Quite a while ago I read this:
And it’s a great article. It’s the
Lack of tech startup investment” section
that got my attention.
In my opinion (take it as such and nothing more), this is a perception problem or a lazy excuse.
“Meanwhile, entrepreneurs complain they can’t find investors.”
These people are called whiners. Let’s all grow up a little bit and admit it.
They aren’t finding investors because either their idea sucks, they are lazy, or they are being taught to complain about not finding the right investor rather than being trained to go get it elsewhere.
This isn’t easy. You don’t find investors because you have the audacity to ask for one. You earn them one by one just like every customer your company will ever have.
If you are ok resolving your lack of investment to “I couldn’t find it” when you aren’t going out of your way to find them and make big bets. That’s your fault! Not the communities!
I’d argue local investors are missing deals because they either:
- Don’t have the expertise to help in specific markets.
- Don’t play the game with outside investors.
- Are going through the same puberty problem the whole scene is and trying to find their role in everything.
It’s new to them too.
I would be wary to watch the state or anyone else back back your company who either:
- Haven’t had a local successful exit in the space you’re working in.
- Can’t name their last 2 local investments and positive returns.
- Can’t name their last 2 consumer tech companies and positive returns. Most of the people in DSM right now building stuff are building consumer tech companies. There are exceptions but this is the large chunk and most of the pitches I see are consumer tech.
If they can’t provide that, are they really doing much to help your company?
There’s a reason not all businesses make it. If the person who is raising funds / running the company is a whiner, I wouldn’t invest either. The market is running wild with available capital.
Investment is hard to find from the right people and if your company fails because of it… That’s your fault.
If your house and car are on the line and you can’t take the next step that’s on you. Not on someone to hand you a solution to the problem you are too lazy to work on.
If you haven’t leveraged your house or car to get the company off the ground yet. Start there.
If you start a company relying on investors to make it work and you can’t find investors. That’s your fault. Not the communities. That’s called a failure and it’s part of building things. Swallow your new found embarrassment, dust yourself off, and try again…
There is nothing wrong with failure unless you don’t learn from it.
It’s not the ecosystems responsibility to fund shitty ideas or executors because you are here.
If you can’t find the money you need here get on a plane… It’s out there and its your responsibility to locate it.
If that scares you, you should probably rethink starting a company…