Many Voxus clients are hot startups, constantly raising new rounds of funding from a variety of sources. However, when it comes to announcing those raises, many executives we speak with don’t think it’s worth it.
With some exceptions, that couldn’t be further from the truth. Raising a new round is a great reason for top tier media outlets to write about a company that might ordinarily not be so keen to pay attention to it. It is also an excuse to tell your company’s core story to the press under the guise of news.
Here is a checklist for media outreach and issuing a press release around funding.
- Make a list and check it twice. You’d be surprised how many journalists are just dedicated to covering funding and/or have a long history of covering financing. Do some research and make a comprehensive list of journalists apt to cover your news.
- Get the specifics nailed. Is it an angel round, series A, B or C, how much was raised, and who are the investors? Make sure your press release is consistent with your Form D (see below).
- Separation is in the separation (and preparation). Think about unique elements of the funding that might catch a journalist’s eye. Is a high powered VC firm joining the round? Is there an individual investor with an interesting background that might not fit your stereotypical money person (prominent former politician, for example)?
- What will the money be used for? Think about where you want people to think your business is headed. Are you going to be introducing a new product, expanding globally, starting a new division, hiring a slew of employees, etc? This is where you can really tell your corporate story and have the news coverage turn into much more than just “company x raises x dollars.”
- It’s all about timing. When a company raises a round of funding, it is required by the SEC to issue a public filing called a Form D which gives specifics around the raise. Under the current rules, the Form D is supposed to be filed with the SEC no later than 15 days after the date of the first sale of securities. That means if you don’t file your Form D at the same time you do your press outreach, the media may pick up on the news before you can sculpt your story.
So there you have it. You’ve got your wads of cash in the bank and, thanks to this checklist, some amazing press. Life is good!