As nervous as… an entrepreneur raising money!

Three different companies in our portfolio are raising a round as I write this (please don’t ask me for details). Even with our firm commitment to be behind them, they are taking three different trajectories:

First one is performing well, the pitches are being highly appreciated, the sector is in vogue so lot of investors are looking to meet them. They are getting a big commitment from an entrepreneur who has built a similar business. One other investor is closely evaluating. Things look up, optimism is in the air.

Second company did a massive round potential investors, trying all possible combinations. Their best bet was one particular (foreign origin) investor we introduced who spent a ton of time with them doing due diligence. Eventually, this investor cross-checked with their counterparts back home and decided to check out. No backups, the Plan D is in action now.

The third company is building a good differentiated business but in a sector that is massively funded. Though the business requires cash to build, it has probably the best team in the market. But the investor takes her own sweet time to decide, she also doesn’t want to be hasty in saying No to the entrepreneur. But it is not easy to ignore the ‘potential competition’.

Between optimism of pitching and radio silence of the investor responses, the entrepreneur’s life is hung by a tenterhook. Nervousness all around, evaluating, re-evaluating every single gesture, trying to read between the lines, hoping to find some early answers... Still, you know what troubling him the most? That he knows that the real struggle starts *after* the money is raised!