Fundraising

New VC fund managers do not know that these things they are doing are completely ILLEGAL… ❌ There are very strict rules around fundraising. Yet many new GPs copy what they see others doing — even when it’s illegal. The risk? Trouble today, or 5–10 years down the line when regulators or LPs look closer. Sophisticated LPs know the legal lines — and crossing them exposes both liability and inexperience. Here are the 3 most common fundraising violations (and how to avoid them): 1️⃣ PERFORMANCE-BASED FUNDRAISING COMPENSATION 👩🏾⚖️ Many “Vendors” often say: - “I’ll be a venture partner — give me carry for LPs I bring.” - “We’ll raise for you — just pay a % of capital committed.” 🚫 Illegal without a broker-dealer license ($50K–$150K+ + ongoing compliance). Even employee bonuses tied to fundraising can trigger violations. ✅ Legal way: Pay fixed fees or salaries unrelated to fundraising. Compensate with cash, equity or carry — but not tied to capital raised. 👉 Reality check: As a new manager, it’s extremely unlikely that anyone else can fundraise for you without a track record. You’ll almost always need to do the hard work yourself. 2️⃣ GENERAL SOLICITATION 👨🏻⚖️ New managers assume LPs will roll in if they “go public.” Tactics include: • LinkedIn posts about fundraising • Cold DMs to people • Podcasts/webinars about your fund • “Contact us to invest” buttons on websites 🚫 All illegal — unless you’ve structured under narrow exemptions. Even cold outreach counts as solicitation. ✅ Legal way: You can only pitch people you have pre-existing relationships with who are accredited investors. Network authentically, vuild relationships, then pitch one-on-one. 👉 Reality check: Public fundraising isn’t just illegal — it looks cheap. LPs won’t trust someone blasting cold posts with no track record. VC is trust-based. Public asks scream inexperience. 3️⃣ RAISING FROM EU LPS WITHOUT COMPLIANCE 🧑🏿⚖️ Many assume: • “If a European LP wants in, I can accept the money.” • “Everyone else does it — must be fine.” 🚫 Wrong. The EU regulates under AIFMD (Alternative Investment Fund Managers Directive) and MiFID II (Markets in Financial Instruments Directive). Even one EU LP can trigger filings. Regulators act quickly. ✅ Legal way: Work with EU securities counsel. File required notifications in each jurisdiction before accepting European LPs. 👉 Reality check: European LPs expect compliance. Skip it, and you lose credibility. Worse — a violation can come back years later and jeopardize your fund. Breaking the rules — even by accident — is the fastest way to undermine your credibility. And “everyone else does it” is not a defense. The managers who win are the ones who know the rules, build real relationships, and raise the right way. ⚖️ Know the rules. Follow them. Your fund' future depends on it.

If you're a founder trying to fundraise right now, it probably feels like the entire venture world has gone quiet. The response times are slow, OOOs are on and it’s easy to feel like you’re losing momentum. Don't stress. The summer slowdown is predictable, and it's not a setback, it's a gift of time if you use it well. I see this every year... The founders who scramble to send frantic emails in July/August are the same ones who struggle in the fall with an over-shopped deal and the fatigue of an endless fundraise. But the founders who use this quiet period for deep, focused preparation are the ones who run a crisp, successful process after Labor Day. The fundraising race is won in the prep lap. Here are a few things you can do right now to prep for a big fundraising push this fall: 1. Build a High-Fidelity Investor Pipeline. Go beyond a simple list of names. Create a comprehensive document that tracks every firm and partner, their specific thesis, your history with them (if any), your connections to them and crucially, the feedback they've given you in the past. This turns your outreach into a strategic campaign. 2. Assemble a "Push-Button" Data Room. Don't wait for an investor to ask. Build your data room now so it's ready to go at a moment's notice. This includes your customer contracts, cohort analyses, deck, references and financial model. A well-organized data room signals professionalism and creates momentum. 3. Craft a "Juicy" Forwardable Blurb. The best introductions are easy to forward. Write a tight, compelling, one-paragraph teaser. It must include a unique insight on the market, why your team is going to win and any key metrics. This makes it effortless for people like me to advocate on your behalf. 4. Pressure-Test Your Narrative. Use this time to pitch trusted advisors, mentors, and other founders. This isn't about memorizing a script, it's about finding the weak spots in your story. Ask them to be ruthless. The tough questions you answer now in a friendly setting will save you in a rapid fire partner meeting later. 5. Get Your "Diligence" in Order. This is the one everyone forgets. Talk to your lawyer now. Make sure your corporate governance is tight and your cap table is accurate (and clean). Uncovering a messy problems during late-stage diligence can kill a deal. Solving it now is a massive de-risking event. 6. "Warm Up" Your References. Your best customers are your most powerful asset. Don't wait until an investor asks for a reference call to talk to them. Re-engage with your top 3-5 champions now. Check in, share your progress, and get them excited about your vision. A reference who is prepped and genuinely enthusiastic is infinitely more impactful. The fall fundraising season will be here before you know it. The work you do in the quiet of August will determine the success you have in the chaos of the fall. We are prepping for our next fundraise as well so this is how I'm spending my time💥

