Before seeking major funding, Elysian validated its radical aircraft design with skeptical professors from TU Delft and MIT. Winning over these experts provided the critical credibility and third-party proof needed to build investor confidence in their unproven deep-tech concept.

For projects requiring hundreds of millions, fundraising should be split into phases. The initial "pre-industrialization" phase, focused on proving technology, is suited for venture capital. Later phases for manufacturing and scaling should target project finance structures with debt/equity combinations and strategic partners.

Unlike software, where customer acquisition is the main risk, the primary diligence question for transformative hardware is technical feasibility. If a team can prove they can build the product (e.g., a cheaper missile system), the market demand is often a given, simplifying the investment thesis.

Before launching the company, the founders spent over a decade validating their platform at UCSF, funded by $7-8 million in philanthropic grants. This long-term, non-dilutive de-risking of the core science allowed them to approach VCs with a proven, data-producing platform, rather than just abstract claims.

In a challenging fundraising climate, formal processes are insufficient. SpliceBio's CEO secured their lead Series B investor by starting informal conversations a full year before the official round. This long-term relationship-building establishes trust and allows investors to track execution over time, which is critical when capital is tight.

Effective fundraising isn't a single event but a process. By conducting regular 'non-deal roadshows,' you build investor confidence and prove management's ability to execute on promises over time. This makes the eventual request for capital much more likely to succeed because trust has already been established.

Instead of viewing a pilot plant as just an R&D cost center, design it to be profitable. This self-sustaining model provides commercial validation and helps secure pre-sale agreements, which can then be leveraged to finance a full-scale industrial facility with less investor risk.

The CEO behind the Hippias and Taustats projects believes in prolonging equity fundraising until significant value is created. This founder-friendly approach avoids 'selling a dream' and instead allows for a valuation based on tangible results.

For deep tech startups lacking traditional revenue metrics, the fundraising pitch should frame the market as inevitable if the technology works. This shifts the investor's bet from market validation to the team's ability to execute on a clear technical challenge, a more comfortable risk for specialized investors.