In this insightful interview, Ritika Khetawat reveals how she helps startups grow with smart funding strategies. Dive into her experiences and learn how she guides startups through the challenges of securing essential funding.
Highlights
Ritika Khetawat: A Startup Storyteller
Through her work with MissionBridge Advisors, Ritika Khetawat supports various startups and ventures. She focuses on deep innovation sectors such as biotech, medtech, foodtech, and climatetech. Notable transactions include a US$125M Series A for a cancer therapy biotech. Another highlight is the merger of two major cultivated seafood ventures in Singapore, announced last year. She provides strategic guidance and funding support to help innovative ventures grow and succeed.
At NewInAsia.com, we had the pleasure of interviewing Ritika Khetawat. She is an expert in helping startups craft their stories for successful fundraising. We wanted to delve into her journey and understand the challenges startups face in securing funding. Last but not least, we want to learn how she leverages her experience to guide them through these obstacles. Here is our conversation with Ritika, where she shares her insights and experiences.
How Ritika Khetawat Propels Startups to Success in Biotech, Medtech, and Beyond
Q: Can you share a defining moment in your career that reinforced your commitment to supporting innovation and helping startups secure funding?
A: I started my career in investment banking roles at banks like Goldman Sachs and Morgan Stanley helping large corporations fundraise. Was a small part of a large organisation, helping companies with a lot of money raise even more money! I wanted to see more impact of the work I do, so joined a start-up in cancer therapy space. There I did three funding rounds there each around $100M in value. Therefore, I witnessed the company go through several growth inflections.
Biotech is tough and the company unfortunately closed down due to lack of funding alternatives. The experience made me acutely aware of all the challenges founders go through funding innovative science led start-ups – always grappling with the uncertainty of – it may or may not work, but persevering through anyway. I decided to set-up my own advisory to offer a helping hand to all these early stage founders. I want to support them navigate the fundraise journey
Q: How do you balance the inherent risks of supporting early-stage startups with the potential for groundbreaking advancements and successful fundraising?
A: Start-ups are inherently risky. There is no telling if scientific innovations will succeed until you have data. Often, this data comes much later in the process. With that being the background, all you can put faith in is the team, their track record with both innovation and execution, novelty of the tech (IP position) and end market potential. If it works its a breakthrough with significant positive impact on patient outcomes. Basically, that is the north star we work towards.
Q: What are some of the most significant challenges startups face in securing funding, and how do you help them overcome these obstacles?
A:
- Storytelling: Telling your story right is an art and science. I have seen brilliant scientists, innovators and business leaders grapple with this problem. I become that funnel that crystallizes everything that’s good about their story in a framework that investors care for and value
- Connecting with investors: Network building takes time and effort and not all founders come equipped with it. Additionally, investors have very nuanced investment focus and not all investors are suited to all founders. I help founders connect with the right audience.
- Valuation and Deal Structuring: Valuation for early stage start-ups is very much a negotiation with the investor. But several founders find the topic to be quite daunting. Deal Structuring can again be a black box with considerations such as, what instrument to use for fundraise (SAFE vs convertible notes vs pref shares) and what rights to offer incoming investors. I try to support them with helpful advice and benchmarks to support negotiation. Moreover, I also triangulate value via bottom-up assessment and relevant comparables
- Running the process: Fundraises can be quite time consuming. It can easily take ~6 months or more of founders valuable time away from real business execution. My offering to founders is simple – Offload the gruntwork of fundraising to me and focus on generating key business milestones which will be crucial to garnering good funding outcomes
- Strategy: There are somethings that storytelling can address but if the issue is more fundamental, a strategy reset is what founders need. Feedback from investors becomes critical in this context and I constantly channel that back to founders
Q: How has your journey in this role influenced your personal growth and perspective on entrepreneurship, innovation, and supporting startups in their fundraising efforts?
A: This role has helped me work closely with several founders. Their grit and determination to keep pushing against all odds have been very inspirational. Additionally, engaging with several investors and understanding up close what they think is or is not investable has been eye-opening and refreshing. From what I have seen so far, fundraising potential boils down to two key things: innovation and execution. Either in isolation will not garner long-term value.
Navigating the Complexities of Startup Fundraising
Through this insightful conversation with Ritika Khetawat, we have gained a deeper understanding of the complexities involved in startup fundraising and the pivotal role of innovation and execution. Her experiences and dedication to supporting early-stage founders highlight the importance of a well-crafted story and strategic connections in the journey to secure funding.
Thank you, Ritika, for sharing your valuable insights and experiences with us. Your commitment to helping startups navigate their fundraising challenges is truly inspiring.
