Imagine being in the best pitch meeting of your life.

Your slides are polished, your numbers are solid, and you're deeply connecting with the investor on the other side of the table (er… computer screen).

Then the investor lobs what seems like a softball question your way:

"What could kill your business?"

"Nothing,” you say, full of confidence. “We have the team and product in place to make this a win.”

This conversation happens in investor meetings more often than you might expect. And it could very likely kill the deal. Let’s dig into why that is, and what you should do instead.

Why this response could kill your chances

You might think you're projecting unshakeable confidence if you tell an investor that there isn’t a risk to the business. Or maybe you want the investor to believe that this opportunity is a safe bet.

But to investors, you've just waved a giant red flag in their faces.

Why? Because this seemingly innocuous statement is actually a double-edged sword of delusion and dishonesty.

Yes, that was dramatic. And no, it’s not an exaggeration.

Let's break down why this response sets off alarm bells:

1. It's fundamentally dishonest.

News flash: Everything can potentially kill a business, especially in the early stages.

There’s competition, disruptive technologies, incumbents like Google and Amazon, global pandemics – threats are all around, my friend.

2. It screams poor judgment.

If you truly believe nothing can take down your startup, you're either wildly optimistic or woefully unprepared. Neither is a good look.

3. It undermines trust.

Investors are looking at a potential 10+ year relationship with you. If you can't be honest about risks now, how will you handle tough conversations down the road?

4. It shows a lack of self-awareness.

Understanding and mitigating risks is Entrepreneurship 101. If you can't acknowledge potential pitfalls, how can you navigate them?

Do this instead

So, what's the right way to answer this question?

Be honest. Be self-aware. Show you understand the risks… and have a plan to tackle them.

Yes, confidence in a founder is attractive. But what investors love even more is a founder who can spot potential problems and not flinch.

It shows maturity, strategic thinking, and clear-eyed leadership.

Here's the framework we recommend if you get asked this question in a pitch meeting:

1. Identify a realistic threat to your business.
2. Explain why it's a concern.
3. Talk about how you’ll mitigate that risk.

Let's look at some examples:

Example 1: An Eco-Friendly Food Delivery Startup

Investor: What could kill your business?

Founder: A major concern is the potential for a large player like Uber Eats or DoorDash to copy our eco-friendly model. They have the resources and user base to quickly overtake us.

To mitigate this, we're focusing on building strong partnerships with local, sustainable restaurants and creating a loyal community around our brand values.

We're also investing heavily in proprietary routing technology that optimizes for both speed and environmental impact, giving us a unique edge in the market.

Example 2: An AI-Powered Language Learning App

Investor: What's the biggest threat to your success?

Founder: Keeping up with the rapid advancements in AI language models will be a challenge. If we fall behind the curve, our product could become obsolete.

To stay ahead, we've established a dedicated AI research team and partnerships with leading universities in the field.

We're also diversifying our offering beyond just AI, focusing on building a strong community aspect to our platform that keeps users engaged regardless of technological shifts.

Green lights only, please

When an investor asks about potential killers for your business, they're not trying to trip you up. They're giving you a golden opportunity to showcase your:

• Self awareness
• Risk awareness
• Strategic thinking
• Honesty and transparency

If you acknowledge real challenges and present thoughtful mitigation strategies, you're not showing weakness – you're demonstrating the kind of leadership and foresight that makes investors want to write checks.

In the startup world, it's not about being unstoppable – it's about being unstoppable in the face of challenges.