What Documents Should Be Included in an Online Data Room for Investors?
If you’re planning to close an investment round, you’ll need to show investors you have your business in order. This means sharing documents which assess your company’s performance as well as its strengths. One of the best ways to do this is by using a digital investor data room, which permits secure and efficient sharing of sensitive information during due diligence.
What documents should be included for investors in the dataroom? How can you tell whether you’re putting in too many or a few documents? Andrea Funsten is a partner at Basecamp Fund.
The answer “It depends”. Although every business is different there are some elements that founders must be aware of prior to creating an online data room.
Generally, you should attach the following documents:
1. Pitch Deck: This includes a high-level summary of the company’s thesis the company’s vision for its product, competitive landscape, and the company’s traction. It should also include an investor pitch draft and a rough timetable for the capital raising process.
2. Financial Information: This covers both historical and projected financial statements as well as the reasoning and sources behind the projections. It is also important to include information about the legal structure of your company, such as bylaws, articles, business certificates and tax information.
Some founders prefer get redirected here to include additional documents like executive summaries or internal reviews of the company’s performance. It is important to remember that adding more documents can consume valuable time and can slow down the due diligence process.