When you finally has arrived at the podium, and after having spent months of blood, sweat and tears to present for the investors, its easy to spoil it. I did, and its not a good experience. Let the full article from ReadWriteWeb by Audrey Watters tells you the whole story. Here´s an abstract:
Kocialski lists these “turn-offs,” including:
- Investors’ Money Getting No Respect. Kocialski gives the example of two co-founders who, when asked by a potential angel investor what their plans would be if the startup encountered some problems, replied that they’d just go back to their old jobs.
- Zooming In On the Exit. You should demonstrate that you’re concerned with building the company, not just selling it down the road.
- Big Market Numbers. Be wary of sweeping statements about how “everyone in the world could use our product.”
- No Competition. There is always competition, because somehow customers are fulfilling that need today. Although you do want to stress a young and growing market, says Kocialski, you do want one that’s proven.
- Being Too Eager to Abdicate the Throne. Kocialski describes this as when “the founder is the CEO, but doesn’t want the CEO’s job and wants to find a replacement. There’s a difference between succession planning and abdication.”
- No Customer Input.
- Appearing Non-Coachable. An investor provides advise, as well as funding. So if an entrepreneur appears to not listen and not address investor questions, that’s definitely a “startup killer.” Every time an investor or customers asks a question, they are impacting valuable information. Not listening or addressing their concerns is a start-up killer. Kocialski cautions against entrepreneurs getting defensive when investors ask probing questions, as signs that te entrepreneur doesn’t have skills to build an effective team or to recognize and adapt to change.