Before becoming a VC, I often questioned why so many investors say “no” to a seemingly good idea. It was only after becoming a VC that I got clarity on this simple question.
It’s important for founders to know that statistically speaking, VCs invest in less than 1% of companies they look at. Given the sheer number of times VCs say “no,” you would think they’d be better at explaining why they pass. Many VCs are notorious for not saying “no” at all and just fading away into silence. That’s because most of the time, it’s in their best interest to have you stick around in case one day they get excited about the progress. In this article, I share some explanations of a VC’s decision-making process and some tips to increase your probability of getting funded. |
