What can you learn from getting rejected by investors?


1

Most VCs will never tell you "no". Instead they will keep saying they'll get back to you. They do this so that they don't jeopardize investing in future rounds (in case they made a mistake the first time around by not investing).

What are some ways to learn something positive from these rejections that helps you improve your startup? What questions should we be asking investors in order to get actionable feedback?

Venture Capital Investors Angel Investors Rejection

asked Mar 5 '14 at 23:24
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Thea Cortez
10 points
Get up to $750K in working capital to finance your business: Clarify Capital Business Loans

1 Answer


2

Here is what I learnt from being rejected by investors multiple times:

  1. I was trying to raise money too early. My business needed to be farther along the path and have more traction.
  2. A rejection from a VC isn't permanent. You can hit them again later once your startup is in a better position to raise money.
  3. Always ask them for advice on what needs to improve to be fundable. Contrary to popular belief, investors will give you honest feedback if you ask them.
answered Mar 7 '14 at 02:37
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Chrissie Gray
1,107 points

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