2 ms·
I'm on easy mode (white and male), but I had no network and no prestigious previous employers or schools to point to when starting on my company a few years ago
by danenania 6y ago
I'm on easy mode (white and male), but I had no network and no prestigious previous employers or schools to point to when starting on my company a few years ago. There were many points when I felt like raising money would be impossible, but I eventually did so. In case it might help someone who's feeling hopeless and has it much harder than I did due to their background, here are a few things I've learned about how the game is played:
- Talking to investors is a waste of time in the beginning. It's much better to focus on getting into an accelerator first.
- Never talk to one investor at a time. That gives them all the leverage. It's better to schedule many meetings with many different investors all in a one or two week period.
- Timing is everything. Don't talk to investors before you're ready to even if they say it's "just a casual coffee". They are looking for reasons to rule you out. Try to only talk to investors at inflection points where a graph of some important metric is going steeply up and to the right.
- Move on quickly. Unless an investor is obviously enthusiastic by the end of the first pitch, they are highly, highly unlikely to invest. Don't waste time answering their questions or getting their "feedback" or giving them additional meetings if they seem skeptical. Just move on to the next one.
- Don't ask for introductions from investors who turned you down. These are actually anti-endorsements that significantly decrease your chances with the investors you get introduced to this way.
- anon102010 6y agoexcellent advice!