How to prepare for a successful capital raise in a recession
Use LawVu to get your house in order before approaching investors for capital
Venture capitalists have been eager investors in enterprise technology startups, but the market is slowing, and deals are becoming harder to secure. This could be a challenge for some companies as gaining investment at the right time is critical to unlocking growth in scaling technology companies. A well-oiled due diligence process can go a long way to facilitating a seamless capital raise.
Legal and finance teams are the key drivers behind successfully closing a capital raise, as these teams typically bear the brunt of the due diligence work, supporting the executive team. Giving investors a transparent, accurate, and compelling view of the story behind your business is vital to demonstrating its potential and winning their trust. An efficient and responsive legal team will positively impact the due diligence process and indicate to investors that a business is operationally efficient and ready to scale.
The legal team is also an integral part of the sales cycle, and asking an already stretched team to take their foot off the accelerator to get their house in order is a challenge. However, completing due diligence while supporting the sales team to accelerate growth is possible with the right processes, tools, and resources.
LawVu helps legal teams collaborate and work more efficiently, providing matter, contract, and spend management in a single legal workspace. Now LawVu can help scaling companies bring their legacy contracts into LawVu much faster than they could do manually with AI Contract Import & Review. Using AI Contract Import & Review equips legal teams to accelerate sales growth while simultaneously supporting the business to close funding rounds.
Leveraging hundreds of pre-trained machine learning models that are ready to go out of the box, it’s now even faster to get legal documents into LawVu quickly and easily. The contract AI technology helps legal teams extract key information from contracts and sort them into LawVu much more quickly than they could manually.
LawVu’s customers can also now accelerate and optimize due diligence. From within LawVu, legal teams can easily review material contracts and prepare their portfolio reports, making it easy to create accurate sales projections and prove revenue.
The value of an up-to-date contract repository extends far beyond the due diligence process. Data is the key to unlocking better decision-making. Adding contracts to LawVu creates a valuable data repository to support ongoing analysis and efficient contract management.
Investing in the right tools early enables legal teams to proactively accelerate the company’s growth without increasing outside counsel spend.