Venture capitalists investing in FinTech often worry about whether a company can fund its origination costs, as mismanagement can limit future opportunities.

We aim to offer returns in the mid-teens to 20% range to attract investors, ensuring our financial model is appealing. There are effectively two markets: the investor market, which has its required return, and the product market, which has its potential return. The goal is to align these two as closely as possible.

Investing in startups should not just be about making a difference; you should also consider the potential for returns on your investment.

Choose your valuation carefully; too high can scare off investors, while too low can lead to excessive dilution. The goal is to get the money in the bank and get back to work. Don't over-optimize your fundraising process; focus on the essentials instead.

Investing in a startup through a SAFE, convertible note, or equity will yield similar returns if the startup is successful, as seen with Airbnb's valuation growth.

Investors prefer markets that are growing at least 20% a year, where problems are currently being addressed and where solutions can save significant amounts of money.

It's crucial to understand that not every company will appeal to every investor; you need to ask the right questions to find what excites you about a potential investment.

For tiny startups, investors may not fund them anyway, so it's important to say what they want to hear to capture their interest for future opportunities.

Investing in startups is high-risk, and potential investors should be prepared for both significant upside and possible losses.