Bharat Founder School

The Investor Trap Founders Must Avoid

By Anshul Gupta (Founder, Bharat Founder School)

Build for Customers, Not for Investors

 

The Temptation

Founders are tempted every day to shape their business to attract investors. It works in the short term but destroys your long-term viability.

Why? Because what convinces investors you’re great today is rarely the same as what builds a fundamentally strong business.

 

The Hard Truth

You can’t stay “investment ready” forever. Sooner or later, you’ll fall out of investor favor. Here’s why:

  • Shifting Sectors: Investors’ enthusiasm for your sector will wane with market successes or failures.

  • Changing KPIs: Trends in capital markets will swing focus from growth to profitability—or vice versa.

  • Evolving Proof Points: An IPO or market crash can redefine expectations for your industry overnight.

No matter what you do, investor sentiment will shift. It’s not a question of if, but when.

 

The Survival Formula

When investor support dries up, only the strength of your core business will keep you alive. That means relentless focus on:

  • Your customer value proposition.

  • Your margins.

  • Your cost structure.

Yes, you need to solve for investors when raising funds. But once you’re done, get back to the only thing that matters: building a business that survives and thrives on its own.


Startups don’t die from lack of investor interest. They die because their core is weak. Don’t build to impress. Build to endure.