This Danish foundation gives away $1.3 billion annually – and their secret isn't efficiency ratios, it's something far more radical: They implement nothing. Behind this Danish foundation's rapid rise is Ozempic – the blockbuster diabetes and weight-loss drug that's generated unprecedented profits for Novo Nordisk. The Novo Nordisk Foundation, which owns about a quarter of the pharmaceutical giant, has become one of the world's wealthiest charitable foundations with assets around $167 billion. Yet rather than hiring armies of staff like other major philanthropies, they've gone the opposite direction. In a recent interview, their Chief Scientific Officer for Health Flemming Konradsen revealed their secret to me: They don't implement – they only work through partners. Zero programs. Zero direct service delivery. The model: ➡️ Find what already works  ➡️ Partner with governments who own the strategy ➡️ Create sustainable markets, not dependency  ➡️ Stay for 15+ years, not 3-year cycles Example: Their school feeding programs create permanent markets for local farmers while training health workers and scaling AI solutions across continents. The hard part? Saying no to putting your name on things. Letting partners get the credit. Trusting that influence matters more than control. For development professionals: This approach creates new opportunities. These ultra-efficient funders skip the usual suspects and source partners who can be trusted with strategy, not just execution. They're looking for implementers who think like owners. If you can demonstrate government relationships, long-term thinking, and the ability to build sustainable systems (not just deliver projects), you become invaluable to this new breed of funders. What could your organization accomplish if it stopped trying to do everything itself? Disclaimer: I’ve edited this post as it’s been flagged that Novo Nordisk Foundation has 250 employees. #Philanthropy #Partnership #Foundation 📷 Novo Nordisk Foundation

Y Combinator is widely regarded as the most successful startup accelerator in the world and the top choice for world-class entrepreneurs. They've helped incubate more than 90 unicorns, 45% of their companies go on to raise a Series A (higher than the 33% average), and the combined market cap of their startups is currently over $600B. To honor the final day you can apply to Y Combinator’s first-ever Spring batch (i.e. X25), I teamed up with past collaborator Palle Broe on the most in-depth and intriguing analysis you’ll find anywhere of the world’s most successful startup incubator. Palle spent over 100 hours (!!!) digging through all available public data to pull back the magic that is YC—so that others can learn from their success. Key takeaways 1. YC has gone from being a Consumer investor to primarily a B2B investor. Consumer companies have resulted in over $200 billion of market cap, while B2B companies are currently privately valued at some $170 billion and are on the rise. 2. Based on batch profiles, founders are betting on AI (specifically, B2B AI) to be the next big thing. The most promising subcategories include “Engineering, Product, and Design,” Infrastructure, and Sales. 3. Solo founders are at a disadvantage. Although solo founders are encouraged, the data does show a steep decline in the number of them accepted to YC. 4. Success has so far been driven by U.S.-founded companies. More than 70% of the startups have been founded in the U.S., and to date, 99% of returns have come from the U.S. 5. The durability of YC companies is significantly higher than that of the average startup. More than 50% of companies are still alive after 10 years (vs. 30% average). 6. The chances of startup success are higher with YC. 45% secure Series A (vs. 33% average), 4% to 5% become a unicorn (vs. 2.5% average), and 10% achieve an exit. 7. The VC power law also exists at YC. Four companies account for more than 85% of YC’s returns to date: Airbnb, Coinbase, Reddit, and Instacart. 8. The investors in YC companies are the “crème de la crème.” Tier 1 VCs frequently invest in YC companies, and some have made several hundreds of investments. Here's the full post: https://lnkd.in/gR8mr5XT

