Product & Startup Builder

Investors are stupid

Added on by Chris Saad.

As a founder, you need to remember that compared to you, many investors are pretty stupid when it comes to your startup and your journey.

Why?

It could be for a number of different reasons. Including...

1. Many investors have never been operators. They don’t really know what it’s like.

2. Angels are distracted with their real life. It’s hard to get and keep their attention.

3. You have likely spent a lot more time thinking about the problem you’re working on and the market you’re targeting. If you’re doing it right - you’re the expert.

To compensate for this “stupidity” (and derisk their decisions) investors use 1 simple trick: Pattern matching.

They look for simple signals like “two founders” or “revenue”. So always remember:

1. Don’t get upset if they don’t get it. It’s your job to get and keep their attention. Then it’s your job to educate them.

2. Take their feedback with a grain of salt.