How do I evaluate startups for investment?

How do I evaluate startups for investment?

To evaluate startups for investment, consider factors like the team, market potential, product viability, and financials.

What specific metrics should I look at?

Key metrics include customer acquisition cost, lifetime value, revenue growth rate, and burn rate.

How important is the founding team in this evaluation?

The founding team is crucial; their experience, skills, and vision can significantly impact the startup's success.

Should I focus more on the product or the market?

Both are important, but understanding the market demand can often be more critical for long-term success.

What are some common red flags to watch out for?

Common red flags include lack of market research, high turnover in the team, and unclear business models.