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Fundraising & Equity

How to Handle Investor Rejection

Written by Harry Prabandham

Curated by Rubric Financial

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Why Investors Say No

  • Too early: the business hasn't reached the traction threshold for their stage focus. This isn't a rejection of you, it's a timing mismatch
  • Market concerns: they don't believe the market is large enough or the timing is right. Ask specifically what would change their view
  • Team fit: they want domain expertise, a co-founder, or a specific skill set they don't see. Sometimes this is fixable, sometimes not
  • Portfolio conflict: they already have an investment in your space. This has nothing to do with your quality, it's just math

About the author

Harry Prabandham

Founder & CEO

Founder and CEO of StartupCFO. MBA from Wharton, MS in Computer Science, and decades of experience building and advising venture-backed startups.

More articles by Harry →

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