This blog post has been shared with us by Eneko Knoerr, one of our fellow venturepreneurs from Bilbao, Thanks a lot for sharing your thoughts, Eneko!
When I was young, I remember the habitual conversations we had amongst our friends returning home after a night out. We had not caught what we wanted, wondering what was happening in town and where we could find girls to flirt with. I'm sure that, like us, there were groups of girls who returned home also complaining about not having eaten any donut. Supply and demand had not met each other. And each party was "mourning" on his or her side ...
Speaking between entrepreneurs, it’s habitual to comment that there are no investors, there’s no money for projects, that all is a disaster and so on. Come on, there's no way to "catch"-money, in this case.
But the funny thing is that when I talk to investors, I often hear that there are no projects and they complain that they don't find any projects to invest. They don't find any entrepreneurs even though they are searching.
Just like in the world of flirting: supply and demand is desperately looking for each other but there is no way they find each other.
From my position as an entrepreneur and investor, the truth is that I understand the comments from both sides:
- The Entrepreneurs. Many times we feel lost. We don’t know whom to approach, where to begin, which type of investor would be a good match for us … In the Internet space there are a some very active business angels that come to our mind but the possibilities are scarce (or they seem). We think (sometimes with good reason) that the public risk capital remains discarded because they won’t understand our project. We heard about the people who were looking for financing for months without any success. Of course I’ve also seen those who complain about not receiving any investment and it turns out they’ve never sent their project to any place (yes they might have composed something "presentable" …). The sensation is clear: there are no investors.
-The inversor. Some receive very few projects. Others receive proposals from sectors which they don’t invest in. There's the one who finds powerpoints valued for several million euros. And it’s common to see entrepreneurs who know only a little about the business they plan to get in. After all, between small entrepreneurial movements and little amount of projects, as investors we say that there are no entrepreneurs.
Who’s right? The Truth is both. In future posts we will see how we can set and end to this incomprehensible situation.
How do you see this? Are there no investors? Are good projects missing? Leave your comment here!