Page 56 - INC Magazine-November 2018

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promotion. Generally, pre­ Diego–based Uqora, which and CEO of visual search
vention questions ask how makes products to help engine Envy, based in Carls­
an entrepreneur will stop prevent urinary tract infec­ bad, California, says this
everything from going to tions. “I feel very confident research “was like a slap in Shape-Shifting
hell in a handbasket, while in how we address risk and the face.” She finds it hard when pitching
promotion questions tend turn it into opportunity. not to at least take a stab at inveStorS
How can you turn around
to focus on how great every­ But I started to revise what answering the prevention a prevention question?
thing could be. “What’s to an investor conversation question directly before It’s all about the
stop another company from should look like.” pivoting to a promotion promotion answer.
doing the same thing as Facing a barrage of focus. “Honesty is impor­
yours?” is a common pre­ prevention questions—or tant to me,” she says. “I Promotion question
So, how do you think you’re going
vention question. “What are even just one—it’s up to don’t want to do the full to get at this market?
your milestones for the next entrepreneurs to turn politician spin.” Prevention question
How do you plan to defend ow do you plan to defend
two years, and how will you things around. The trick, There’s a lesson here for H
your market share, given how
hit them?” is a common says Kanze, is responding to any founder who feels on competitive the landscape is?
promotion question. a prevention question with the defensive. If an entre­ Promotion answer
Women mostly get asked a promotion answer. So, preneur does choose to We’re playing in such a large
prevention questions, by for example, if you’re asked directly address a preven­ and fast-growing market that it’s
bound to attract new entrants.
a ratio of two to one. Men how many daily active users tion question, he or she We hope to gain increasing
mostly get asked promotion you have, take the opportu­ should do it as Cosco does— share in this attractive market
by leveraging our startup’s
questions—by the same nity to focus on your user at the beginning. Answering unique assets …
ratio. It matters. For every acquisition strategy and in a promotional way, then
additional prevention ques­ how great it is. feeling guilty about not Promotion question
tion an entrepreneur is Weirdly, investors answering the question How do you want to acquire
customers?
asked, he or she can expect don’t seem to notice—or at directly and ending on a
Prevention question
to raise $3.8 million less in least don’t mind—when an prevention note, is “the What is your customer-retention
aggregate funding, accord­ entrepreneur dodges ques­ kiss of death,” says Kanze, strategy?
ing to Kanze’s findings. tions in this way. “When because then the follow­up Promotion answer
We’re improving our daily and
“When I saw this research, entrepreneurs engage in question is also going to monthly active user numbers
it just hit me how much of this type of switching, have a prevention focus. each period for a net customer
the investor conversation is they get higher scores on “You have to end on growth rate of x percent. We plan
to accelerate this rate by promot-
focused on the risk in our confidence and likability a promotion note,” says ing the following customer
business, with only a brief and things like that,” says Cosco. “Envy is a platform growth strategy …
discussion of the opportu­ Kanze. “The warmth that could be a household
Promotion question
nity,” says Jenna Ryan, the scores were really high.” name in five years. We are Are there any thoughts on
founder and CEO of San Jennifer Cosco, founder selling the dream.” scaling your sales process?
Prevention question
H
How long will it take you to ow long will it take you to
break even?
women founders own just 39 cents of equity Promotion answer
We’re actually managing the
for every dollar owned by male founders business for aggressive top-line
growth, with a good deal of sales
Source: Carta momentum so far. Here’s what
our sales forecast looks like. Our
goal is to expand our margins as
we grow our top line throughout
this forecast period …
Promotion question
62% 88% 38% What does success look like?
Prevention question
What is your execution plan to
prevent losses?
Promotion answer
of women seeking of midcareer silicon valley of women who Ideally, we will accomplish much
funding say they’ve women say their male raise money more than that. We aspire to
experienced bias during colleagues have received specifically seek out achieve the following vision for
the fundraising process. questions that should have been female investors. the business. So far, we have
directed to them. seen these indicators of progress
toward our goals. Here are our
Sources: Inc. and Fast Company’s 2018 State of Women and Entrepreneurship survey; Elephant in the Valley survey. plans for further expansion …