“I haven’t really thought this out, and to be honest, I’m desperate for a lifeline and terrified you’ll reject me.”
How many people do you know who would react to this with open arms and enthusiasm? What investor is going to throw down fat stacks of cash for this kind of presentation? And if someone did, is that even the kind of trait you’d want in a partner, someone who will provide the crucial foundation for your new business? No.
If there’s one thing I’ve learned from the years I’ve spent in the startup game, it’s the value of revenue. An interesting idea is just that – a whimsical notion. There is no shortage of interesting ideas. The trouble is finding a real problem that impacts people at a large enough scale to be worth the initial sweat equity investment. Until you find a problem that more than a few thousand people have, you’re going to have a hard time selling a business to any investor.
Frankly, if you can’t find any problems to solve, find a stable job at some corporation somewhere. Despite what you may have heard in the movies, pitching isn’t a long con. You’re not scheming money out of dumb rich people, funding your own personal fairytale. You’re searching for a strategic partner who can help your existing business expand. Unless you’re in a student pitching competition with prizes and ribbons and all that, you can’t start with nothing.
Show your prospective investors that you’ve built something worth talking about. That means hundreds of hours of unpaid labor and thousands of hours of prior experience. Until you can do that, you might want to practice misdirection tactics and work on hiding those pesky little dishonest microexpressions. When you have nothing, you give yourself away. In the immortal words of my good friend, Justin Davis,
“You can’t just ‘meeting’ your way out of this. You have to sit down and do the hard work.”
Build something worth buying, find a few hundred buyers, and start making money. Only then will you be prepared for the next phase, where the right combination of shared passion and financial support will launch your business beyond your limited means. In the end, the market will survive without you. If you don’t serve it, someone else will. If you can’t make a sale, your market doesn’t exist. Learn that early, and you’ll save yourself a world of pain.