So you’ve got your MVP, maybe some users, and now you’re thinking: Time to raise money. But here’s the thing — investors don’t just throw cash at cool ideas. They’re betting on people, progress, and potential. If you want to raise your first round, you’ve got to know what investors are really looking for.
Let’s break it down.
VCs see a ton of pitch decks. Most describe a “solution” in search of a problem. If you can clearly explain:
The pain point you’re solving
Who experiences it
How your product solves it better than existing options
...you’re already ahead of the pack.
Tip: Investors love when founders deeply understand the customer. If you’ve talked to 100+ users, say so. If you used that feedback to shape your product, even better.
No, you don’t need millions in revenue. But some kind of traction helps:
Early users or paying customers
Consistent growth (even if it’s small)
High engagement or retention metrics
Traction shows that people want what you’ve built. And if people want it, it’s easier to believe that more people will want it.
Investors want to know: If this works, how big could it get?
You don’t need to be a $1B company overnight, but you do need a big enough market to justify venture-scale returns. Show that:
You understand your niche now
There’s a path to a much larger market later
Start narrow, but think big.
Founders are a huge part of the bet. Investors ask themselves:
Can this person figure it out?
Do they have the grit to push through?
Are they coachable, sharp, and obsessed with the problem?
You don’t need to have a perfect résumé. You do need to show drive, clarity, and obsession.
Bonus points if you’ve shipped things before, attracted a team, or rallied early users with zero budget.
Fundraising is storytelling. Period.
You’re connecting the dots between a problem, your solution, and a future where your company wins. If you can tell that story with energy, focus, and conviction, people will listen.
Good story structure:
The Problem
The Insight
The Product
The Traction
The Vision
You’re not asking for money “just because.” You’re saying: “Here’s what we’ve done so far, here’s what we’ll do next, and this round helps us get there.”
Investors want to see that their money will unlock something big — like product-market fit, user growth, or a killer hire.
Raising a round isn’t about convincing someone to believe in you. It’s about showing them you already have momentum — and with a little fuel, you’re ready to take off.