Money, money, money, it's not funny: The serious business of a successful funding announcement

Funding announcements should be easy PR wins. They’re concrete, timely, and backed by numbers. And yet, many of them barely register beyond a couple of syndicated briefs and a polite LinkedIn post.

So what separates the wheat from the chaff? Below, we answer the questions founders and comms leads ask us most, and the ones journalists wish more companies would ask themselves.

Isn’t a funding announcement news by default?

Not anymore.

Yes, raising capital is a major milestone, huge news for companies from start-ups to multinational enterprises, and everything in between.

And yes, compared to the pandemic-era VC splurge, fewer funding announcements are happening, which should mean less competition.

But figures alone might not be enough to cut through.

Which brings me to the next question.

What's the story, Morning Glory?

Funding announcements are huge stepping stones for companies, but it's important to ask early on, why would a wider audience care?

Money alone does not always make a compelling story. Marketers and PRs need to assess what the funding says about wider trends and media narrative, whether the company is solving an interesting problem, and whether the founders have personal stories that can be tapped into.

Avoiding unnecessary hype is key. Buzzwords bore, stories stick.

Wait, so you’re telling me size doesn’t matter?

Not quite.

Big titles like CNBC and Bloomberg have minimum valuation figures, upwards of USD$100 million in some cases.

Oh, that’s a shame. I’ve only raised a measly $50 million

Fear not. Prestige news outlets are, of course, prestigious. But making the most out of your funding round announcement isn’t always about one signature piece of coverage.

Any PR team worth its salt will ask at the start of the process what the overarching goals of this announcement are, or help you form them. Funding rounds can be used to instil confidence in current investors, grow the customer pipeline, attract hires and accelerate growth trajectories.

Once the overarching goals have been agreed, where the funding announcement is most effectively placed can be worked back from.

But all my stakeholders read the same things?

I hate to break it to you, but they probably don’t. With the fragmentation of the media landscape, audiences are more discerning than ever.

But with that comes opportunity. If your investors primarily get their news from VC substacks, it's not likely your prospects are reading the same content. By agreeing on the key audiences and stories, the most suitable media targets for each stakeholder can be easily identified.

That makes complete sense. Right, I’ll just send the announcement out now then…

Woah there, slowdown. The most successful funding announcements take an embargo approach to pitching, sharing the news is a staggered approach with target media ahead of the announcement, with journalists agreeing to a set embargo date.

This gives journalists plenty of time to work on their articles, interview founders or get additional insights, as well as schedule the publication of the articles.

Flexibility is key here. Different journalists have different requirements. Some won't cover the news if their competitor is, and some go even further, demanding a complete exclusive.

Your PR team will have relationships and expertise here to navigate this minefield, ensuring no one breaks the embargo, and your announcement makes the biggest splash.

Sounds like a lot of work

We’re here to help. Get in contact if you’d like to find out more about how we can support your funding announcement.