When you’re trying to get a startup going, it can be a bit of a heartbreak when you can’t get your hands on capital.
Of course, most startups require some sort of capital in order to exist. The sort of capital I’m talking about here is venture capital. This is the sort of money that will be given to you in a nice chunk by an investor when thinking of top creative business ideas.
If you keep getting rejected, then you need to do some serious thinking.
Assess the reasons you keep getting rejected
A lot of the time, investors will be really damn vague about why they won’t invest in your startup. Sure, “we’re just not interested” seems like a good enough reason. “It’s just not what we’re looking for”, “it’s just not the thing for us”, “we don’t see how we’ll profit from it”, et cetera. These are the sorts of things budding entrepreneurs will often hear. And, yes, in and of themselves they do justify why someone not investing in your business. But these reasons don’t really give you enough to work with, do they? Try to get some more information from the rejecters. Tell them you can take the criticism. Find out what the problem is as precisely as you can.
Go as far as you can without venture capital
Here’s a common and damning mistake that many startups make. Let’s say you have a thrilling idea. You’ve got a business plan together and you’re convinced that you just need this amount of money. But you keep getting rejected. So without that number in your head, you feel your business is doomed. You either keep trying to get venture capital or you give up. But why not put more focus on the venture at hand? See how far you can go without that capital. Get a prototype together. Get some customers or clients. Start small. Just start!
Think a little more about the details
It’s possible you just need to flesh out your business ideas a little bit more. You’d be amazed at the kind of details that can really catch the eye of an investor. Let’s take an example of a feature you may not have thought about in this context, just to illustrate my point. Say you’re planning on having the employees of your startup wear a uniform. The purpose of a uniform is to increase brand recognition. They strengthen the identity of your business. They help attract people to your business. So with that in mind, why not include it in this stage to help hook investors? Uniform rentals from Prudential Overall Supply could help you more than you might think.
Do you really need as much as you’re asking for?
Have you considered the possibility that you’re asking for too much? Usually, this will become quite obvious. If that’s the only reason an investor would turn down the opportunity, they’d usually make you a lower offer first. But you should think about the implications of asking for too much. If your projected costs are too high for what you’re doing, the investor might think you’re not that savvy a businessperson.
