Before You Pitch Your Startup to Anyone, Ask These 2 Questions Most founders don’t raise money because their startup is bad. They fail because they’re pitching to the wrong kind of investor. Here’s what I mean. There are different kinds of investors, and each one has a different appetite for risk and a different expectation of reward. Some want safety, some want 100x returns and some just want to support a friend. So before you pitch, ask yourself two simple questions: 1. How risky is my idea? 2. How big is the potential reward? Now match that to who you’re approaching: ● Low Risk, Low Reward: Banks, lending platforms. They want predictable returns. No surprises. ● High Risk, Low Reward: Friends, family, early backers on Kickstarter. They’re investing in you, not just the idea. ● Low Risk, High Reward: Rare. Maybe an angel who likes you and sees traction. But they’ll want validation. ● High Risk, High Reward: VCs, accelerators, equity crowdfunding. These folks want to swing big. They’re betting on scale. So if you’re building something early-stage and unproven, pitching a VC might not make sense yet. But if you’ve got traction, a big vision, and a team that can execute do look for a VC to invest.. The key is alignment when it comes to the right investor, right stage and the right story. But That’s just half of the battle.
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