My team and I get pitched 5–10 new businesses every week. Mostly from entrepreneurs trying to raise money. If you want your message or pitch to stand out to investors, do this: 1. Start with the problem, not the product. If I don’t feel the pain, I won’t value the solution. 2. Be brutally clear. My team should understand your business in 10 seconds or less. 3. Show traction, not just vision. Even if it's small, show me that the market wants it and you know how to deliver. 4. Tell me why you’re the one. I’m investing in you as much as the idea. Show conviction, not just ambition. 5. Make it a conversation, not a monologue. Curiosity builds trust. Ask good questions and make it collaborative. Keep it simple.

My salary barely stays with me! Most of it goes away in rent, outings and other expenses. I have heard so many people mention this almost every week. In India, where incomes can be unpredictable, a budget isn’t just a good habit but a necessity.  A simple budget helps you manage expenses smartly, save for the future and reduce financial stress. This is how you can do it right: → Your salary isn’t just what’s credited to your bank account. Factor in side hustles, bonuses, deductions (PF, taxes), and expenses before setting your budget.  → The 50/30/20 Rule is a great starting point to manage your rent, groceries, utilities, dining out, savings and investments. If this feels unrealistic, tweak it. → Where does your money go? Most people underestimate small expenses. Use a simple Google Sheet or budget app to track spending, then cut what doesn’t add value.  → The easiest way to save is to remove temptation and set up automatic transfers to Emergency Funds, SIPs & Investments and Savings (Home, Travel, Business)  → Start with an emergency fund, clear high-interest debt (credit cards, personal loans) and invest in wealth-building assets (SIPs, PPF, NPS).  Budgeting isn’t about restricting yourself but financial freedom. A well-managed budget lets you spend guilt-free on things you love while securing your future.  What’s your best budgeting tip? #budgeting #moneymanagement

Fundraising in India is a beautiful, brutal dance. After 15 years of knocking on doors, writing proposals, and building relationships in the charity space, I've learned that money follows trust, not just need. And trust is earned in whispers, not shouts. Most fundraisers think it's about the pitch. The perfect slide deck. The heart-wrenching story. The immaculate impact metrics. But that's just the costume you wear to the real party. The truth is messier. More human. More honest. First, nobody cares about your organization. They care about the problem you're solving. Stop talking about your NGO's journey and start talking about the journey of the people you serve. Your founder's story matters less than the story of the girl who can now read because of your work. Second, relationships outlast transactions. I've watched fundraisers chase cheques like they're chasing buses – desperate to catch the next one, forgetting that the real journey happens when you're walking together. The donor who gives you ₹10,000 today could give you ₹10 crores in a decade if you treat them like a partner, not an ATM. Third, most Indian donors don't want innovation. They want reliability. They've seen too many NGOs come and go, too many promises evaporate. They're tired of funding pilots that never take flight. Show them consistency before you show them creativity. Fourth, your finance team is your secret weapon. In a country where trust in institutions is fragile, your ability to account for every rupee isn't just good practice – it's your survival strategy. I've seen brilliant programs collapse because someone couldn't explain where the money went. Not because of corruption, but because of chaos. And finally, the hardest truth: fundraising isn't about money. It's about meaning. People don't give to causes; they give to become the person they want to be. The businessman who funds your education program isn't just building schools – he's rewriting his own story, becoming the hero his childhood self needed. I've sat across from millionaires and watched them cry when they talk about their mothers. I've seen corporate leaders who manage thousands of crores struggle to write a personal cheque for ₹5,000. I've witnessed wealthy donors argue over a ₹500 expense while approving ₹50 lakhs in the same meeting. Because money isn't rational. It's emotional. It's cultural. It's complicated. The fundraisers who thrive in India aren't the ones with the fanciest degrees or the most polished English. They're the ones who understand that in this country, giving is deeply personal, profoundly spiritual, and incredibly relational. So stop treating fundraising like a Western import that needs to be implemented. Start treating it like what it is – a conversation about values that's been happening on this soil for thousands of years. Because when you get it right, you're not just raising funds. You're raising hope.

