Sahin Boydas
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Why Most Founders Get investor relations Completely Wrong

After reviewing 500+ pitches, I noticed one glaring pattern in investor relations. Here is how the top 1% do it differently.

2024-02-227 min read548 words

After reviewing 500+ pitches, I noticed one glaring pattern in investor relations. Here is how the top 1% do it differently.

The Reality Nobody Talks About

A lot of the advice on investor relations rests on assumptions that made sense five years ago. The world has moved on.

The first thing to understand is that the data tells a different story than your gut. I've seen this play out across dozens of companies. The pattern is unmistakable.

Many teams spend months on the wrong path before realizing that simplicity beats complexity every time. Once they make the switch, everything changes.

Why Most Approaches Fail

Many common approaches to investor relations are flawed at the root.

The root cause is usually one of three things:

Copying what big companies do without understanding why they do it. What works for Google doesn't work for a 10-person startup.

Over-engineering the solution when a simple approach would work better. I've seen teams spend six months building something that could have been done in two weeks.

Ignoring the human element. Technology is the easy part. Getting people to actually use it is where the real challenge lives.

The Counterintuitive Truth

In investor relations, the best practitioners often do less, not more.

The lesson: you need to move fast and break things. It sounds simple. It's incredibly hard to execute.

The Numbers Don't Lie

Investing early in investor relations can be the difference between raising your next round and running out of runway.

One of my portfolio companies went from struggling to profitable in under a year after they finally got serious about this. The founder told me later that they wished they'd started sooner.

This connects to broader themes around seed funding, revenue-based financing, pitch deck design, convertible notes that I've been thinking about a lot lately.

The Bottom Line

None of this is rocket science. But it does require intentionality, consistency, and a willingness to learn from mistakes.

If you take one thing from this article, let it be this: start now, start small, and iterate. The founders who win at investor relations aren't the ones with the best strategy on paper. They're the ones who execute, learn, and adapt faster than everyone else.

Companies that take investor relations seriously tend to pull ahead of the ones that don't.

If you're working on something interesting in this space, I'd love to hear about it. Drop me a line.

FAQ

Frequently Asked Questions

Q:What experience informs this perspective?

This perspective comes from over a decade of building companies in Silicon Valley, two successful exits (RemoteTeam to Gusto, MovieLaLa to Gfycat), and investing in 234 startups including Anthropic, OpenAI, and Scale AI. I write about what I've lived.

Q:How has this view evolved over time?

My thinking on most topics has changed significantly over the years. Early in my career, I held many conventional views that experience proved wrong. I try to update my beliefs when the evidence changes.

Q:What's the most common pushback you get on this?

People often push back by citing exceptions or edge cases. And they're usually right that exceptions exist. But building a strategy around exceptions rather than patterns is a losing game for most founders.

Written by

Sahin Boydas

Serial entrepreneur, #1 angel investor, author of Becoming Top 1%

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