Why is rejection of the best startup growth strategy Businessman

The opening of a new society is like launching a ship to the open sea. You have invested your heart, time and resources in the idea and hoped not only to float, but also conquers the huge ocean with an opportunity. However, the first Reity check often comes in the form of rejection of investors. This moment shows that not everyone shares your trust.

So how do you understand rejection, learn from this and why is it one of the most valuable growth phases for any startup?

Rejection are part of the game

Let’s start with the fact: 90% of the startups will fail. This frightening figure should not suppress you; It should be direct to understand that this is a generally normal occurrence. Not all risk funds are in line with your project and your project may not always meet their expectations.

Each fund has its own strategy. Some are looking for startups that already generate revenue, while others prefer work in the earliest stages. Some prefer the founder’s experience, while others are willing to give happiness a newcomer. Even a very promising project may not currently suit the fund’s investment strategy.

For example, the world with a founder who made immense efforts to present his idea. The project had potential, but the target market was too narrow. Our fund rejected the opportunity that, of course, disappointed the founder. However, they took feedback constructively, reworked their strategy and identified the wide market. Today their startup prosper and this rejection has become a key lesson.

Why does the rejection feel personally

It hurts to hear “no”, especially after he put everything in the project. It is the most feeling like a personal attack.

But the truth is that rejection is not about you. Often reflects the market conditions or strategy of the fund. The investor could decline because their portfolio has already included similar projects or they failed comparable startups. Sometimes the fund is out of money for a year or your project was not in line with their plans.

In addition, it is important to realize that rejection is a business decision, not an attempt to reduce or offend you. The reaction is angry with investors incorrect signals because this is a business; There is no room for emotions. Once I received e -mail of the founder accusing our fund of injustice. This is responsible for dreams in the inability to solve criticism and to raise concerns about their emotional resistance and quality of management.

Emotional resistance

This is an emotional roller coaster; One Prais hard and the other simply mocks. Rejection is just a part of this dynamics. Successful founders are those who can withstand emotional pressure and use it as a motivation for growth.

Investors are looking for not only ideas but also leaders. They want to see individuals who can remain composed in demanding situations. Naturally, the crisis is happening and during which the founder should reveal his ability without being completely emotional roller coaster.

Related: Emotional resistance is crucial. Here’s how to cultivate it.

How to refuse

Every rejection is an opportunity to analyze. Instead of disappointing, ask yourself:

• What could improve in your presentation?
• Did the investor understand your value?
• Did you provide enough data to strengthen your case?

I am a big fan of the advice to ask investors for feedback after refusal. Such feedback can help you understand what to do in the next encounter with them. Even if the investor does not give you specific details, their comments would suggest a more positive approach to the future path.

In my practicing day in many cottages, where rejection became a turning point. For example, take one case and the project went through some rejection before Finully met with an investor who considered it to be sufficiently valuable. The rejection then made the team look back at its target market and the GO-to-Market strategy, and they eventually stated that the launch is now running on a scale that it has never imagined.

On the contrary, I saw the founders of Maya express their anger or disappointment in such monuments, which is red. If someone is unable to handle refusal, it will put questions about their ability to face more significant challenges.

Related: How to become a resistant entrepreneur in 4 steps

Why learn from rejection of matters

Every refusal helps identify weak points in your consent. It is an opportunity to ask fundamental questions:

• Do you understand your audience?
• Do you clearly communicate your value?
• Do you strengthen your team?

It can be a powerful tool for self -reflection and planning your next steps. They offered valuable findings that could shape the founder’s access to future challenges. For example, rejection often adequate the founders to develop emotional resistance, learn to bounce off the stronger and main focus on your goals. They also support the ability to accept constructive criticism, by feedback to specify strategies, improve products and increase team performance.

Every aspect of each rejection should become an opportunity to learn and improve. The moment you see rejection as a fuel for your growth, it is the moment you strengthen yourself as an entrepreneur. Investors are looking for not only brilliant ideas, but people who can turn these ideas into successful businesses. Showing that you can handle adversity becomes your competitive advantage.

Rejection, remember, is by no means the final way. It’s part of the day. Learn and grow and watch the “no” change “yes”.