It isn’t easy being an entrepreneur. Keeping track of productivity, marketing, your employees’ morale, bureaucracy, long hours, licences, research and development… All this info is enough to make anyone’s head explode. Still, the freedom you get, the opportunity to make your own choices, it all makes it worth it.
Still, if you want to relieve at least one of those headaches (and create some more room to relax), then we suggest you improve your communications skills. Specifically, how you communicate with your investors. No matter how small or big your business is, this is a vital skill. Without further ado, you can read about it below.
Be consistent and transparent
Above all, let them know that you are here when they need you (within reason). Any investor, especially if it’s a small business, will have questions. They will definitely like a more transparent, hands-on relationship. This quite natural – they are invested in the success of your business.
Learn how to communicate openly. Give honest answers to their questions – they may prove useful. AN investor can bring up an issue that may well help your entire company out. Let them be aware of your plans and the challenges you face.
Have regular meetings
You must have regular meetings. Find a date on your calendar, inform the investors of the date, time, and place, and try to never postpone or cancel them. In fact, set up meetings for the entire fiscal year (or half of one). This will keep you on track, add some healthy pressure, and give everybody enough time to think things through. Having a meeting every six weeks is a safe bet.
Also, remember to prepare properly. Write up an agenda, focus the conversation. Create a detailed script, with many bullet points, and distribute it during the conference. If possible, send it out to the investors in advance. This will give them the opportunity to familiarize themselves with the agenda, and help the discussion go much more smoothly.
If an investor can’t make it, hold conference calls, set up a couple of laptops. This will not only keep them at ease, but will create some room for brainstorming.
Get some one-on-one time
Regular meetings will give you some feedback from the investors, but what you really want is to have one-on-one calls. These will deepen your relationship with the investor, and will give you more detailed information. Even if you don’t have a concrete question, or if there are no issues that need to be brought up, you should still make regular calls. A simple and brief update on the state of the company and current projects is more than enough.
Ask for assistance
A big part of running your business is delegation. Transferring obligations that are better suited for other people, creating space for yourself to focus on the big thing. Furthermore, there is a simple fact that you are not an expert at everything. So, even for communication, ask for assistance. Talk to your HR department, see if they have any tips or advice to give you. Speak with a mentor, an older entrepreneur who has been in the business for decades. Hire a specialized company, like DW Advisory for example, that can provide training and business advice. Remember – there is no shame in asking for help.
Ask questions
Ask questions yourself. Communication is not a one-sided activity. Ask your investors for feedback, for advice. Many investors think long and hard about the companies they invest in. They are familiar with your line of work, perhaps even more than you are in certain areas. There is a lot to learn from them. Furthermore, asking questions and seeking advice is an inherently (and honestly) flattering activity. Finally, a large number of investors means many different viewpoints and perspectives. Thinking outside of the box has always been a godsend for any entrepreneur.
Conclusion
If you can communicate with your investors, you will have an opportunity to strengthen your business, and to gain valuable insights. Hold regular meetings, and prepare properly. Schedule one-on-one calls if you can, and ask real, detailed questions. Finally, there is nothing shameful about asking for help, and working on your communication skills is a must for any entrepreneur.
Author: David Koller
