Why I Say ‘No’ to 90% of Founders: The Two Critical Red Flags I Can’t Ignore

In the past 13 months, I’ve taken over 1,600 calls with tech and B2B service-based founders. These aren’t small startups—they’re businesses pulling in anywhere between $500,000 to $3 million in sales annually. And yet, despite their revenue, I’ve said ‘no’ to over 90% of them.

Why? Because chasing big revenues doesn’t impress me anymore. I’m after profitability, and I want it with the least time and resource input. If I can’t get excited about your product or don’t see you as someone I’d want to share a beer with, we’re not doing business together. Period.

The 2 Deal Breakers Every Founder Should Know

Over time, I’ve learned that saying ‘no’ isn’t just about filtering out bad fits—it’s about upholding a standard for partnerships that can actually succeed. When I say ‘no,’ it usually comes down to two main reasons:

1. Your Product Doesn’t Excite Me—and It Won’t Excite the Market Either

If I can’t get fired up about your product within the first 20 minutes of our conversation, it’s a massive red flag. I’ve got to be able to see, almost immediately, how I can help you craft an offer that resonates with your target market. If I’m struggling to pinpoint that, the market will too.

Let me be blunt: if I can’t visualize a clear path forward in those first few minutes, it’s probably not there. And if the offer isn’t clear, neither is the demand.

2. You’re Not Ready to Scale—Because You Don’t Know How

This is the tough one. Most founders I turn down aren’t ready for growth because they don’t have a solid operational foundation. I’ve spoken to far too many founders who have bold dreams of doubling their revenue in 12 months but have no clear roadmap to get there. They want to scale, but their systems, processes, and mindset are stuck in survival mode.

When our partnerships involve a revenue share, we audit everything. And if you’re disorganized or don’t understand the intricacies of your own business, that’s a sure sign you’re not ready for the pressure of scaling up.

A Founder's Warning: The Stakes are Higher Than You Think

Most people think revenue growth is the endgame, but I’m not impressed by the big numbers. It’s about efficiency—driving profits without burning out your resources. And for that, you need two things: a product people care about and a founder who knows how to get it to them. If you’re missing either of those pieces, no amount of revenue will save you.

It’s time to ask yourself the hard questions: Is your product truly something the market wants? Are you the type of leader who can take it to the next level? If not, I’ll be one of the first to tell you that we’re not a good fit—and it might be time to rethink your approach.