Given that you now understand how venture capital works (Chapter 2), you’ll have figured out that it’s unlikely you’ll find a venture-backable business in a small market. In other words, it doesn’t matter if you have 100% of the market share for corrective eye surgery for left-handed pet ferrets. The market is not going to be big enough to build a billion-dollar business, which means it’s going to be tremendously hard to raise venture capital.
Three essential things go into your market size slide, and it’s important you think about all of them. The first element ...
