Be Patient During Customer Discovery
December 3, 2024
Customer discovery is a grind. It’s not intellectually challenging, but it will test your motivation, as getting dozens, if not hundreds, of calls with potential customers is a lot of work.
When you think you’re close to getting a term sheet or you have a VC who says one is imminent, it’s very tempting to stop meeting with smaller checks and wait for the term sheet. I would not do that.
Regardless of what anyone tells you, until you have the term sheet in your inbox it’s not guaranteed. And that’s assuming the actual terms are acceptable, also not guaranteed.
Continuing to fundraise increases the chances you will get the investment you need, even if you don’t get a term sheet from this particular VC. Don’t bet the company on an investor’s decision.
There is no better way to apply pressure to a VC than fundraising momentum, so keep on collecting checks and they will feel compelled to make a quick decision.
Best of luck out there.
