Investor Relations 101: The Power of Monthly Updates

Few words on how&why to write investor updates for web3 folks.

In a time when the internet was as thrilling as watching paint dry, equity was the only path to securing venture capital. Now, as we dance with SAFT agreements, equity has mostly been sidelined in our deals (a claim as true as a three-dollar bill, but let's table that discussion). Due to this shift, board meetings - a prime opportunity to hobnob with key stakeholders and investors, have largely fallen by the wayside. Due to that, we must double down on our second-best bet for keeping investors in the loop: monthly investor updates (by email, not carrier pigeon).

Sure, as a founder, your primary mission is to steer your venture toward the sunlit uplands of success. But remember, your investors' ultimate aim is to see their portfolio hit the jackpot, and they know only some positions from it will do that. Then no other way to get their attention and help when needed, other than letting them know that you are the chosen one, your venture gains traction, and things go generally well. Once you've got their money in your pocket, as a founder, one of your key duties is to keep vying for your investors' attention. This ensures you stay front and center in their minds for future funding rounds, thereby sending out a flashy neon sign to other investors that your venture is gaining momentum. It's a glowing testament that you're not just all talk, but can walk the walk too. But to achieve this, you need more than a sparkling idea and a handful of success stories to parade in front of your current investors by the time more money is needed (you raise the next round). You need to cultivate a solid relationship rooted in trust, and monthly investor updates are your trusty trowel.

Some founders may opt to give out information like it's a rare, precious metal, letting the ROI do all the talking. While there's a certain merit to this approach, I'm a fervent believer in the almighty triad of frequency, consistency, and transparency in investor communications. It's akin to nurturing a garden; the more you tend to it, the more it flourishes. Regular investor updates not only foster an atmosphere of transparency but also instill a sense of accountability within your ranks. The dividends of this approach are bountiful:

  • It keeps investors engaged in your business, allowing them to lend their expertise where needed, and effectively addressing any explicit challenges or requirements.

  • It provides investors a front-row seat to witness how their investment is fueling your venture.

  • It enables investors to track your progress on critical goals and milestones, thereby providing an assurance of growth.

  • It gives investors valuable insights that can help determine future investments and plan for cash reserves, for potential follow-on funding in your company.

  • It broadcasts a clear message to investors that you are a go-getter entrepreneur who not only values their investment but also cherishes their expertise (by asking for help when needed).

  • It nurtures a bond of trust between you and your investors, strengthening the bedrock of your professional relationship.

  • Lastly, it ensures that you have your nose to the grindstone, and provides a moment for some good old introspection about your business and its journey to the stars.

Touching base with your investors isn't just about keeping them in the loop. It's akin to weaving a sturdy fabric of trust, mutual respect, and shared ambitions. The magic of these investor updates lies as much in the meat of the content as in the act of reaching out and embracing those who have placed their trust (and their treasure) in your venture.

In my observations, companies that frequently top the charts are often those delivering detailed monthly investor updates. Now, this doesn't mean dazzling updates magically transform into extraordinary companies, but the regular crafting of these updates can stir up a pot of clarity and contemplation about the business. And for many, particularly first-time founders, this can be a valuable masterclass in strategic thinking and pausing to gauge the direction of their venture.

Investor updates serve as a reliable beacon, keeping all investors abreast of company progress, not just the ones you frequently break bread with. The beauty of it all is that with this distribution list, everyone feels equally valued—your smallest angel investors (who are usually much more eager to bring more to the table than just their checkbook) receive the same intel as your lead investor. This shows you're not just focused on the big fish but care about every fish in your investor’s sea.

Even when the storm clouds gather, communication should remain your North Star. These are the times when investor support can be a lighthouse in the dark. Good investors will remain in your corner, even when the news might make others squirm. So, don't be shy, and always reach out for a helping hand!

Additionally, monthly updates act like a magical potion for founders, helping distill convoluted information into its core essence. Founders, often neck-deep in the daily grind of their company, can utilize these updates to take a step back and behold the bigger picture. Many have discovered that regularly penning these updates has honed their ability to structure thoughts and communicate with greater clarity.

Who should receive investor updates?

  • Current Investors: Your current investors should receive your investor updates.

  • Potential Investors: If you are preparing to or are actively fundraising, you may send potential investors your update (just ensure you’re not sharing any privileged information reserved only for your current investors - maybe by sending some short form of the official one).

  • Advisors: Formal or informal advisors to the company should receive your investor updates (however, I am a big fan of advisors who loves your idea so much they put skin in the game and become angels).

  • The Company’s Leadership Team: Even more to say, you can ask your key peers to help you writing it.

Proposed structure

Stolen from Patrick Mayr here.

  1. TLDR - summarise the most important developments

  2. Metrics - update the core metrics you’re tracking and optimizing for. Always include monthly burn and projected runway

  3. Accomplishments - what’s going well? (ex. key hires)

  4. Setbacks - what’s not going well? Be honest here, there’s no point in sugarcoating

  5. What’s next - the main focus for the coming month

  6. Specific asks - what do you need from your investors?

  7. Bonus: Previous investor contributions - highlight previous contributions from investors. Appeal to their competitive nature and get them to work for you


  • If you announce a soft commitment to your upcoming round - you need to have the money on the day you open this round (meaning asap). I see this brag often, but when the round is finally open, not all or neither of the soft committed money is there - and this is an extremely bearish sign for other investors, so be aware of this!

  • I like to see what competitors are doing and know you like it too - then I like to see a short competitor paragraph.

  • It’s not 2010 - you can include images in your email.

  • Once you slip for a month or two, you are already gone from your investor’s minds. Lack of consistency makes you look worse as an operator.

  • Don’t be scared to ask for help and show what is going bad

  • Even if you got no board you can utilize some meetings - like quarterly reviews over Zoom or during some major event where most of your investors will appear

  • I saw founders making common group chats on telegram for all of the investors - and it usually worked well.

  • If you got your investors around - ask them to grab lunch together - they are just people so build your relationship just as you would do with your office buddy.

  • Tapping into the investor network can be an easy way to find introductions to investors, partners, potential hires, and mentors - to do that, you need to make good friends with them.

  • Some think that emails are boring and you should use video format.


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