How to Set Up a Deal Flow Process

How to Set Up a Deal Flow Process

July 16, 2021 by investor

Deal flow is key to successful startup investing.

It takes a great deal of time, so it’s important to build a strong process for managing it.

It helps to use a software tool to track it.

Start with the key steps for running deal flow as follows:

Set up a deal flow source with angel groups, venture funds, online portals, and others.

Capture deal information into the software tool with their key information.

Run an initial screen to see if it meets your criteria — have 3-5 key points to check.

Set up the first call to find out more details and update the deal flow software with the results.

Set up a partner meeting to review the deal with others in your fund, syndicate, or network.

Negotiate valuation and terms.

Perform diligence on the deal.

Close the investment.

Set for ongoing follow-up and reports.

In each step, capture the results into the software.

On a regular basis, analyze those results to find the following:

-Which sources gave you the best deals

-How much time did the calls take to capture the necessary information to make a decision

-What key factors the startup must have to go all the way through to funding

After analysis, update your process to screen out deals that won’t make it.


Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.

Thank you for joining your host Hall T. Martin with the Startup Funding Espresso — your daily shot of startup funding and investing.

For more episodes from Investor Connect, please visit the site at: 

Check out our other podcasts here: 
For Investors check out: 
For Startups check out: 
For eGuides check out: 
For upcoming Events, check out 

For Feedback please contact  

Music courtesy of Bensound

Copyright (c) 2021, Hall Martin and All rights reserved.

Hall T Martin is the director of Investor Connect, which is a 501(c)(3) nonprofit dedicated to the education of investors for early-stage funding. All opinions expressed by Hall and podcast guests are solely their own opinions and do not reflect the opinion of Investor Connect. This podcast is for informational purposes only and should not be relied upon for the basis of investment decisions.