Surprisingly, many startups fail due to having too much funding, which can lead to a lack of urgency and detachment from customer needs.

Founders often mistakenly believe that spending more money will help them achieve product-market fit faster, leading to frustration and distraction from their core objectives.

Having extra funding helps founders approach fundraising with confidence, making it easier to negotiate and plan without being influenced by fear.

It's important for founders to understand that the perception of needing to grow rapidly can lead to poor decision-making, such as overspending or neglecting financial health.

Founders often psych themselves out by worrying about competitors, especially when they see a competitor raise significant funding, leading them to feel like they are failing.

Many founders mistakenly believe that fundraising is about more than just raising money to build a successful company, which can lead to misalignment with investor expectations.

Raising more money can be beneficial for a founder's mission, as it can mean the difference between success and failure, even if it leads to some dilution.

Founders often overspend because they haven't realized that their product isn't what customers want yet, leading them to chase after growth without understanding their market.

A common misconception among founders is that raising money will magically solve all their problems. They may believe that their investors will save them from failure, which leads to a lack of critical thinking and preparation for ongoing challenges.