Meta Pixel

News and Announcements

How To Use The Loss Aversion Principle In Your Capital Raise

  • Published December 20, 2022 3:19AM UTC
  • Publisher Leila Oliveira
  • Categories Capital Raising Tips

The Loss aversion principle

and how to use it in your capital raising strategy 👇

Why does this matter?

Well, it turns out that people are often willing to take far greater risks to avoid losses than they are to make gains.

So, you’ll be more successful if you frame it as a loss rather than as a gain.

Instead of saying:

“If you invest in our app, you’ll have xyz return”

Say:

“80% of the round is already committed and we don’t want you to miss out”

“I’m happy to chat again in the next round, but we are projecting the valuation to increase by xxx” .

PS. Obviously, just say it if it’s TRUE. 😅

PS 2. Use it as a follow-up strategy, not in the first conversation with the potential investor.

Looking for a platform to raise capital? Click here to discover how Wholesale Investor can help you.

Your capital engagement platform

With a 14-year track record, a network of 32,000+ investors, and a capital raising platform, Wholesale investor is a leading investment platform for start-ups, scale-ups, emerging growth companies, and small caps.

Capital Insights
Industrial AI does not fail on models. It fails on context.

Operational Intelligence connects fragmented operational data and systems across an industrial facility, including control systems, historians and equipment data, to give operators and AI tools a connected view of what a plant is actually doing. It sits within the broader industrial software and Asset Performance Management market, where predictive maintenance is one application among several, and can be deployed on premises, at the edge or in airgapped environments where operational data cannot leave the site.

Capital Insights
It looks like a fund with no thesis. It is not really a fund.

An umbrella fund structure holds multiple single-purpose sub-funds, each with its own unit class and segregated assets held in the trustee’s name. Investors select an individual project rather than acquiring exposure to the whole portfolio, which means they carry concentrated exposure to that project and do not obtain diversification across the fund’s other investments.

Company Updates
What they took out paid for the production line

Flint’s paper battery is usually described by what it removes. Carlo Charles’s even more interesting point is that removing the materials also removed a lot of machinery, and that is why two products reached production on roughly US$4 million. Asked what is inside his battery, Carlo Charles starts with what is not. No lithium. No […]

Join over 45,000+ sophisticated investors

Join Now