Massive Growth or Profitable - Those Are the Options
January 22, 2026
The new World of AI has changed investor expectations for startups and that is making survival more and more binary.
When I encounter teams from Europe that are visiting the Bay Area, there are some common patterns which will deter most investors based here in San Francisco.
If you don’t have a Delaware C corp or you’re waiting until the next round to convert to a Delaware entity, most seed investors won’t be interested. The sooner you have a US parent company, the better.
Even if you’re growing fast, most US investors will want to see you focus on US customers. This is based on the belief that it is much easier to sell new technology in the USA versus Europe and other locations.
You have to be working on a big problem, ideally with a big, bold idea to solve it. If you’re working on a market under $5B, that will be a blocker for most San Francisco investors.
Best of luck out there.
