The Topic for today’s chat is - How can you raise funds for your Healthcare SoCent? #VillgroHealth
— Villgro (@Villgro) July 28, 2016
We're starting! Please use the hashtag #VillgroHealth. Are you guys ready? @BelknapPaul @AinaGaur @satyadash @radha__rk @AxilorVentures — Villgro (@Villgro) July 28, 2016
Here we go! Q1 What are funder's expectations at various stages of fundraising?#VillgroHealth
— Villgro (@Villgro) July 28, 2016
A1: (1/4) Some variation, but for <Rs.50 lakh @villgro expect problem, market understanding, proof of science or concept. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
A1: (2/4) For Rs. 50-100 lakh, @villgro wants improved market understanding, alpha prototype, clear regulatory pathway. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
A1: (3/4) @menterrava funds Rs. 1-3 Cr. Likes to see pilots, but can invest while still at prototype stage. #VillgroHealth — Aina (@AinaGaur) July 28, 2016
A1: (4/4) Funders have different expectations based on mandate, strength/value of IP, size of market, etc. affect below. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
To raise funds understand the grant and equity players well. Mandate, ticket size, expectations. #VillgroHealth — Aina (@AinaGaur) July 28, 2016
Fndrsexptn a) clarity prod mkt fit b)team passion c)custmer knwge d)impact @BelknapPaul @AinaGaur @radha__rk @AxilorVentures #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
@Villgro stg 1 - mkt validtn: what does customer want? how much will she pay? how will she consume your offering? #VillgroHealth — Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro stg 2 - scale up: can team and technology provide this to 10x more customers without breaking down #VillgroHealth
— Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro stg 3 - launch: prove unit economics work and then scale exponentially! #VillgroHealth — Axilor Ventures (@AxilorVentures) July 28, 2016
For 1-3cr at @MenterraVA looking for prototypes ideally or a really solid proof of concept https://t.co/3WohwVsj16
— Menterra (@MenterraVA) July 28, 2016
@Villgro At the Seed Stage where we invest, we look for a "Strong team solving a big problem in a capital efficient manner" #VillgroHealth — Radha Kizhanattam (@radha__rk) July 28, 2016
@radha__rk what do you look for in the core team? #VillgroHealth
— Aina (@AinaGaur) July 28, 2016
@AinaGaur We look for teams with complimentary skills. In healthcare domain expertise is critical. — Radha Kizhanattam (@radha__rk) July 28, 2016
Q2 How do the major considerations of grant funders & equity investors differ? #VillgroHealth
— Villgro (@Villgro) July 28, 2016
@Villgro IMO grant funders are keen on measuring impact systematically, equity looks for growth over impact #VillgroHealth — Axilor Ventures (@AxilorVentures) July 28, 2016
Do you think this is complementary or mutually exclusive? @AxilorVentures @Villgro #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul @AxilorVentures Also need to identify & distinguish Buyer, End-user, Distributor & their expectations @villgro #VillgroHealth — Arun Venkatesan (@AVChennai) July 28, 2016
@AxilorVentures @Villgro how should impact investors prioritise return vs impact. #VillgroHealth
— Aina (@AinaGaur) July 28, 2016
@AinaGaur @Villgro lot depends on the nature of capital! if it is patient, can aim for mixed portfolio or take riskier bets — Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro @satyadash Equity funders significantly focus on growth and scale.
