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I just went through a report published by Goodx entitled, “Angel Investor’s Thoughts On Startup Exit”. This particular graph caught my attention.

It clearly illustrates that investors tend to have very high expectations of required returns when investing in pre-seed and seed rounds in particular.

The inherent risk posed to investors is one of the main reasons behind why 9 out of 10 startups fail to raise pre-series A funding.

What does this mean for founders? It highlights that fundraising takes more time than you think and that consistent communication is important in convincing investors.

Though my observations were slightly besides the point of the report (the report is on startup exists) I thought it worth sharing.

You can access the full report from the link in the comments section below 👇

Click here to view the original Linkedin post.

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