Poshly recently closed its second round of funding oversubscribed, raising $1.5 million in less than 10 days. How did we do it? The answer may seem boring, but there's a critical lesson I must share with start-ups looking to raise money—instead of eyebrows—from investors.
One of the secrets to our fundraising success was having a well-developed due-diligence package prepared in advance. Since we closed the round, investors have told me that Poshly's comprehensive package not only sped up the process for funding but also was beneficial in providing the full picture of the business, something they said is not common among early-stage companies.
Creating a due-diligence package that wows investors does not have to be a time-consuming process, and there are some best practices I can recommend.