— Radha Kizhanattam (@radha__rk) July 28, 2016
@Villgro @satyadash @radha__rk equity investors focus on returns. #Impinv funds like @MenterraVA focus on impact AND returns #Villgrohealth — Menterra (@MenterraVA) July 28, 2016
not much except grant funders r more patient & look at orphan areas too! @BelknapPaul @radha__rk @AxilorVentures @AinaGaur #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
Agreed, there are some disease areas and risky technologies where grants are needed. @Villgro #VillgroHealth https://t.co/kDX6mJI9fJ — Paul Belknap (@BelknapPaul) July 28, 2016
A2: Investors always concerned w/commercial potential. #impinv needs comfort on return and impact. #VillgroHealth
— Aina (@AinaGaur) July 28, 2016
What is Villgro's balance between focus on mandate v. returns? #VillgroHealth https://t.co/qy8mvSo4Kp — Rebecca Singer (@beccasingz) July 28, 2016
Impact is first for @Villgro and @MenterraVA, but returns and scale potential must be there too. @beccasingz #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@Villgro @satyadash Equity funders significantly focus on growth and scale. — Radha Kizhanattam (@radha__rk) July 28, 2016
@radha__rk @Villgro agree plus grant funders DNA is a bit different @Villgro #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
@satyadash #VillgroHealth Equity funders look to make/return multiples to their investors(LPs). Hence efficient scalability is key! — Radha Kizhanattam (@radha__rk) July 28, 2016
@BelknapPaul @Villgro complementary! at small scale sustainability becomes hard, growth necessary for long term impact
— Axilor Ventures (@AxilorVentures) July 28, 2016
@AditiSeshadri @Muks01 @AVChennai @Villgro grant-more focus on social return, investors-more focus on financial return — P R Ganapathy (@prganapathy) July 28, 2016
#socent seeking equity funds need 2 factor finite fund life, exit & returns in addition to impact #VillgroHealth @Villgro @MenterraVA
— Mukesh Sharma (@Muks01) July 28, 2016
This is a tight rope walk for #socents, some big tech development will require grant launch pad. #VillgroHealth https://t.co/2fB4t1A4DZ — Paul Belknap (@BelknapPaul) July 28, 2016
Q3 Are funders more interested in certain sectors? If yes, why so? #VillgroHealth
— Villgro (@Villgro) July 28, 2016
not much except grant funders r more patient & look at orphan areas too! @BelknapPaul @radha__rk @AxilorVentures @AinaGaur #VillgroHealth — Satya Dash (@satyadash) July 28, 2016
Agreed, there are some disease areas and risky technologies where grants are needed. @Villgro #VillgroHealth https://t.co/kDX6mJI9fJ
— Paul Belknap (@BelknapPaul) July 28, 2016
A3: (1/2) Funders like @villgro & @menterraVA relatively agnostic, only looking for big #publichealth problems. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
A3: (2/2) Some gov’t supported funders like @gchallenges, @GCDSavingLives aligned w/ #MDGs #SDGs, other gov’t priorities. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
A3: At #VillgroHealth we are focused on solving big problems affecting lower income population. #publichealth #mch #diabetes #infectious dis — Aina (@AinaGaur) July 28, 2016
Q3: public funders look at all areas of natl growth potential @Villgro @radha__rk @BelknapPaul @AxilorVentures #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
Role is vital @satyadash, can't overstate how @BIRAC_2012 & partners like @CCAMP_Bangalore have built #medtech ecosystem #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
Role is vital @satyadash, can't overstate how @BIRAC_2012 & partners like @CCAMP_Bangalore have built #medtech ecosystem #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul need to do more. Early days. Question to you, what after product development? @satyadash @BIRAC_2012 @CCAMP_Bangalore — Taslimarif Saiyed (@Taslimarif) July 28, 2016
Options scarce in India, corporate partners are interesting possibility. @Taslimarif @satyadash @BIRAC_2012 @CCAMP_Bangalore #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul @Taslimarif @BIRAC_2012 @CCAMP_Bangalore yes & startups have to learn the art of negotiations @radha__rk — Satya Dash (@satyadash) July 28, 2016
Q4 What should entrepreneurs in sectors where funding is more scarce consider? #VillgroHealth
— Villgro (@Villgro) July 28, 2016
A4: (1/2) Even more important to be capital efficient and start the fundraising process early. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
A4: (2/2) Leverage non-dilutive sources of funding like @BIRAC_2012, @wellcometrust, @villgro that are broader mandate. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
