Specifics Bring Depth: Founders Need Concrete Problem Descriptions and Fast Action

Whether founders describe problems and details concretely enough affects investors’ interest in a venture. Chinese educator and school principal Li Xigui: ‘Specifics bring depth.’ One of the things my supervisor most often discusses with me is how, after hearing a startup presentation, he feels the team can explain the industry and overall direction very fluently, yet remains comparatively vague about operational details and the specifics of its problems. That leaves him uneasy about what will happen after investing. Experience has shown that his concern is justified. The best VC investment is one where ‘everything is ready except the east wind’—the final catalyst. Ideally, you have already spent time working through the rough patches. You have either encountered the various scenarios or thought them through clearly. After experiencing all the pitfalls on the journey from a minimum viable product (MVP) to product-market fit (PMF), you seek VC funding only to scale and replicate quickly, rather than taking the money and continuing to feel your way forward through trial and error. [Family passage omitted] ----- To succeed as an entrepreneur, you need to maintain two capabilities. First, you must act fast enough. Second, your observations of problems must be concrete enough. Overcoming business difficulties and pessimism takes more than optimism and persistence. It also takes specifics.