For young and smaller firms, raising capital can seem like a never-ending job. It requires hard work, patience, and a willingness to continually knock on doors that show no signs of opening. Thankfully, you don’t have to do it alone. With the right software solutions, tools, website, and partners, your next round of funding won’t be nearly as stressful, awkward, or energy-depleting. Here are some ideas that will help you succeed.

1. Consistency in your Marketing materials

The first thing you should start with is to make sure that all your marketing documents are in line with your philosophy and strategy.
– Business Plan
– Monthly Factsheets
– Newsletters

You need to be able to demonstrate the future in your strategy. Furthermore, you need to be able to demonstrate and correctly articulate what you are doing at a glance. Always be prepared for the follow-up question. What value do YOU add, and HOW will you achieve your goals?

The process of the most successful funds often goes like this:
1. Find a niche investment area (Your WHY)
2. Understanding your goals and creating a solid Busines Plan (Your HOW) 
3. Put your processes in place (Marketing, IR, your corporate picture- aka your CREDIBILITY) 
4. Build a solid and trusted Network, while you are building your track record (your internal Heroes) 
5. Scale and Accelerate your growth.

These steps are being followed by all the Funds we work with, and they never seem to fail (provided that your strategy generates Alpha). Start low and work your way up. If you see something that doesn’t work, just re-adjust, experiment and keep going. In the end, you will find your own way to do things.

2. Leveraging your Network and Using referrals

It might sound strange – and maybe a bit awkward- in this industry, but referrals from your Investors and your Prospective Investors is the easiest way to bring attention back to your fund. Just because someone doesn’t want to invest in you (at least at the moment), doesn’t mean that they don’t know someone who might want to.

Spread the word and find a way to create inbound leads. The best Funds in the world have a waiting list for joining. Do you want to be in their shoes? Start low and work your network to the top.  (More on this topic soon)

3. CRM Software

If you’re serious about raising capital and you have followed all the steps until now, it’s possible that you’ll interact with hundreds of different leads. While CRM solutions are typically designed for managing a business’s customer relationships, they can also be used to aid your funding initiatives by allowing you to organize and track interactions.

We know the frustration of following up with so many leads on any given day. There is only one scalable way, and this is the use of a CRM Software. Of course, most of the CRMs are quite generic, and they don’t quite fit the Asset Management Industry.

“While you are heads-down and build your track-record, there are still opportunities out there for you. Meet people, lawyers, investors – Write some though pieces and get your name out there. The industry is fragmented. Keeping an open line with the world is important.”

Luckily, Edgefolio developed their own CRM system called FundPortal. The system design originated from Fund Managers’ feedback and suggestions. It gives Sales and Marketing teams access to behavioral data, as to who is looking at their funds and what information they are looking for. FundPortal incorporates the CRM tools you need to manage your investors, automate your fundraising, and make your fund data interactive and visual either you are creating a report or running analysis.

Again, it’s all about scalability. A spreadsheet can suffice for the first few months, you can’t track all your prospect’s activities manually. Furthermore, you shouldn’t lose time following on ‘cold leads’ or -arguably even worse- not following on warm ones. Find what works for you better, and make it a part of your everyday activities. It might take a couple of weeks to get used to it, but it will make your time 10X more productive.

4. Hedge Fund Portals

Almost all successful businesses rely on technology in some way. This is no different for the Alternative Asset Managers. Just take a look at the HFM Awards winners 2018.

Tech is not just a differentiator anymore. It is an essential part of your business, and if you want to overcome your peers, you need to innovate.

There aren’t many things to say here. In the words of one of our most successful clients:

You’ve got 10000 competitors.

Most institutional investors are being Called on by thousands of hedge funds

They are meeting with a couple hundred.

They are doing second meetings with 50.

Allocating to maybe 2.

Anything you can do to get a differential advantage over your competition, you have to focus on. Fund Portals are here for a while, and the world is not going backwards. If you don’t have the systems in place, you are not only predestined to fail, but you also face important issues ( like security, compliance, and accountability; just to name a few).

Accelerate Your Funding Starting Today

Raising capital for your Fund isn’t a process you can start without being prepared. Using these four resources, you can increase your chances of securing the funding you need with terms that are most beneficial to your firm.

We are working with hundreds of Funds and institutional allocators, and we can tell you this: The hybrid model works; you just need to open your mind and let take advantage of this. The tech is here, and it will give an edge to anyone who uses it. The faster, the better.

Do you want us to help you with your Marketing activities? Get in touch at or book a meeting here with one of our experts!

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