Fundraising for pre-seed founders: let’s clear the fog

Ah, fundraising – that magical, stressful, often misunderstood rite of passage for founders. If you’re reading this, chances are you’ve heard a lot of conflicting advice about how to raise your first round. I get it. Pre-seed fundraising can feel like wandering through a maze where the walls keep moving.

So, let’s try to cut through the noise, shall we? I want to share 7 hard-earned lessons that founders might want to take on board.

1. Bootstrap as long as you can

There’s no sugar-coating it: bootstrapping is tough. It’s ramen for dinner and learning to do everything yourself. But here’s the deal - the longer you can stretch your runway without outside capital, the stronger your foundation will be.

Bootstrapping forces you to stay lean, focus on what truly matters, and learn the art of resourcefulness. Yes, it’s painful - let no one tell you otherwise. But it’s also where you’ll build the resilience and scrappiness that make great founders.

2. Fundraising needs a strategy first, then a process

Fundraising isn’t about blasting cold emails and crossing your fingers. You need a strategy. Who are you targeting, why are they a good fit, and what’s the right way to approach them?

Think about it like this: your fundraising strategy should align with your company’s goals and stage. Are you looking for investors who bring capital, strategic expertise, or both? Do you want a mix of institutional and angel investors, or are you prioritising speed over pedigree? How will the money be spent? How big of a buffer do you need, and what are the key milestones you need to hit? Your strategy is your roadmap, and without one, you’re flying blind.

Once you’ve nailed the strategy (and only then), build a process. Think of it as sales: pipeline, follow-ups, next steps. Treat your fundraise like a campaign, not a one-off task. Consistency and persistency are your best allies here.

3. Fundraising is a continuum, not a sprint

You’ve probably heard someone say, “I’m fundraising next month for four weeks.” Reality check: that’s not how it works.

Fundraising is part of a broader cycle that includes product development and commercialisation. As you build your product (which likely requires funds), you need to be engaging with customers or potential customers. Their feedback and traction feed into your commercial milestones, which in turn shape your fundraising strategy and narrative.

When these three priorities - fundraising, product development, and commercialisation - are aligned, everything moves forward more smoothly. But if one is out of sync, the whole system stumbles. Fundraising isn’t just about raising money; it’s about ensuring your business is on a solid trajectory, and that requires keeping all three wheels turning in harmony.

Even when you’re not actively raising, you should be nurturing relationships with investors, sharing updates, and showing them how your product and traction are evolving. By the time you “open” your round, you’ll already have momentum.

4. Rejections are your friend (or at least, feedback in disguise)

No one likes hearing “no,” but here’s the thing - every rejection is a chance to learn. Why did they pass? Was it timing, the market, your pitch? Don't be afraid to (politely) ask for feedback.

Be curious. Use each rejection as an opportunity to refine your story, improve your deck, or better understand your audience. Some of the best feedback I’ve seen came from the blunt honesty of investors who passed.

(and hey, those relationships might come back around someday.)

5. Honesty is non-negotiable

You’ve probably heard the phrase “fake it till you make it.” Ignore it. Ignore. It. Investors can smell BS from a mile away.

Be transparent about where you are, what’s working, and what’s not. You are a founder; of course you don't have everything worked out yet. Honesty builds trust, and trust is what gets deals done.

Don’t exaggerate metrics or pretend you’re further along than you are - it’ll backfire. Think of it this way: would you ever invest in a person who is not being honest with you?

6. Do your diligence on investors

Fundraising is a two-way street. You’re not just selling your company; you’re choosing your partners.

Here’s the thing - in the age of LinkedIn, there’s really no excuse for not doing your homework on an investor. Yet, I’ve lost count of how many calls I’ve had with founders who clearly haven’t even glanced at my LinkedIn profile or checked what I’ve invested in before. Spoiler alert: it’s all there!

Understanding an investor’s track record and focus is critical. Do they understand your space? Have they backed start-ups at your stage before? Are they hands-on or hands-off? What’s their reputation among other founders? Doing this groundwork will save you time and help you focus on building meaningful connections with investors who are actually a fit for your business.

And hey, if you don’t do this, the joke’s on you; because those 30 minutes you just spent pitching me a crypto start-up when I focus on Sustainability, Education and Healthcare, you are NOT getting them back (and is it the best use of your time?)

7. Be clear on your story, then tailor it

Your story is the heart of your pitch. Why are you building this? Why are you the right person to solve this problem? Why now? If you don’t have crystal-clear answers to these questions, stop and figure them out before you do anything else.

Now, confession time: I hate it when I hear founders say, “I don’t have time to tailor my story for investors.” Here’s the truth - if you’re clear on your story (as you should be) and you’ve done your homework on your investors (see point 6 above), tailoring your pitch isn’t extra work. It’s a natural extension of knowing your audience and aligning your story with what matters to them.

A generalist angel investor might care about your vision and team, while a sector-focused family office/ VC wants to know about your product-market fit and traction. Tailoring doesn’t mean rewriting your story; it means emphasising the parts that resonate most with your audience. It’s like adjusting your playlist for the crowd - same artist, different vibe.

Final Thoughts

Fundraising at the pre-seed stage is equal parts art and science. It’s not just about getting money in the bank; it’s about finding partners who believe in your vision and can help you get to the next stage.

So, take a deep breath, get your strategy in place, and approach it with confidence. And remember: every founder who’s raised before you has been in your shoes (and has had to deal with rejection and self-doubt). You’ve got this.

(Oh, and if you’re looking for a little extra support, at Pampos Ventures , we’ve developed a robust pitch deck assessment framework to help founders tell their stories effectively. If you want to chat about it, my inbox is always open.)