Raise Millions by Hustle Fund VC Page 18 VCs tend to be great partners in the later stages since they can provide you with more capital and direction when you’re scaling fast. But let’s state the obvious: a 100x return is extremely tough to accomplish. Investors know this, and they only invest in companies that have the potential to scale fast. There are lots of things that make a business scalable. But since you don’t have all day, here are the top three things we look for. 1. Unit Economics – the cost of acquiring and onboarding a customer compared to how much money you make from that customer 2. Customer Acquisition – your ability to acquire customers at scale 3. Exponential Growth – when your revenue is increasing at a faster rate than your incurring costs. Both angel investors and VCs would love to invest in a startup with great unit economics, low customer acquisition costs, and rapid exponential growth. We recommend raising from angel investors first for speed. Then consider VCs if you have a business that can potentially scale to deliver a 100x exit. Startups in the “vice” categories (think alcohol, cannabis, gambling) will likely have more success with angels than VC firms. This is because VCs usually have a “no vice” clause that they adhere to. Whereas angels can invest in whatever they want. hustlefund.vc / @hustlefundvc