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Yes, your 5-year financial projections are going to be wrong. You need them anyway


When I was an early-stage founder, I bristled at the idea of making a five- or even three-year financial projection of my business. I can promise you one thing: It will be dramatically wrong. But as part of your fundraising, you need to make them anyway, and there are a couple of great reasons for that.
VCs understand as well as you do that you can’t predict the future. Hell, that isn’t just true for companies at the pre-seed stage; if founders could predict the future, there wouldn’t be so much nervousness around IPOs.
But it’s worth keeping in mind that your investors aren’t asking you to predict to the nearest penny how your company is going t …

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