Should You Bring Investors Into Your Business?
Thinking about investors for your business? Learn why traction, sales, and execution matter most before seeking outside funding.
Deciding whether to bring investors into your business is one of the biggest questions entrepreneurs face. Investors can provide capital, connections, and credibility—but they aren’t a shortcut to success. Understanding what investors are really looking for can save you frustration and wasted effort.
The first thing to remember is this: investors aren’t there to run your business. If you’re hoping they’ll swoop in and take over because you’re afraid of selling, failing, or leading, that’s a trap. Investors want to grow a fire, not start one. You need to prove your concept, build traction, and show momentum before they’ll even consider putting money into your idea.
That’s why one of the first questions you’ll hear from investors—on shows like Shark Tank or in real life—is: “What are your sales?” Sales prove there’s a market. If you haven’t sold yet, no amount of enthusiasm will convince them to write a check.
Even more importantly, investors are investing in you. They want to see how you execute, how you handle challenges, and whether you can get back up after setbacks. Your reports, your discipline, and your persistence matter as much as your product.
For many entrepreneurs, bootstrapping is the best first step. It’s hard, it’s messy, and it forces you to become a sharper operator. But by funding growth through your own effort, customers, or creative financing, you’ll build credibility—and when you do seek outside money, you’ll get it on better terms.
Finally, remember the golden rule: the best time to ask for money is when you don’t need it. That’s when you’ll get the cheapest capital and the most favorable deals.
Investors can accelerate your growth, but only after you’ve proven you—and your business—are worth the bet.