Always consider #bootstrapping ! If not an option, look for non-dilutive funding options( grants, debt, etc) before equity! #VillgroHealth — Radha Kizhanattam (@radha__rk) July 28, 2016
Couldn't agree more @radha__rk! Too many #socents raise too much too soon. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul @radha__rk efficient prod development & utilisation of capital bigger challenge then attracting funds #VillgroHealth — Mukesh Sharma (@Muks01) July 28, 2016
@Villgro bootstrap via cross subsidy model like @AravindEye
— Axilor Ventures (@AxilorVentures) July 28, 2016
#VillgroHealth Even better is to let your product, traction speak for itself. Nicer to have a VC reach out to you than the other way round! — Radha Kizhanattam (@radha__rk) July 28, 2016
A4: (1/2) Even more important to be capital efficient and start the fundraising process early. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
A4: (2/2) Leverage non-dilutive sources of funding like @BIRAC_2012, @wellcometrust, @villgro that are broader mandate. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
@Villgro A4:in addition to Paul, bulk customers or NGO who needs customized innovative solutions are great source of funding for Start-up
— Dr Yogesh Patil (@DrYogi_Patil) July 28, 2016
For #socent better 2 raise equity in the first 3 yrs of fund life. Earlier the better @MenterraVA is in 1st yr of investing #VillgroHealth — Mukesh Sharma (@Muks01) July 28, 2016
Great advise #VillgroHealth https://t.co/xAnt6DCG5L
— Aina (@AinaGaur) July 28, 2016
All funders actively seeking out #socents through pitches, contests, etc @Villgro's #unconvention is a good place to start #Villgrohealth — Aditi Seshadri (@AditiSeshadri) July 28, 2016
@Villgro smart networking networking &networking:that's the mantra! Float before cash burns out @radha__rk @AxilorVentures #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
You can't network too much, dust off your handshake and your elevator pitch #socents. #VillgroHealth @satyadash @radha__rk @AxilorVentures — Paul Belknap (@BelknapPaul) July 28, 2016
Q5: reach out our BIG partners & others @C-@CCAMP_Bangalore @KIIT_TBI @venture_center @ikpeden
— Satya Dash (@satyadash) July 28, 2016
A5: (1/2) Funders like @villgro and @menterrava prefer references from known sources, network your way in. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
A5: (2/2) Some grant funders may need to show impartiality in process, may not be able to accept personal referrals. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul mandate fit goes a long way to effectively connect to #socent funders @villgro #VillgroHealth — Arun Venkatesan (@AVChennai) July 28, 2016
@Villgro also consider options of healthcare accelerators like #healthstart & @AxilorVentures for visibility to funders #VillgroHealth
— Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro @satyadash #VillgroHealth Best way to get an equity funder's attention is through a trusted referral. — Radha Kizhanattam (@radha__rk) July 28, 2016
@radha__rk @Villgro absolutely but startups also shld do VC mapping for good fit
— Satya Dash (@satyadash) July 28, 2016
Q6 Dealing with inevitable rejection, how to use it constructively? #VillgroHealth — Villgro (@Villgro) July 28, 2016
I believe feedback from funders is great way to grow from rejection #VillgroHealth https://t.co/FMXJovJPPg
— Rebecca Singer (@beccasingz) July 28, 2016
A6: (1/2) Investor input comes from seeing many businesses, take feedback, re-validate assumptions, consider a pivot. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
A6: (2/2) But investors are wrong sometimes, so know when to trust your idea and keep knocking on doors. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul too true! investors are rarely as close to the problem as founders are https://t.co/LMLsu4OtMF — Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro A6 Use the feedback to refine pitch and type of funds to target
— Axilor Ventures (@AxilorVentures) July 28, 2016
@Villgro Q6: absorb advice, speak2potential customers & Refine model. Pitch again!@@BelknapPaul @AinaGaur #VillgroHealth — Satya Dash (@satyadash) July 28, 2016
Ask the ones who rejected you for their help. Use each rejection to further iterate your model #VillgroHealth https://t.co/o5LWyGriLs
— Menterra (@MenterraVA) July 28, 2016
#VillgroHealth Dont view funding as the end goal. It is only a means to grow your business. — Radha Kizhanattam (@radha__rk) July 28, 2016
#VillgroHealth Nobody knows your business better than you do. Seek feedback when rejected but use it constructively to evaluate your model !
