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Advice Startup CEOs Should Avoid
You are going to get lots of advice from everyone you know about running your startup. The problem is most of the advice you’re going to get, even from your investors, is unbelievably bad.
The problem is the advice can sound really good. And this seemingly good advice can get you killed. I don’t want this happen to you. I’ll share with ten pieces of unbelievably bad advice I got that you should avoid.
I hope you like it. Let’s start with number one on my list…
1. Just Talk To Ten Investors.
When I started raising the initial funding for my company, a VC I knew and respected said, “Meet with ten VCs. If none of them wants to invest in your company, then you should quit.”
This sounds like good advice. The idea is, if everyone is passing on investing in your startup, then there’s no market for what you’re selling. However, it’s really horrible advice. Here’s why.
The typical angel investor or venture capitalist will meet with 100 startups for every one startup they invest in. So, if you quit after meeting with just ten investors, you haven’t given yourself a chance for the odds to work in your favor.
I knew the one hundred to one ratio, so I ignored “Edward’s” advice. I’m glad I did because we had sixty three investors…
