32 Startup Financing Questions You Need To Able To Answer For Investors

startup financing questions

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Goran Duskic at WhoAPI Blog has put together a comprehensive list of startup financing questions you can expect from potential investors.  A key reminder that Duskic points out,

“If you make any kind of statement, be prepared for questions about backing up that statement with facts.”

Investors won’t give their money away based on conjecture and guesses.  Be prepared to do proper market research and have the evidence to support your claims.

This list is key for any entrepreneur who plans on starting a business and is looking for financing.  Investors and banks will both want to know how you plan to create a successful business.

Go through the list and be able to answer all of them.  They can be tough and harsh but if you don’t have a solid answer, you may not have a solid business idea or plan to make it happen.  You’ll find questions like,

  • “Why do you need an investment?
  • Why don’t you sell your house/company/whatever if you believe that much in your product?
  • What if some big company decides to copy your service?
  • What if your competitor or newcomer decides to copy your service and offer it half the price?
  • Do you have a working prototype or a proof of concept?
  • Why should I invest in you instead of hiring 1/2/3 people and outsource the whole project?”

See Duskic’s article and the full list of questions here.

But there’s only 26 questions?  See the comments section for 6 more key business and startup financing questions.

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