Ask HN: Getting into an embedded startup?

Throwaway because I tie my main to my real self. I'm an EE. I love embedded work. I used to do it for a major non-software company, but I couldn't stand the work environment. Because of the... sensitive nature of my work I had a lot of trouble finding a new job. When I finally did it was with a small, local, non-embedded software company. I really want to get back into it. I have been out long enough that many companies won't even talk to me about these kind of roles because of my current one. I don't particularly want to work for a large company anyway. My overarching career goal is to start my own company in the hardware or embedded space, preferably with other people. I don't have the network of people I need to find partners in this, though. Thus, I'm considering trying to go it alone. A nights/weekends thing would be doable, because my current company has a sane non-compete and has nothing to do with the hardware or embedded spaces. As an alternative, I would love to be one of the first employees at someone else's startup. I just had an interview with one, though, and was rejected despite the technical chops because "in our current stage and needs, we wouldn't be a good fit at this time". I obviously disagree, but something about the way I present myself gives the impression that I am not early-stage material. My pickings for hardware/embedded startups here are really slim, so I want to maximize my chances of success because I think I would be a valuable addition to any of them. I figure a solo run, even if small and ultimately unsuccessful, would gain me more respect and attention from the types of companies I want to work for. It might even solve my problem by creating the company I want to work for. Am I misguided? Clueless? Nucking futs? For context: I am in the Midwest. I will not move farther west. I would love to move farther east, particularly DC/Baltimore, North Carolina, or Georgia.