Key Takeaways
- What are the startup red flags that you should avoid to make your startup fundable & attract investors?
- AgTech founders must align product-market fit—not just personal vision.
- High salaries, lack of traction, and vague claims derail deals.
- NDAs during early discussions are seen as red flags.
- Long-standing “zombie” companies without revenue face skepticism.
Avoid These Red Flags For Your Startup When Pitching AgTech Investors
What kills a deal before it even begins? Chris Rawley, CEO of Harvest Returns, has seen thousands of AgTech startup pitches—and many fail for the same reasons.
1st Red Flag: Building A Solution To A Problem Only The Founders Perceive
In a recent iGrow Network webinar, he outlined red flags that make AgTech startups unfundable. Chief among them: building a product to solve a problem that only the founder perceives. “Your idea might be brilliant, but if it doesn’t resonate with customers, investors won’t be interested,” Rawley said.
2nd Red Flag: Projecting A Corporate Level Salary As Pre-Revenue
Another common issue is founder compensation. “If you’re asking for VC-level salaries but you’re pre-revenue, that’s a huge red flag,” Rawley emphasized. Early-stage AgTech startup fundability is strongly linked to founder sacrifice and proof of commitment.
3rd Red Flag: Asking VCs To Sign An NDA
Founders who insist on NDAs at the outset or who exaggerate traction without proof (like IP filings or sales contracts) also risk damaging their credibility. “We don’t want to steal your idea. We want to invest in it,” he said.
4th Red Flag : Stagnation
Startups that have been around for many years without significant growth—so-called “zombie companies”—face intense scrutiny. “If your AgTech startup has been stagnant for a decade, you better have a compelling story,” Rawley warned.
Fixing These Points Will Help Your Startup Convince Investors
To improve AgTech startup fundability, founders should focus on building trust, showing evidence, and aligning their pitch with customer pain points—not just founder passion.
🟢 Watch the full webinar with Chris Rawley.
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Read our previous edition on what makes an AgTech Startup fundable.
