Step 1: Choose the buyer and understand their calendar
Schools often buy around the academic year and on tight budgets. Universities involve procurement and multiple departments. Employers buy training to close skills gaps and expect business results. Consumers can be quick to buy but quick to leave. Investors want to see you understand one of these deeply, including when budgets are set.
Step 2: Separate usage from outcomes
Log-ins and minutes watched are not the same as learning. Define an outcome that matters to your buyer — better assessment results, time saved on marking, course completion, skills certified — and measure it, ideally against a comparison group.
Step 3: Get safeguarding and AI use right early
If your product is used by children, investors will ask about safeguarding, age-appropriate design and data protection under UK GDPR. With generative AI, they will also ask how you handle incorrect answers, academic integrity and teacher oversight. Written policies and working controls reduce diligence friction.
- A data protection impact assessment for learner data.
- Controls on AI outputs and a way for teachers to review them.
- Clear terms on who owns learner work and data.
Step 4: Show renewal, not just pilots
Free pilots in a handful of schools are common; paid renewals are rarer and far more convincing. Track renewal rates and expansion from one class or department to a whole school or organisation.
Step 5: Match investors to your model
Some investors avoid public-sector education sales; others specialise in them. Employer training often fits B2B SaaS investors. Target investors whose portfolio shows they understand your buyer.
Edtech buyers and what investors check
| Buyer | Sales pattern | Key proof point |
|---|---|---|
| Schools | Annual, budget-constrained, term-driven | Teacher time saved, renewals |
| Universities | Procurement-led, multi-stakeholder | Adoption across departments |
| Employers | Business case driven | Skills and performance results |
| Learners directly | Fast but high churn | Retention and completion |
Questions to prepare before you pitch
- Who signs the cheque, and when is their budget set?
- What learning or time-saving outcome have you measured?
- How do you prevent and handle incorrect AI output for learners?
- What share of paying customers renew?
- How do you protect children's data, if relevant?
How KJ Enterprises evaluates edtech businesses
KJ Enterprises is interested in edtech businesses where AI reduces workload or improves results in a way the buyer can see and pays to keep. We value founders who treat safeguarding and data protection as part of the product.
If that describes your company, you can apply for investment. Related reading: the complete edtech funding guide and how to raise for an AI SaaS company.