How to Interview an Investor

Finding the appropriate investor is a vital step for any startup. The right investment match will shape the trajectory of a company for many years to be. The interview process is the first chance for entrepreneurs to get to meet an investor and figure out if they are an Financial Transactions appropriate match.

To be successful during the interview process for a role such as investor relations analyst is to possess an understanding of finance and communication skills. The most successful candidates are able to explain complex financial information and write stories about investments that establish trust with the stakeholders.

Interviewers ask you about your experience with creating and executing investor relations strategies for both public and private companies. Your answer should demonstrate your ability know the needs and preferences of investors, and how you can tailor presentations for all types of investors.

Investors may also ask about your ability to identify warning signs in deals and how you assess the risk/reward profile of investments. You should be able to provide examples of how you’ve assessed market trends, analyzed market competitors and analyzed valuations.

Understanding the expectations of an investor is crucial to a successful relationship. For example, if an investor expects frequent contact with portfolio companies, but isn’t able to meet face-to-face frequently, the partnership might not work out. It’s also important to determine whether an investor has specific expectations regarding the representation of their board and how involved they’d like to be in the process of making decisions about their investments.