The top headlines in TechCrunch, Entrepreneur, even the New York Times would have you believe that big fundraising rounds are the key to becoming a unicorn. And on a surface level, it makes sense: bring in money, build valuation.
But the truth is different: ultimately, the health of a business (which is what valuation claims to measure) depends on sustainable, recurring revenue - also known as customers. A business that focuses its efforts on fundraising can’t meet the needs of its customers - so while that influx of $5M may feel good at first, it doesn’t offer the same value as a deep sales pipeline does.
So how can founders shift their focus to the customer? Read more to find out.