The Why? of startup founders

Investors often ask this question: "Why do you really want to do this?". What do you answer, Founder? 👇

What investors are really asking:

Show us the passion and commitment! Starting a business is not for the faint-hearted – there will be ups and downs along the way. As a founder there will be days when you feel overwhelmed and out of your depth. Investors are probing here for evidence of the strength of character that will allow you as a founder to succeed against the odds as many startups fail (over 90%!).

They are also thinking about how long you want to run the business, whether you are looking for a lifetime job or thinking about a quick exit.

Where you should look for the answer:

It's about the team, the passion, what brought you together, your purpose and vision and communicating the impact you want to have on the world. You can also talk about the commitment you have made already to the business, whether giving up the day job, bootstrapping it with your own money/time/resources or getting others involved as advocates.

You should also think about situations in the past where you have overcome challenges, as well as learned from failures. Everyone has failed, it’s what you do about it that counts. However, think of some stories that can demonstrate the founder(s) strength of character and determination to achieve goals, as these will help convince investors of your commitment.

How to make your answer compelling:

It’s ok to be passionate! Founders that lack emotion when talking about a pressing problem or the difference that they want to make in the world can raise flags. Don’t go overboard obviously, but start your pitch with your story and make sure you convey that effectively.

If you need help with your origin story or pitch preparation, our team of mentors can get you investor ready. Learn more and book a FREE chat.