— Radha Kizhanattam (@radha__rk) July 28, 2016
Ask for top 3 reasons. U may not agree on all but Introspect and improve. @Villgro @BelknapPaul @AxilorVentures @radha__rk @satyadash — Taslimarif Saiyed (@Taslimarif) July 28, 2016
Look at it as feedback, a different perspective, another viewpoint. U may not always agree though :) #VillgroHealth https://t.co/nY3P8NvgUz
— Vikas Bagri (@tovikasbagri) July 28, 2016
A6 Feedback from investors gives deep insight into industry trends. Pay close attention. Challenge it only with convincing data. — Aina (@AinaGaur) July 28, 2016
A6 Feedback fm investors gives deep insight into industry trends. Pay close attention. Challenge it w/ convincing data. #VillgroHealth
— Aina (@AinaGaur) July 28, 2016
Great Advice! Q7 The biggest mistakes entrepreneurs make while raising money #VillgroHealth — Villgro (@Villgro) July 28, 2016
Q7: raising too much early on & taking their eyes off burn rate i.e efficiency, bloated hiring,
— Satya Dash (@satyadash) July 28, 2016
This is music to @Muks01's ears. Capital efficiency is huge, especially w/long development cycle. #VillgroHealth https://t.co/LAT7egpVdk — Paul Belknap (@BelknapPaul) July 28, 2016
Sell the problem more! #VillgroHealth https://t.co/nixi7TVGAo
— Villgro (@Villgro) July 28, 2016
A7: (1/2) Raising money from unaligned investors. #socents particularly need to do homework to find right investor. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
@Villgro #Socents make the mistake of not identifying the right investors or grant funders #VillgroHealth Do your homework diligently
— Menterra (@MenterraVA) July 28, 2016
Do your homework diligently #VillgroHealth https://t.co/K0BTNt5o7q — Villgro (@Villgro) July 28, 2016
A7:(2/2) #socents raising large equity at high valuations, almost impossible 2 deliver both impact and investor returns. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
@BelknapPaul Pressure 2 deliver returns increases with high valuations resulting in deviation from impact goals #VillgroHealth @Villgro — Mukesh Sharma (@Muks01) July 28, 2016
A7: Crowding up the cap table w/ unaligned investors #VillgroHealth
— Aina (@AinaGaur) July 28, 2016
Many entrepreneurs forget to tell the impact story... how will you save & improve lives? #VillgroHealth https://t.co/9apbvPz5W5 — Rebecca Singer (@beccasingz) July 28, 2016
This is a great point! Don't forget to tell story, and the story gets stronger when backed up w/data! #VillgroHealth https://t.co/8nRB5bw80i
— Paul Belknap (@BelknapPaul) July 28, 2016
Last question of the day Q8 What are the 3 things an effective pitch should have? #VillgroHealth — Villgro (@Villgro) July 28, 2016
A8: 1. Compelling problem statement (a great hook), 2. Thorough competitive analysis 3. The ask and path forward. #VillgroHealth
— Paul Belknap (@BelknapPaul) July 28, 2016
A8 Clear value proposition, prod-mkt fit, story that motivated entrepreneur to start #VillgroHealth — Aina (@AinaGaur) July 28, 2016
Q8:@Villgro @AinaGaur clarity in value proposition, simple language, dynamic passion,
— Satya Dash (@satyadash) July 28, 2016
@Villgro 1/ Introduce problem, solution and your unique customer insight 2/ Introduce team 3/ Talk numbers - Unit economics, Biz model — Radha Kizhanattam (@radha__rk) July 28, 2016
Introduce problem, solution and your unique customer insight #VillgroHealth https://t.co/H0NhlAxYjP
— Villgro (@Villgro) July 28, 2016
@Villgro @AinaGaur also being clear about what 'pain point' in the market is being solved at what economic costs? #VillgroHealth — Satya Dash (@satyadash) July 28, 2016
@Villgro @AinaGaur & finally is there a profit at unit cost worked out even if estimates? Many don't do this during a pitch. #VillgroHealth
— Satya Dash (@satyadash) July 28, 2016
Ask for top 3 reasons. U may not agree on all but Introspect and improve. @Villgro @BelknapPaul @AxilorVentures @radha__rk @satyadash — Taslimarif Saiyed (@Taslimarif) July 28, 2016
Time's up! Thanks for joining today’s #VillgroHealth Twitter Chat.
— Villgro (@Villgro) July 28, 2016
Before we go any final words from our panel about their work or advice for #socents @radha__rk @AxilorVentures @satyadash #VillgroHealth — Villgro (@Villgro) July 28, 2016
@Villgro #VillgroHealth Entrepreneurship is tough! #SocEnt tougher! Put your heads down & execute. You will make difference that matters!
— Radha Kizhanattam (@radha__rk) July 28, 2016
Big take away is funders @UnitusSeedFund @AxilorVentures @Villgro @MenterraVA @BIRAC_2012 all looking for same things. #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
Thanks @Villgro @BelknapPaul @radha__rk @AxilorVentures @AinaGaur Great discussions! Look forward to connecting soon! Let's build together!
— Satya Dash (@satyadash) July 28, 2016
Thanks to @Villgro for organizing, and to @radha__rk @AinaGaur @AxilorVentures @satyadash for their insights and enthusiasm! #VillgroHealth — Paul Belknap (@BelknapPaul) July 28, 2016
#SoCents can pitch for @Villgro funding at #Unconvention events. https://t.co/WfPaGLkyzp #VillgroHealth
— Villgro (@Villgro) July 28, 2016