How to Find Investors: Channels, a Target List and the Intro Message
Decide what you are raising and which investor type backs that stage. List 50 to 100 investors (an assumption) whose past deals match your stage, sector and check size, and reach them through warm intros first.
Decide what you’re raising and from whom
Equity sells a share; a loan, even from a relative, is repaid and gives no ownership.
| Investor | Stage | What sets the check |
|---|---|---|
| Friends and family | Idea, pre-seed | What each can afford to lose |
| Angels | Pre-seed, seed | $10,000 to $50,000 for a professional angel1 |
| Angel groups | Pre-seed, seed | Members pool checks into one deal |
| Accelerators | Pre-seed | A fixed amount per program, for a set stake |
| Seed VC funds | Seed | The fund’s recent deals; read them |
| Reg CF crowd | Pre-seed and later | Many small checks, capped by income for non-accredited investors2 |
Where to find investors: 6 channels
Per Gatekeep, about 58% of VC deals come through professional networks and about 10% from cold inbound; other sources give different splits3.
1. Your network and operators in your space
Ask founders in your sector who raised from angels, and operators who invest, for an intro, not money: “Which two angels would you call first about a bookkeeping app for restaurants?” Former bosses, customers and suppliers count too.
Give friends and family written terms and warn them they can lose it all; check whether each is accredited (the rules).
2. Angel groups and networks
Regional groups such as Tech Coast Angels, Band of Angels, New York Angels and Golden Seeds (women-led companies) hear founder pitches; the Angel Capital Association directory lists more. Ask about founder fees first. Write the business plan investors ask for, or start from a business plan template.
3. Accelerators
Y Combinator, Techstars and university, corporate or regional programs invest in cohorts and end with a demo day. Check the amount, the stake and whether it’s a SAFE or equity.
4. Seed VC funds
Reach a partner through founders in their portfolio. Check whether the fund leads; approach followers once you have a lead.
5. Investor databases and cold email
Crunchbase, PitchBook and OpenVC list investors’ recent deals by stage and sector; filter there for a mutual connection. With none, send the warm intro email and name one matching deal of theirs.
6. Equity crowdfunding (Reg CF)
Under Regulation Crowdfunding, a company can raise up to $5 million in 12 months, online through an SEC-registered broker-dealer or funding portal4.
Build a target list that fits your round
Keep an investor only if all four rules hold:
- Stage: they have backed your stage.
- Sector: they have backed your sector or a close one.
- Check size: their typical check fits inside your round.
- Recent activity: they closed a deal in the last 12 months (an assumption).
For angels, J.P. Morgan’s yardstick: a professional angel makes three to four investments a year with checks of $10,000 to $50,0001.
Then size the list:
- investors needed = round ÷ typical check
- names to contact = investors needed ÷ (intro-to-meeting rate × meeting-to-commitment rate)
Set both rates from your own replies; recalculate after your first 10 to 20 asks (an assumption).
How to ask: the warm-intro sequence
- For each investor, find someone who knows them and you.
- Ask that connector to introduce you; send nothing until they agree.
- Send one email they can forward unchanged.
- Thank the connector after the meeting and report back.
The email carries a one-line value proposition, three sourced numbers, the round and one ask. Example by our method; every figure is an assumption:
Subject (our example): Intro to a pre-seed bookkeeping app for restaurants We build bookkeeping software for independent restaurants. Demand: 400 waitlist signups from a paid landing-page test (assumption). Unit economics: LTV/CAC of 3.1 across our first 40 paying customers (assumed figures for our example). Rival gap: the closest rival needs an accountant for setup; ours takes one hour (assumption). Round: $250,000 from angels at pre-seed (assumption). Ask: 20 minutes on a call (assumption), or the name of someone better placed.
In Angel Investment Network’s 2025 survey of US founders, 46% spent 30% or more of their week on fundraising, and 25% over half6.
What investors check before they reply
- Team: one line per founder showing you can build this.
- Market: who buys, how many exist and how you reach them; size your market.
- Three numbers, each with its source: demand (signups, preorders or search data), LTV against CAC from your own cohorts, and one verifiable thing you do that your closest rival doesn’t.
- Deck: problem, product, traction, team and the round; send it once they show interest.
Check your idea’s numbers for weak spots.
Worked example of the round arithmetic
Example by our method; every figure is an assumption. A founder raises $250,000 from angels with a typical check of $25,000, inside the professional-angel range of $10,000 to $50,0001.
- Investors needed: $250,000 ÷ $25,000 = 10.
- Intro-to-meeting rate: 30%; meeting-to-commitment rate: 10%.
- Names to contact: 10 ÷ (0.30 × 0.10) ≈ 333.
333 names produce about 100 meetings and 10 commitments. Add a lead angel who puts in $100,000, and $150,000 ÷ $25,000 = 6 checks remain, or about 200 names, a cut of 40%. Find the lead first.
Rules before you send anything
Have a securities lawyer confirm which exemption your round uses.
- Accredited investor: income over $200,000 in each of the last two years ($300,000 jointly with a spouse or spousal equivalent) or net worth over $1 million excluding the primary residence; a Series 7, 65 or 82 license in good standing also qualifies7.
- Rule 506(b): no general solicitation, and no more than 35 non-accredited, financially sophisticated investors in any 90-day period8.
- Rule 506(c): you may advertise if every purchaser is accredited and you take reasonable steps to verify it9. In March 2025, SEC staff said those steps can be a minimum investment of $200,000 for individuals or $1 million for entities, plus the investor’s written statements10.
- Reg CF: up to $5 million in 12 months through a registered intermediary4. If a non-accredited investor’s income or net worth is under $124,000, their limit is the greater of $2,500 or 5% of the greater of the two2.
- Regulation A Tier 2: up to $75 million in 12 months11.
- Paid finders: anyone paid transaction-based compensation to raise capital may need to register as a broker-dealer12.
When investors are the wrong money
If revenue, savings, preorders or a loan can fund growth, use them first. Routes that take no stake:
- SBA-backed loans: a bank lends and the SBA guarantees part.
- Revenue-based financing: you repay a fixed share of monthly revenue up to an agreed total.
- Grants: federal SBIR and STTR programs and state or local grants.
If you have not launched, start with how to start a business.
FAQ
How do I find investors for a startup with no traction?
Lead with demand evidence, such as a landing-page test or preorders, and start with friends, family and sector angels.
How many investors should I contact?
Divide your round by the typical check, then by your two conversion rates multiplied together.
How do I ask for a warm introduction?
Ask whether the connector is willing; after a yes, send one forwardable email.
Can friends and family invest if they are not accredited?
Is Kickstarter a way to get investors?
Should I pay a service to find investors?
If the fee depends on money raised, confirm the person is a registered broker-dealer12.
Sources
- jpmorgan.com, 10/22/2026
- sec.gov, 10/22/2026
- gatekeep.vc, 10/22/2026
- sec.gov, 10/22/2026
- updates.kickstarter.com, 10/22/2026
- angelinvestmentnetwork.net, 10/22/2026
- accountableequity.com, 10/22/2026
- sec.gov, 10/22/2026
- sec.gov, 10/22/2026
- bakerlaw.com, 10/22/2026
- sec.gov, 10/22/2026
- sec.gov, 10/22/2026
Check your idea for free
Describe your idea and the check collects demand, competitors, complaints and prices, with sources.
