Amber Atherton of Zyper and Iba Masood of TARA on Raising a Series A as a Female Founder

TL;DR

Founders discuss their experiences raising series A funding, including tips for navigating the process and finding the right investors.

Transcript

all right so today I have EBU Masood from Tara and amber assitant from zai / how's it going hello good so today we're gonna talk about fundraising but before that let's talk about your companies so Eva what do you do so correct it's great to be here I'm if I'm Massoud I'm the co-founder and CEO of thara a I so we're building an end-to-end a solutio... Read More

Key Insights

• 🔍 Fundraising journey: The founders discuss their fundraising experiences, including raising pre-YC and Series A, and the importance of finding the right investors.
• 💡 Pivoting successfully: The founders discuss how they pivoted their companies and how their investors supported them in the process.
• 💰 Valuation and funding: The founders advise against focusing solely on valuation and instead emphasize the importance of finding the right partners and focusing on long-term growth.
• 🤝 Partner and team selection: The founders stress the importance of finding partners and team members who align with the company's mission and values, and prioritize culture-building and team growth.
• 👥 Hiring early-stage employees: The founders discuss the challenges of hiring early-stage employees and the importance of finding candidates who have experience in building startups.
• 💼 Female founders in fundraising: The founders share their experiences as female founders, including the need to be authentic, the importance of finding partners who understand the company's vision, and the progress being made in terms of diversity and representation in the startup ecosystem.
• 💪 Building a strong company culture: The founders emphasize the importance of prioritizing company culture and values as the company grows, and how it can help attract the right talent.
• 📊 Running productive board meetings: The founders discuss the process of running board meetings, including preparation, setting goals and metrics, and involving the leadership team in the discussions.
• 🔍 OKRs and goal-setting: The founders share their experiences with setting objectives and key results (OKRs) and highlight the importance of making them measurable, achievable, and involving team buy-in.
• 💡 Continuous learning and growth: The founders emphasize the need for continuous learning, adaptability, and growth as a founder, and share their experiences of personal growth throughout the fundraising journey.

Questions & Answers

Q: How did the founders pivot their companies after raising seed funding?

After raising seed funding, the founders realized the market segment they were targeting was not ideal and decided to pivot. They communicated this pivot to their investors and were able to raise additional funding based on their new direction.

Q: What qualities did the founders look for in investors during their series A funding?

The founders prioritized investors who understood their market, had experience with category creation, and had a strong understanding of their product and its value. They also sought investors who were willing to build a long-term partnership and prioritize the team over valuation.

Q: How did the founders create a sense of urgency and momentum in their fundraising process?

The founders focused on building a thoughtful process and presenting their product and vision in a compelling way. They also asked pointed questions to potential investors, gathered insights from founders of their portfolio companies, and set deadlines for decision-making.

Q: How did the founders overcome challenges related to gender diversity during their fundraising process?

The founders acknowledged the lack of representation in the industry and faced assumptions about wanting to work with female partners. They emphasized the importance of finding partners who understood their business and industry, regardless of their gender, and focused on building a strong team and product.

Q: How did the founders recruit top talent when competing with big companies?

The founders looked for individuals who believed in their mission and vision. They focused on attracting people who had faced the same frustrations their product aimed to solve and prioritized culture fit. They also showcased the unique opportunities and challenges of working in a series A company to attract top talent.

Q: What changes did the founders experience after raising series A funding?

The founders shifted their focus to building a strong culture and team, and prioritized company values. They also implemented a structured board meeting process and introduced OKRs (Objectives and Key Results) to align the team's goals and track performance.

Q: What lessons did the founders learn during their series A fundraising journey?

The founders learned the importance of being authentic and transparent, focusing on long-term partnerships, and avoiding optimizing for valuation. They also emphasized the need to build a strong team and prioritize culture fit.

Summary & Key Takeaways

• Founders discuss their journey of raising series A funding.

• They share insights on applying to Y Combinator and pivoting their companies.

• The founders provide tips for successfully raising series A funding, including focusing on the right investors and building a strong team.