Top 10 Tips for First-Time Founders Looking to Approach Investors and Fundraise

Raising capital for the first time can feel like standing on a cliff’s edge — thrilling, terrifying, and full of unknowns. You’ve got a big vision, maybe even some traction, and you’re ready to find investors who believe in your story and have the competencies that can help put rocket fuel into your startup growth trajectory. But fundraising isn’t just about numbers and decks; it’s about storytelling, strategy, and alignment. It’s about preparation. After interviewing hundreds of founders and investors across the Middle East, Africa, and beyond — and sitting on both sides of the table myself — here are my top 10 hard-earned lessons for first-time founders preparing to fundraise.

1. Know Why You’re Raising

Before you even open PowerPoint, get clear on your “why.” Are you raising to scale a proven business model, to extend runway, or to accelerate product development? The clearer your purpose, the more confident your pitch. Investors don’t back vague ambitions — they back founders who know exactly what capital will unlock.

Check out Lucidity Insights’ podcast “Startup Spotlights”, to hear how Founders that have raised over US $50 million got their story out and lined up the right investors to launch their businesses.

2. Build a Compelling Narrative

Investors remember stories, not statistics. The best founders weave logic and emotion together — illustrating the problem, showing the pain, and positioning their startup as the inevitable solution. Your pitch deck isn’t just slides; it’s your brand narrative. Use data-backed storytelling to make your audience feel why this matters. 

3. Don’t Overcomplicate Your Deck

Keep your deck simple, visual, and concise. Aim for no more than 12 slides that clearly cover the problem, solution, market size, traction, and your business model. It’s not giving away your whole 2-year plan for market domination. It’s enough information to make investors understand what you’re trying to do, and get them curious and interested, while demonstrating your competency and maturity level. Simplicity signals confidence. 

4. Understand Investor Psychology

Fundraising is 80% psychology, 20% math. Investors are looking for conviction, founder-market fit, and resilience. They’re not just investing in your product — they’re investing in your ability to navigate uncertainty. Show confidence without arrogance, and curiosity without insecurity.

If you’re unsure what investors in your vertical are prioritizing right now, Lucidity Insights’ “The Perfect Pitch” Podcast sits down with the most active Investors from Venture Capitalists, Angels, and Corporate VC to track emerging trends, sectors, and founder qualities investors are actively backing. Check out episodes to learn from the best in the game; episodes are free and streaming everywhere and anywhere you get your podcasts today.

5. Know Your Numbers (Cold)

When you walk into the room, you should know your CAC (Customer Acquisition Cost), LTV (Customer Lifetime Value), burn rate, and runway without looking at slides. Investors need to see that you understand your own economics. Speak their language, and you’ll instantly earn credibility. 

Also, it’s worth pointing out here, that in a world powered by AI coupled with higher interest rates - there are different expectations of founders today. First, in an AI powered world, the expectation is that you should be able to build your MVP at minimal cost - at least to test the market. That also means, that VCs and institutional investors aren’t looking to back founders with cheques unless they can show real traction. That means revenues and cash in the bank. If you can’t do that, you’re likely not VC ready. You’ll have to bootstrap or find friends and family to help you build out your startup.

6. Warm Intros Are Gold

Warm introductions convert 10x better than cold emails. Leverage your network: accelerators, mentors, angel groups, even fellow founders. Better yet, meet investors in person — it’s still one of the fastest ways to build trust. Browse Lucidity Insights’s Events Calendar to discover startup and investor gatherings across Dubai, Riyadh, Cairo, and beyond. Use those opportunities to connect authentically before you pitch formally.

It’s also best to approach the investors you want to meet, and know who they are. Check out Lucidity Insights’ Investor Database where you can explore over 800+ VCs, angels, and funds operating across the Middle East and Africa region, that are already actively investing in startups in the region. See where they are based, who is investing in your sector, and identify some of the startups they’ve already invested in - so you can walk up to an investor confident in who they are and why you want to speak to them.

7. Be Strategic About Who You Pitch

Not all capital is created equal. A bad investor-fit can hurt your business more than not raising at all. Research each investor’s stage focus, check size, and portfolio. Then, shortlist the ones aligned with your sector and growth trajectory. Lucidity’s Investor Database and Matchmaking Tool can help you identify the right-fit investors from over 800+ VCs, angels, and funds operating across MEAPT, and pitch directly to those investors right on our platform. It’s like “Tinder for Founders & Investors” — helping you pitch smarter, not harder.

Get bonus points, by pitching to them on Lucidity Insights, and then reaching out to them a few days later on Linkedin, reminding them that you’ve submitted your pitch deck and are eagerly awaiting a response. Don’t just target the Partners either, associates and analysts at these firms have a lot of say. Pick the ones that seem to specialize or show an interest in your sector. 

8. Master the Art of the “Ask”

Too many founders stumble when asked, “So how much are you raising?” Your answer should be clear and confident: “We’re raising $1.5M to expand across the GCC — 60% for product, 30% for marketing, 10% for ops.” Specificity signals maturity. 

9. Embrace Rejection as Data

You will get rejected — probably dozens of times. Don’t take it personally; treat each “no” as feedback. If multiple investors raise the same concern, that’s data. Iterate your narrative, update your numbers, and try again. Keep track of investor pitches and conversations using Lucidity Insights’ Pitch Bank when you sign-up for the Startup Registration package. Find out more here.

10. Prepare for the Long Game

Fundraising always takes longer than you expect. Plan for 6 months - at minimum, not 6 weeks. Most Startup Founders have said “plan for 1 year, to be safe.” Keep building traction while you raise — progress is the best proof point. Investors want momentum, not desperation. 

Final Thoughts

The founders who win fundraising rounds aren’t necessarily the ones with the flashiest decks — they’re the ones with the clearest story, strongest conviction, and smartest strategy. Fundraising is a skill, not a one-off event. The earlier you master it, the faster your business grows.

Also, don’t fundraise until you really, really need to. If you’re still figuring out product-market fit, then you’re likely more ready to go into an incubator or accelerator program, not ready for investors backing your idea. Most VCs want to back an idea that’s already proven it works in the market, and they want their capital to help it scale. If you’re not at that stage yet - then check out our Investor Database and look for Angel Investors or Incubators and Accelerators to apply to. 

At Lucidity Insights, we’re building the region’s most comprehensive ecosystem of tools for founders — from Investor Databases and Pitch Deck Templates to Events Calendars, Funding Trackers, and Market Intelligence Reports — all designed to help you raise smarter, faster, and with confidence. Reach out to us on our social media channels on Linkedin, Youtube or Instagram, how we can better help you get prepared. Because at the end of the day, investors don’t just back ideas. They back founders who are prepared.