Startup Funding Readiness Checklist

What every investor expects BEFORE saying yes to funding

1️⃣ Foundational Readiness

✔ Clear business model & value proposition

✔ Problem–solution clarity

✔ Validated product/market fit

✔ Defined target customer persona

✔ Competitive analysis (direct + indirect competitors)

✔ Clear USP (what sets you apart)

2️⃣ Financial Readiness

✔ 3-year projected financial statements

✔ Revenue model clearly defined

✔ CAC, LTV, churn, burn rate, runway calculated

✔ Proper bookkeeping & clean financial statements

✔ Historical revenue & expense reports (if applicable)

✔ Unit economics clearly explained

✔ No personal expenses mixed with business accounts

3️⃣ Compliance & Legal Readiness

✔ Company registered with correct structure (Pvt Ltd preferred for funding)

✔ Updated ROC filings

✔ GST registration (if applicable)

✔ Tax filings up-to-date

✔ Founders Agreement ready

✔ Cap table clean & updated

✔ ESOP policy drafted (if required)

✔ No legal disputes affecting valuation

4️⃣ Documentation Readiness

✔ Pitch deck (10–12 slides, investor-friendly)

✔ One-page teaser pitch

✔ Business plan (operational + financial)

✔ Market research data

✔ Product demo or prototype

✔ Traction sheet: revenue, users, growth metrics

✔ Team profiles & resumes

✔ Customer testimonials or case studies

5️⃣ Product & Traction Readiness

✔ MVP or working prototype

✔ Real user feedback

✔ Paying customers (even early-stage counts)

✔ Monthly/quarterly growth metrics

✔ Defined roadmap (next 12 months)

✔ Tech architecture overview (if SaaS/tech)

6️⃣ Team & Operational Readiness

✔ Founders with complementary skills

✔ Key hires identified (tech, sales, operations)

✔ Clear roles & responsibilities

✔ Advisors/mentors onboard (optional but valuable)

✔ Operational systems documented

✔ Data room organized & easy to access

7️⃣ Market & Strategy Readiness

✔ Market size analysis (TAM, SAM, SOM)

✔ Distribution strategy (how you will acquire customers)

✔ Marketing plan

✔ Go-to-market strategy

✔ SWOT analysis

✔ Detailed expansion roadmap

8️⃣ Funding Clarity

✔ Exact amount of funding required

✔ Reason behind that amount (breakdown by needs)

✔ Planned usage of funds (team, tech, marketing, operations)

✔ Clear milestones tied to funding

✔ Exit strategy (IPO, acquisition, strategic partnership)

✔ Valuation expectations aligned with traction

9️⃣ Data Room Checklist (Investor-Ready Folder)

✔ Company docs (MOA, AOA, Certificate of Incorporation)

✔ Licenses & permits

✔ Financial statements (P&L, balance sheet, cash flow)

✔ Tax returns

✔ Bank statements

✔ Cap table

✔ Employee contracts & NDAs

✔ Customer contracts

✔ Vendor agreements

✔ IP documents (trademark, patents)

🔟 Investor Impression Factors

✔ Founder confidence + clarity

✔ Professional communication

✔ Transparency

✔ Ability to explain complex things simply

✔ Understanding of numbers (VCs test this!)

✔ Realistic growth expectations

✔ Coachability & openness