At the core of the problem is the way investors evaluate early-stage startups. Provided you have a talented team, your ability to raise a seed round (and the terms) largely depends on two things: your product and “vision.” Investors want to see what you’ve built (or will build), and hear how it capitalizes on or causes a “massive shift” in the way the world works. However, if you examine the births of the most successful consumer internet companies, you’ll quickly realize that initial product and “vision” are flawed criteria.
Great read.