Said It Here

Will VCs reject my startup because it's not AI?

Founders building non-AI companies face heavy investor bias and catch-22 situations where traditional commercial loans require licensing they cannot get without upfront reserves. This focus leaves traditional startups unable to secure funding from VCs, incubators, and lenders.

What people tried

Every workaround mentioned in the threads below. We haven’t tested any of them — and nobody here is claiming they worked.

  1. 1
    bootstrapping
  2. 2
    angel-bootstrapping through personal connections
  3. 3
    Structuring deals with capital partners using dual-signature accounts and revenue share
  4. 4
    Using a line of credit from a local bank backed by home collateral

In their words

Unedited, most upvoted first, each linked to the thread it came from.

I can't get a regular commercial loan on this without licensing, and can't get licensed without the reserves, so catch 22.source ↗

UnusualAd3207 · r/Entrepreneur · 19 upvotes

I am worried about the attitude of incubators, VCs, and investors in general. Would the lack of AI be a nonstarter for most outside investors?source ↗

mondobe · Hacker News · 11 upvotes

Where this came up

People with this problem also raised