Investor updates are a monthly communication between a startup and its investors, designed to share recent wins and losses, financials, team updates, customer wins, and core metrics. Investor updates are typically sent via email, though they can be delivered in any format that best suits your investor base.
An investor update should be concise and navigable, with clear sections for each of the key items you want to communicate. It’s a good idea to keep a running list of highlights for each month, so that you have something to include when it comes time to write an investor update.
For the highlights section, highlight a few things that went right during the previous month, from big new customer wins to exciting partnerships to new hires. It’s also a good opportunity to give a shout-out to any team members who deserve special recognition.
Then for the lowlights, lay out a few things that didn’t quite go as planned. It’s important to be honest and not try to sugarcoat anything — investors are much more understanding if they know that every startup has its fair share of challenges.
Finally, end the investor update by letting investors know what you need from them going forward. This could be anything from help sourcing a new office to introductions to potential customers to more funding. Asking for help is an excellent way to strengthen your investor relationships and set the stage for future fundraises.