7 Investor Raising vs. Money Raising
Some people talk about “smart money” versus “dumb money.” I don’t think those terms are particularly helpful. I much prefer thinking about the issue in terms of “investor raising” versus “money raising.”
It’s tempting for founders to grab whatever funding from whatever source they can. And I understand the limited choices some founders face. Money is money, they say, so grab it—and as much of it as you can. But smart founders gravitate toward smart investors. Money may be fungible, but that doesn’t mean that all investors are the same.
Think about it this way. It’s not the money that really helps you. It’s your choice about the investors who will provide the money, as well as everything else a smart investor ...