I studied 118 nonprofit donation forms. Here's what I found. 1. Add a big, obvious, donation button to your home page right now. It takes 5 seconds on your website builder. A quarter of the nonprofits I looked at hide their donate button behind a dropdown, or have no clear CTA (call to action) on their homepage. Those nonprofits were 51% more likely to have a budget deficit. 2. Ugly websites beat beautiful ones. The average donor is: - old (~avg. US donor age is 64) AND - distracted (89% of donation page visitors leave before donating) Relentlessly prioritize ease of use over aesthetics with: - high contrast colors and large, simple fonts - redundancy (Smile Train has 3 donation buttons on their home page) - visibility (Obama Foundation's website even shows you a donation form before the main website) 3. Use the grandma test. Grab your grandma (or mom...if she's a grandma). Have her try and donate to your nonprofit. Stand beside her and watch. If she asks for help before she finds the donate button, you have work to do. 4. Add an impact unit to donation amounts One study showed that the gap between bad donation pages (8-11% conversion) and well-optimized ones (22%) is closed mostly by two things: form simplicity and tangible-impact framing (e.g. $50 = 10 meals) 5. Cut your donation form down to 4 fields. Most nonprofit donation forms ask for 8-12 fields. One study found that reducing form fields from 11 to 4 led to a 120% increase in conversions. The only fields donors actually need: name, email, amount, payment. Everything else is friction. Open your form, count the fields, and delete every one that isn't essential. Address, phone number, "how did you hear about us" -- cut all of it. You can ask in a follow-up email. 6) Default to monthly recurring, not one-time. Ethically pre-selecting monthly giving on your donation page can increase conversions of monthly donations by up to 35%. For some reason, almost nobody talks about donation page mechanics in nonprofit world. I haven't posted in a while... is this research/content helpful to keep posting?

Your gala just ended. You raised $125K. Everyone's exhausted. So you send a thank you email with photos. Just like every other nonprofit. And just like every other nonprofit, you watch those attendees disappear until next year's event. Here's what actually works: Your guests don't need another generic thank you. They need to see what their money did. The nonprofits converting event attendees into year-round donors follow a 10-day impact workflow: Day 1: Text thank you (personal, brief, sets the tone) Day 2: Email with photos and a single impact metric ("Your $50K will provide 200 families with...") Day 5: Impact story (one beneficiary, real name, what changed because of Saturday night) Day 7: Second impact story (different angle, reinforces the mission) Day 10: The ask (specific, tied directly to the stories they just read) But here's the part most people miss: not everyone gets the same sequence. Who bid? Who bought raffle tickets? Who was a first time attendee? Use that data to trigger different follow-ups: Bidders get a call from your ED before the email sequence even starts. Raffle participants get SMS nudges on Day 8 ("You bought raffle tickets. Would you consider a monthly gift of $20?") First-time guests get a longer nurture sequence focused on education, not asks. The workflow isn't complicated. But it requires two things most nonprofits skip: reviewing your event data and planning the sequence before the event ends. Stop treating your gala like the finish line. It's lead gen. And the real fundraising starts the moment your guests leave.

Stop launching your #GivingTuesday or year-end fundraiser at $0. I’ve watched too many strong campaigns underperform simply because they went live before showing even a tiny hint of momentum. Behavioral science backs this up. People are far more likely to act when they see others already doing the thing (social proof and herd behavior), and they’re more motivated when a goal looks “in motion,” not untouched (the goal-gradient effect). Here’s the smarter play: 1️⃣ Anchor the campaign with early supporters. Line up 3–5 early gifts from board members, champions, or monthly donors before you go public. You’re creating social proof that lowers the mental risk of giving. 2️⃣ Don’t press send at $0 raised. An empty thermometer reads like uncertainty. Even a small amount of visible progress signals that backing you is safe and worthwhile. 3️⃣ Name the momentum. “12 supporters already jumped in this morning” activates bandwagon behavior more effectively than any clever subject line. 4️⃣ Stack micro wins. Short progress updates throughout the day amplify the goal-gradient effect. The closer you appear to the finish line, the faster people give. 5️⃣ Help latecomers feel early. Don’t frame them as behind. Highlight what their gift unlocks next so they feel part of forward motion, not filling a gap. Most nonprofits blame donor fatigue. Often, the real issue is momentum fatigue — asking before you’ve built any. Want my Brave Fundraisers Guide with the scripts and prompts that help campaigns start strong? Comment BRAVE and I’ll send it to you. #nonprofits #funding #fundraiser #marketing #fundraising