How to sell a high-risk startup to skittish investors

Risk

Exhibit A: a startup with an inexperienced leadership team enters a business sector with notoriously high failure rates, the food service industry. On paper, the startup is likely to be classified as a high-risk venture, signalling a gloomy fundraising outlook — but it doesn’t have to be that way says veteran startup mentor, angel investor and founder of Startup Professionals, Martin Zwilling.

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The key to defying the odds, says Zwilling, is for the startup to acknowledge and address its challenges in its business case and investor presentation.

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