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I Finally Figured Out Why VCs Refuse to Say “No” — It Wasn’t for the Reason I Thought
Investor rejections are more thoughtful than most entrepreneurs realize.
Back when I was fundraising for my startups, I noticed a pattern in the way venture capitalists ended meetings. If they weren’t interested in investing, they’d always end meetings by saying something along the lines of, “I’d love to follow your progress. Keep in touch!”
The first time I heard those words, I was thrilled. I still remember the exact investor who said them to me as we finished our phone call nearly 20 years ago. I also remember my immediate response. As soon as the call ended, I turned to my co-founder and said, “He loved our company. I think he wants to invest!”
Spoiler alert: I was wrong.
He didn’t love our company, and he didn’t want to invest. Instead, I eventually learned “keep in touch” doesn’t mean investors like your company or think you’re going to be successful. It’s a polite way of dismissing entrepreneurs they think aren’t likely to succeed while not seeming like enormous jerks.
Once I finally realized this, I began to hate the phrase. It turned me into a cynical jerk who’s skeptical of the entire VC industry. I’ve even written multiple articles accusing…
