The 12 questions every investor memo must answer

An investor memo has one job: give the reader enough structured evidence to form a credible view on whether an opportunity deserves further attention. It is not a pitch deck with extended prose. It is not a business plan with an executive summary bolted on. It is a standalone document that answers the questions a serious investor will ask — in the order they will ask them.

After working on investment documents across mining, logistics, financial services, and early-stage business contexts, twelve questions consistently determine whether a memo lands or gets set aside.

The opportunity

1. What problem does this address, and why does it matter now? The investor needs to understand the problem before they can assess the solution. The "why now" matters because timing is a real variable in investment decisions — structural conditions, regulatory shifts, or demand patterns that make this moment different from three years ago.

2. What is the specific proposition, and what makes it defensible? Not just what the business does, but what makes it capable of winning and holding a position. Defensibility is about moats — not just features.

3. Who is the target market, and how large is the addressable opportunity? Market sizing should be honest about the assumptions it rests on. The difference between total addressable market and realistically capturable market matters significantly, and a credible memo shows it.

The evidence

4. What evidence exists that the demand is real? Not projections — evidence. Customer conversations, pilot results, comparable markets, existing demand signals. The stronger this section, the more confidence the rest of the document earns.

5. What does the competitive landscape actually look like? Who else is doing this, at what scale, and what can be learned from how they operate? Dismissing competition too quickly signals either poor research or poor judgment.

The model

6. How does the business generate revenue, and what drives unit economics? The revenue model should be stated plainly, with unit economics worked out — what it costs to acquire and serve a customer versus what that customer generates over time.

7. What does the financial trajectory look like over three to five years? Not aspirational numbers. A model built on stated assumptions, with scenarios — base, conservative, and stressed — each showing a different outcome depending on how key variables move.

8. What are the capital requirements, and what specifically will the investment fund? The use of funds should be a clear breakdown by category, linked to specific operational milestones, not a round number with a vague list attached.

The risk

9. What are the two or three risks that would change the investment thesis? Not a long risk register with every conceivable uncertainty. The two or three risks that, if they materialise, would make this investment wrong — and a clear view of how likely they are and what mitigates them.

10. What regulatory, operational, or market dependencies exist? Dependencies are risks with specific owners. A licensing dependency on a particular regulatory process is different from a general "regulatory risk." The memo should be specific.

The team and execution

11. Who is responsible for execution, and why are they credible? Not just credentials. Why is this team capable of executing this specific plan in this specific context? Domain experience, operational track record, and relevant relationships all matter.

12. What are the next ninety days, and what defines success? A specific near-term action plan with clear milestones signals that the team has moved from planning to operating mode. It also gives the investor something to track.

How to use this framework

These twelve questions do not need to appear as numbered sections in the document. They need to be answered somewhere — clearly enough that an investor who is reading carefully can find each answer without asking for a follow-up call.

A memo that answers all twelve well is usually between ten and twenty pages of substance, with financial model attached as a separate file or appendix. Longer does not make it better. Clarity on each question does.