Raising money is HARD. Having been through techstars, interviewed at YC and sold an online business i can tell you raising from any investor is very hard. I also have a background in finance and have learn that getting an investor is difficult and only 2% of startups actually even manage to get to this point.

The metrics have to make sense and so does the team

This is true for any business and its getting harder to raise money as VC money begins to die out and investors pull more and more cash out of the systems.

VC's look at

1) the team and its background. How do they work together and do they have any previous experience in working together

2) the revenue and traction (do you have any at all? How many customers are sticking around)

3) The sector, how big is it. Is it trending? (AI? - which sectors are trending right now)

experience

We do love YC and there are a number of reasons for this (see the article below:

Why YC is still the best accelerator around for your business in 2025
With its focus now on AI companies - are you looking to push your business further and fast. YC still ranks number one. I have been through techstars and realise the benefits a top tier accelerator can bring you. There are pros and cons to each of them. Giving up equity is never easy but to supercharge your startup you may need to do it. We have put a list together below.

Conclusion

Be honest about your business. Try to focus on things that can work and will work. Introduce the team and your backgrounds. Keep your investors updated constantly with memos on how your business is doing.

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Written by

Vlad Kozul
Vlad has a BSc, MSc has worked in investment banking as well as had a startup backed by top-tier investors. His LinkedIn: https://uk.linkedin.com/in/vladkozul

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