Why Does Your Company Deserve More Money? by Michael Seibel

TL;DR

Founders often confuse means (team, office, product) with ends (product-market fit), so after burning $1-2M without hitting fit, asking for more money is unjustified. The best alternative is to cut burn and reach break-even, which creates leverage and clarity. Sustained growth and real revenue are what investors actually grade on; a good company needs only graphs and numbers, not a flashy pitch.

Key insights

• Means (office, team, product) are not ends; investors grade on results (wins), not artifacts.
• Operating on investor money often makes the investor the de facto customer, causing founders to optimize for what investors want to hear instead of users.
• Break-even shifts focus away from investors to users, generating clarity and removing fear.