Start by Looking for Your First Investor, Not Your Lead Investor Hello, this is Hall T. Martin with the Startup Funding Espresso — your daily shot of startup funding and investing. In raising funding, some founders focus solely on finding their lead investor. In most cases, it’s better to find investors to join the round even if they are not leading. By using convertible notes and SAFE notes, investors can join the raise. Start with investors who are most likely to join and sign them up. This shows traction with the fundraiser. The investor who takes the lead will look for some evidence that other investors will join. It’s rare that the first investor is also the lead investor. In most cases, the lead investor is the 5th, the 10th, or often the 25th investor the founder meets. By picking up investors in the round, this often helps polish the pitch, fill out the data room, and prep the founder for a prospective lead investor. It’s easier to pick up investors on a convertible or SAFE note because the valuation is not set. There’s a valuation cap that protects the investor from outsized valuation by the founder. Start your fundraise by looking for your first investor, not your lead investor. 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. _________________________________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact info@tencapital.group Please follow, share, and leave a review. Music courtesy of Bensound.

Copyright (c) 2026, Hall Martin and investorconnect.org. All rights reserved.

Disclaimer:
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.