| One interesting thing I learned from my previous startup is that when you're raising, you need to find investors that understand your market. The more niche the market, the more difficult it'll be for you to find an investor. But when you find that investor the likelihood of them investing will be higher. Why is that? Because if you have to educate your VC as to what you're doing, you've lost. Let's say I'm building an AI that helps agencies set pricing for their ad inventory. Ideally I would want a VC that understands adtech, because they already understand the problems in that field (at some level) and how big it us. I don't have to explain how much of a fucking pain in the ass it is to manage all the line items, creatives, placements, and pricing rules. Someone who wasn't in adtech would be like "google's GAM does that for you." Uh, not really. A VC in adtech would be all "here's my money and a LOC." And, the VC will be able to help you with some client introductions, so you can get more customers. That said, my business co-founder couldn't sell water to a man in the desert, so we crashed and burned. Live and learn. |