Investor Readiness: The 50-Point Checklist Most Founders Skip
Most rejections in capital raises are about readiness, not the underlying business. The 50-point checklist below is the same one we use in NAJA Capital diagnostic sessions.
The four foundations
- Business plan. 12–18 pages, current within 6 months, with documented assumptions and named competitors.
- Financial statements. Three years historical; trailing twelve months current; reviewed or audited if scale warrants.
- Financial model. 3–5 year monthly model for years 1–2, driver-based, with sensitivity tabs.
- Cap table. Current and pro-forma post-raise; all options, warrants, and convertibles documented.
Customer data, KPIs, unit economics
Concentration analysis (top 10 customers as % of revenue), retention/cohort data where relevant, and a monthly KPI dashboard for the trailing twelve months. Revenue, gross margin, EBITDA, cash, AR/AP, plus three operational metrics.
Legal and governance
Litigation history disclosed (current and prior). Material contracts available for review. IP ownership confirmed. Board / advisory composition documented. Voting and consent thresholds disclosed.
Use of funds tied to milestones
“General corporate purposes” is not a use of funds. Tie dollars to milestones with a written bridge to the next financing event or to self-sustaining cash flow.
The data room
Standard structure: 1. Corporate · 2. Financials · 3. Tax · 4. Customers · 5. Legal · 6. Team · 7. Plan · 8. Misc. Naming convention consistent. Permissions reviewed. Index page included.
Common mistakes
- Optimistic projections without a downside scenario.
- Vague use of funds.
- Inconsistent numbers across plan, model, and historicals.
- Messy cap table.
- Risks surfaced late in diligence.