Latest / The Series A Show with Fexingo: Early-Stage Funding, Pitch Decks, and Startup Milestones / Why Series A Decks Now Include a Fundraising Timeline Slide
Transcript
- Lucas: So Luna, I've been looking at a bunch of Series A decks lately, and there's a slide that keeps showing up that I don't think we've ever talked about on the show. Luna: What's that? Lucas: The fundraising timeline slide. It's a simple chart that shows the expected close date, how the capital will be deployed, and even assumptions about the next round. It's not something you saw in decks even two years ago. Luna: Interesting. So founders are basically telling investors when they expect to raise again? That feels pretty forward. Lucas: Exactly. And it's showing up in maybe thirty percent of the decks I'm seeing now, which is a big shift. The interesting part is not just the slide itself, but what it signals about the founder's mindset and how investors are reacting to it. Luna: Let's dig into that. Why do you think this is becoming a thing now? Lucas: I think it's a response to the last few years. We had this period where capital was cheap and rounds were happening fast. Now, with a more cautious market, investors want to know that the founder has thought about the full journey, not just the next twelve months. Luna: Right. It's almost like a roadmap for the relationship. Lucas: Exactly. And it's not just about the current round. The slide typically shows a timeline from now to the Series B, with milestones clearly marked. It answers questions like, 'When do we need to hit this revenue number?' and 'What does the burn rate need to be to get there?' Luna: That must make diligence a lot easier. But I imagine some investors see it as a red flag, like the founder is already planning the exit. Lucas: That's a real tension. I've talked to partners who love it because it shows strategic thinking, but others worry it signals a lack of flexibility. They're thinking, 'What if we hit a home run and you could raise sooner? Why are you locking yourself into a timeline?' Luna: So it's a double-edged sword. Lucas: Absolutely. And the data we're seeing in the market right now adds some context. Take Palantir, for example—it's up almost six percent over the last five days. That kind of momentum in ai adjacent companies is pushing founders to think about how quickly they can scale, and that naturally leads to more detailed planning. Luna: True. And Nvidia's up over four percent too. So the whole tech sector is feeling optimistic, which might make founders more willing to put their assumptions on paper. Lucas: Yeah, and it's not just the big names. The Ark Innovation ETF is up point eight percent, which is a decent week for a fund that's been volatile. So there's a sense that risk appetite is returning, but it's more measured than before. Luna: Measured is a good word. I've seen some decks where the timeline slide includes a 'dilution budget'—like, they specify the maximum dilution they're willing to accept at the Series B. Lucas: That's a level of detail I haven't seen much of, but it makes sense. If you're a founder who's already thinking about that, you're showing investors that you understand the math of venture capital. Luna: And it also signals that you're not just trying to grab as much money as possible today. Lucas: Exactly. It's a discipline thing. But there's a risk that this slide becomes a straightjacket. If you put a timeline in writing and then the market shifts, you're either stuck with it or you have to explain why you're deviating. Luna: So it's not for everyone. When would you advise a founder to include it? Lucas: I'd say include it if your business is reasonably predictable—if you have strong recurring revenue and a clear path to profitability. But if you're in a highly experimental space, maybe hold off. Luna: That makes sense. Like, a biotech startup that's waiting on trial results probably shouldn't be promising a Series B timeline. Lucas: Right. And that's where the slide can actually hurt you, because it reveals a mismatch between your business model and your planning style. Investors pick up on that instantly. Luna: So it's a bit of a litmus test for maturity. Lucas: Yeah, I like that framing. It's a way to show that you're thinking like a business operator, not just a fundraiser. And in a market where capital is still relatively expensive, that's a valuable signal. Luna: We've been talking a lot about the investor side, but what about the founder's perspective? What's the upside for them? Lucas: The main upside is that it forces you to have a clear plan. When you have to put dates and numbers on a slide, it makes you confront the realities of your business. You can't just say 'we'll grow fast'—you have to show what that means for your cash needs. Luna: And it probably helps with internal alignment too, like keeping the team on the same page about the journey ahead. Lucas: Definitely. I've heard from founders that creating this slide actually helped them refine their milestones. It's a forcing function for strategic clarity. Luna: That's a good point. And before we go deeper, I want to say that if today was actually useful to you, the way these shows stay ad-free is listener support. You can buy us a coffee at buy me a coffee dot com slash fexingo. Lucas: Yeah, that's the whole engine behind this network. Appreciate anyone who does that. Luna: Back to the timeline slide. I'm curious if you've seen any specific examples of how founders are structuring it. Lucas: One common format is a horizontal bar chart with the current round on the left, then a series of milestones, and then the next round on the right. The milestones are things like 'hit $2 million annual recurring revenue' or 'expand to three new geographies.' Luna: So it's almost like a product roadmap for the business itself. Lucas: Exactly. And the best ones include a clear distinction between what's certain and what's an assumption. That's key—if you blur that line, investors will lose trust. Luna: That's a great practical tip. I can see how this slide could be a great conversation starter in a pitch meeting. Lucas: It definitely shifts the dialogue from 'here's what we've done' to 'here's where we're going.' And in a Series A context, that's exactly the mindset you want to project. Luna: So, looking ahead, do you think this slide becomes standard in the next year or two? Lucas: I think it will—assuming the market stays cautious. As long as investors are worried about runway and follow-on risk, a timeline slide is a way to preempt those concerns. But if there's another boom, it might fall out of favor. Luna: That makes sense. It's a product of its era, really. Lucas: Exactly. And for founders, the key is to use it as a tool, not a promise. It's a framework for discussion, not a contract.