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Let me ask you a question. Do you want me to tell you what you want to hear, or do you want me to tell you reality? I am sure hoping you want to hear reality, especially when it comes to pitching investors.
The reality is, unless you have some really special things going for you (I’ll get back to this later), you’re going to need a working product to pitch investors. In fact, depending upon how much money you’re trying to raise, you’re likely going to need customer traction too.
I know. You need money to grow your startup. I’ve got some tough love coming at you; that’s your problem.
You need to find a way to survive until you have achieved enough progress to raise money.
Every CEO I’ve worked with, except for one, couldn’t raise money without a product. There’s nothing magical about this. It’s just the way the market works now.
Years ago, you used to be able to raise money with a pitch deck and a team. However, those days are long gone.
A simple way to think about this is the market for capital is like any other market. There are buyers of the capital (investors) and sellers of the capital (entrepreneurs).
