Always Check Your Work (With Investors)

The finish line is close. We are nearly convinced that our idea isn’t just the one we love the most, but that its TAM is very promising. The business idea feels airtight. And the growth story is sharply defined. 

Until reality hits us squarely in the face. Fewer than one percent of all business ideas or startups that apply for venture capital (VC) funding actually get it. This number rises to 10 percent if the business idea came through accelerator.  For those not looking for VC funding but looking for grants or personal loans, only 30 percent get the money their first year. For women, these numbers are even smaller, particularly in the VC world where at last count women only earned two percent of total funding.

Think of this step as a necessary evil whether you hope to get money now or know you will have to in the future. It’s less about getting a committed investment, and more about tapping into the guts of the people that fund business ideas for a living. So, what do you need to do?