Founders need to pick one path: raise money or sell the company. Investors bet on future potential and market size. Acquirers want current revenue and clean operations. Trying to appeal to both at once dilutes your pitch.
Chapters
It's essentially there's two things to kind of take into effect. You got to know your path that you're on. If you're trying to raise money, you know, potential investors are going to be looking at you to sell the future. So they want to see, you know, large growing market, signs of early commercial traction, high margin model, clear execution plan and things like that. But if you're trying to sell your business, they're looking at what's already working and how they can pull that into the mix. So they're looking at predictable recurring revenue. If it's something like, you know, clean operational setup, a product that fits their portfolio or go-to-market strategy. And a lot of the founders that I've seen in the past, their biggest mistake is trying to speak to both groups at once. So I think you can't be a growth stage bet and a plug-and-play acquisition in the same pitch. So you essentially have to ask yourself at the start kind of which path you're on. And does your, your pitch reflect that?