covers everything from documents to metrics to ensure you make the strongest possible impression.

Legal & Corporate Readiness

[ ] Company is incorporated as a Private Limited Company

[ ] All statutory registrations are complete (PAN, TAN, GST, PF, ESIC)

[ ] DPIIT Startup Recognition obtained

[ ] Company has a clean cap table with no disputes

[ ] All founder agreements are signed and filed

[ ] IP assignments from founders to company are complete

[ ] Employment agreements with key employees are in place

[ ] No pending legal disputes or litigation

[ ] Board minutes are up to date

[ ] Annual ROC filings are current (AOC-4, MGT-7)

Financial Readiness

[ ] Books of accounts are up to date and audited

[ ] Bank statements reconciled with books

[ ] Tax returns filed for all completed years

[ ] GST returns filed and up to date

[ ] Clear understanding of monthly burn rate

[ ] Runway calculated (months of cash remaining)

[ ] Revenue recognized correctly (especially for SaaS: MRR, ARR)

[ ] Unit economics documented (CAC, LTV, gross margin)

[ ] Financial projections for 3 years prepared with clear assumptions

[ ] Historical MIS (Management Information System) reports available

Product & Traction Metrics

[ ] Key metrics dashboard is set up and accessible

[ ] Month-over-month growth rate calculated

[ ] Retention and churn metrics tracked

For SaaS startups:

[ ] MRR / ARR tracked

[ ] Net Revenue Retention calculated

[ ] Churn rate (logo and revenue churn)

[ ] Average contract value documented

[ ] Payback period calculated

For marketplace/consumer startups:

[ ] GMV / transaction volume tracked

[ ] Take rate documented

[ ] DAU / MAU and engagement metrics

[ ] Repeat usage rates

For all startups:

[ ] Customer acquisition cost (CAC) by channel

[ ] Customer lifetime value (LTV)

[ ] LTV:CAC ratio (target: 3x or higher)

[ ] Revenue or usage growth chart (hockey stick preferred)

Pitch Materials

[ ] Pitch deck (15 slides max) is ready and reviewed

[ ] Executive summary (1-2 pages) for email intros

[ ] Financial model in Excel/Google Sheets

[ ] Data room set up with all documents organized

[ ] One-pager for quick sharing

[ ] Product demo or video walkthrough ready

Data Room Essentials

Organize these in a secure folder (Google Drive or dedicated data room tool):

Corporate Documents:

Certificate of Incorporation

MOA and AOA

Shareholder agreements

Board resolutions

Cap table

Financial Documents:

Audited financial statements

Management accounts (last 12 months)

Bank statements (last 12 months)

Tax returns

Financial projections and model

Legal Documents:

All contracts with key customers

Vendor agreements

Employment agreements

IP registrations (patents, trademarks)

DPIIT recognition certificate

Product & Business:

Product roadmap

Customer testimonials or case studies

Key metrics dashboard

Marketing and growth strategy document

Investor Targeting

[ ] List of 30-50 target investors researched

[ ] Each investor's thesis, portfolio, and check size verified

[ ] Warm introductions identified for top 15-20 investors

[ ] CRM or spreadsheet set up to track conversations

[ ] Follow-up cadence planned (no more than 1 follow-up per week)

Founder Readiness

[ ] Practiced the pitch at least 10 times

[ ] Prepared answers for tough questions (competition, market size, margins)

[ ] All co-founders aligned on valuation expectations

[ ] Clear understanding of how much to raise and at what terms

[ ] Willing to accept that the process takes 3-6 months typically

Common Pitfalls

Starting fundraising before having enough traction

Approaching investors without warm introductions

Not knowing your metrics cold

Raising too little (less than 18 months runway) or too much (unnecessary dilution)

Not having a data room ready when investors ask for it

Sending the same generic pitch to every investor

Underestimating the time commitment (fundraising is a full-time job)