If your ever look for investors for your business (VCs, Angels, etc), you’ll notice 2 things they want (or strongly prefer):

  1. Full time commitment to your business’ success.
    (Are you All In?)
  2. Full monetary investment. You need to have at least some of your money on the line.

Now, through this, beyond trying to maximize return on investment and test your willingness to take risks, investors are also getting at something else.

The general thinking is, if you’re backed in a corner with your money, mortgage and time on the line, your only choice will be to put eveything you have to succeed; the more you have to lose, the hungrier you will be.

You may not agree with the logic (I don’t) but, it’s best to know how investors think if you plan to deal with them. Be ready to sink with your business.