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What to Include in a Data Room for Investors: Essential Guide for Startups : Building an Investor Data Room: When to Share What with Investors Never share all company data upfront - even if investors request immediate data room access. Instead, follow a strategic two-stage sharing process aligned with investor commitment levels. Stage 1: Pre-Term Sheet (Share After Initial Interest) Share only after positive first calls and clear investor engagement: Early Sharing (Immediately After Good First Call): - One-page business overview - Current pitch deck (PDF) - Company website and social media links - High-level team structure with key roles - Basic traction metrics and customer data Secondary Sharing (After 2-3 Positive Discussion Rounds): - Market sizing data and competitive analysis - High-level financial metrics showing growth - Basic cap table summary - Customer acquisition metrics (CAC, LTV) - Product-market fit indicators Stage 2: Post-Term Sheet (Share Only After Receiving Term Sheet) Never share these before getting a term sheet: Legal & Corporate: - Full incorporation documents - Board meeting minutes - Operating agreements - Detailed shareholder agreements Financial & Operational: - Detailed financial models and projections - Complete cap table with all investor details - Employee stock option plans - Tax returns and audit reports Contracts & IP: - Customer and vendor contracts (>$25K) - All intellectual property documentation - Patent and trademark filings - Property leases Sensitive Information: - Detailed technology documentation - Employee agreements and compensation - Pending litigation details - Strategic roadmaps Best Practices: 1. Use Google Drive - it's secure enough for early-stage startups. 2. Create separate folders for Stage 1 and Stage 2. 3. Only grant access to specific folders based on deal progress. 4. Track who accesses what and when. 5. Always password-protect sensitive documents. Red Flags to Watch: - Investors demanding Stage 2 data before meaningful engagement - Requests for sensitive information without clear investment intent - Pushing for technical details before business alignment Remember: Information sharing should mirror investor commitment. The more serious they become, the more data you share. This protects your company while maintaining professional investor relationships. Credits: Sahil S/linkedin