Benefits of Regular Status Updates

As a first-time founder, I made this post-fundraising mistake that didn’t seem like a big deal. But it was — and I really wish someone had told me to fix it. I didn’t go silent. But I wasn’t consistent with investor updates. And especially when things weren’t going great, I hesitated to hit send. I still see LOTS of founders doing the same — sending investor updates too infrequently, without a regular cadence, or going quiet during the hard stretches. The good news? It’s an easy thing to fix. And if you're not convinced, here are the top reasons why *monthly* updates are important: - No news = bad news - when investors don’t hear from you, they assume the worst. Silence creates a vacuum — and it usually fills with doubt, not optimism. - Trust builds through consistency - clear, regular communication helps build trust over time. When you share both wins and challenges, you give investors real context — and make them feel more connected to your journey. - Regular [monthly] cadence matters - startups move fast. Things can change dramatically in a few months. NFX data shows 60% of seed founders send monthly updates. Think of it this way: If you raised 18 months of runway and only send quarterly updates, your investors may only hear from you 4–5 times before your next raise. That’s not enough exposure to build a deep relationship. - Help follows communication - no one expects everything to go perfectly. And investors want to help. When you're in regular communication they understand context and you're more top of mind so they are more apt and able to help. Pro tip - make specific asks in your updates but vary them so you avoid "ask blindness" (which happens when you list the same things each month). - Memory outlasts your startup - even if your startup doesn't succeed (and most don't), investors will remember your professionalism, communication and transparency. That makes them want to work with your again and tell others the experience was positive. Shoutout to James Gordey and Jimmy Douglas for sending great, regular updates. What do you think - agree or disagree with the importance of monthly updates?

Last week, a fellow entrepreneur said something to me that really stuck in my mind: "I knew he'd be successful based on his updates." In this case, we're both angel investors in another entrepreneur's venture, and we were talking about all the great progress this company is making. The comment about the updates got me thinking and reminded me of another entrepreneur's regular updates that I receive, which are unbelievably good. Now, when describing the updates as "good," it isn't that the business is doing well—although in both cases here, they are—rather, it's the style, tone, thoughtfulness, quality, and creativeness of the update. It's about connecting the reader with anecdotes, stories, and emotion, and providing metrics and data in a way that's easily consumable and approachable. Yes, there are a number of monthly update templates online, and entrepreneurs should default to those if they don't have their own. Regular updates, as well as past board decks and strategy documents, are some of the most informative resources when doing due diligence on a startup, whether you're a potential investor or a potential mentor. One of my favorite pieces of advice is to ask for these historical documents and use them to look for trends, thoughtfulness, and how an entrepreneur thinks. The goal isn't to find perfect updates from the last three years; rather, it's to look for evolution and maturation of thought. It's to see if the entrepreneur articulates both what has gone well and what hasn't. Too often, entrepreneurs gloss over the hard times when communicating, but those who do address them often show a greater level of experience and understand that by sharing the challenges, they also share the opportunity for others to help. Past updates and other regular corporate communications are the first place I like to start when understanding an entrepreneur and a startup. Entrepreneurs should always provide regular updates. The alternative—not doing any updates—is strongly discouraged. Rather, the big idea is that updates are one of the best ways to connect with all constituents, from employees to partners to mentors to investors. For some entrepreneurs, this can be a calling card that helps differentiate them from others in the market.

Here's how a simple strategy accelerated Sahan Journal's growth. It wasn't just about having a great idea. It wasn't about crafting a detailed business plan. And it wasn't about creating an attractive product. Yes, these elements are important, but they're not the main drivers of growth. The secret to our growth was consistent, transparent communication with our strongest supporters and stakeholders. Here's how I did it: • Building connections: Initially, my focus was on building and deepening relationships. I added contact information of people I knew or met—friends, program officers, major donors, and industry leaders—to my Gmail contacts list. • Monthly updates: I sent monthly updates to these contacts for the first few years. I shared our progress, highlighted successes and challenges, and always included a call to action. This intensive approach quickly boosted Sahan's visibility in the philanthropic and journalism circles, resulting in increased funding opportunities. • Adapting to growth: As my personal and professional responsibilities grew, I adjusted the frequency of updates from monthly to bi-monthly, then quarterly. My commitment to communication never wavered. I even began repurposing board reports for broader stakeholder updates, keeping everyone informed. Why is this approach so important? Your stakeholders believe in your vision and want to see it become a reality. They're invested in your success. Regularly updating them builds trust, generates excitement, and ultimately fuels your organization's growth. It shows you value their support and invites them to be active partners in your journey. Without their support, an idea remains just that. But with open and transparent communication, it can blossom into something amazing. As a startup or nonprofit leader, neglecting to send regular updates to stakeholders can hinder your organization's potential. In future posts, I'll dive deeper into the art of crafting impactful updates and share some real-world examples. Stay tuned. * * * Found this useful? Please share it with your network 🔁 and follow me, Mukhtar M. Ibrahim, for more content like this. Become part of our growing community.

Over the years I have seen a concerning trend among early-stage founders—holding off on investor updates because they feel each one needs to contain groundbreaking news. This is completely backward. The value of investor updates isn't in announcing major milestones. The value is in the consistency and transparency. Even a short, simple update on a regular cadence is extremely valuable—both to your company and your investors. For founders, these updates force you to assess your business objectively. For investors, they build trust. Sometimes the most valuable updates are the ones that simply say "we're still working on X, we've encountered Y challenge, and we're trying Z next month."

Boost Your Customer Lifetime Value with a Simple Lesson from NYC’s Subway System A few years ago, New York City’s subway system made a simple change: they added countdown timers to let passengers know when their next train was arriving. Two months later, passenger satisfaction jumped by 83%. It wasn’t because the trains got faster—it was because people knew what to expect. How does this apply to your business? Keeping clients updated on their progress works the same way. Regular updates—whether weekly or daily—show clients what’s been accomplished and what’s coming next. It reduces anxiety, builds trust, and ultimately boosts customer lifetime value. Something as simple as letting them know about last week’s progress or confirming an upcoming launch date can go a long way in maintaining a strong relationship.