Investors Passing on Your Pitch? Here’s What Is Really Happening on Their Side of the Table.

Investors Passing on Your Pitch? Here's What Is Really Happening on Their Side of the Table.

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Investor FOMO (i.e., “fear of missing out”) became my digital retail startup’s biggest hurdle in securing a check.

To deal with said fear, you first need to realize there’s more to it than just bandwagon jumping for investors. This grass-is-always-greener mentality is underpinned by three other concerns that, with some planning, can be largely addressed.

Due diligence requires resources

Investors, particularly angels and boutique funds, don’t have the resources for extensive due diligence. While large funds have teams of associates to vet everything from your financial model to the validity of your unit economics, small investors would prefer to skip the headache. If another investor vets the deal, the time saved can drastically reduce the cost of participation.

Bringing an industry veteran onto your team can help assure investors that other relevant people have already “diligenced” your startup. Retired executives are often willing to consider opportunities to pay…

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