Joakim Achren

Here are 50 reasons why VCs say NO to startups: Market & Opportunity Concerns1. Can't see a venture-scale outcome ($100M+ annual revenue potential)2. No clear user problem that is being solved3. Market timing seems wrong (too early or too late)4. No clear differentiation from competitors5. Me-too product without unique innovation6. Market is already dominated by well-established incumbents7. The market is too mature for new entrants8. Unclear go-to-market strategy9. Customer acquisition costs likely to be too high10. For later stages, not enough evidence of product-market fitTeam Concerns11. Missing critical team members (e.g., CTO, game designer)12. Lack of relevant industry experience13. No clear CEO among co-founders14. Team lacks business creativity15. Founders still working at other companies16. Founders taking massive salaries17. Insufficient founder commitment level18. Past startup failures without clear learnings19. Key team members living in different countries20. Team lacks technical expertise for […]

Photo by Markus Spiske on Unsplash In this article, I will explore the intrinsic motivations that drive kids to learn from apps without external influences like parents, teachers, or material rewards. As a parent of two boys, aged 13 and 9, I've closely observed their app usage and noted what motivates them and their peers. I strive to share meaningful insights here, and naturally, some patterns emerge from my experiences as both a parent and a developer-turned-investor. Kids education apps landscape Dividing the landscape of kids' education apps, we can categorize the end users into three distinct groups: preschoolers, elementary to junior high students, and high school to college students. Each group presents unique challenges, particularly in how users eventually graduate out of these apps, because they just age out. The key challenge lies in developing a high enough lifetime […]

Decoding VC responses - here's what they actually mean: "Let's keep in touch" = It's a NO. But they want optionality if you become hot later."Too early for us" = Either they don't believe in the space, or your team isn't experienced enough. It's anyways a NO. "Need to see more traction" = They don't have conviction in current state. Get them to be specific about what metrics would change their mind."Great vision, but..." = They don't believe you're the team to execute it. Or the market isn't ready yet."We need to see a lead first" = They're interested but won't take conviction risk. Good signal - use this to get other investors excited.Real talk: The only response that matters is a term sheet. Everything else is just varying degrees of "no" or "not yet."Pro tip: If they don't provide […]

🎮 The future of interactive storytelling is here! Imagine narrative games evolving into something entirely new: a perfect blend of Episodes and Choices style storytelling and AI-generated one-minute episodic video content. This isn't just speculation – it's happening right now across major platforms:📱 TikTok is already testing TV-like series with 90-second episodes, some titles generating hundreds of thousands of views behind modest paywalls ($5.13 for 10 episodes). Instagram creators are building millions of followers through episodic Reels, while YouTube embraces serialized content on YouTube TV.💰 The market is ready: Companies are investing millions in creator-hosted series, with shows like Third Cultures pulling 450,000+ views in their first episodes. When you combine this audience appetite with AI-powered interactive storytelling... the potential is staggering.🚀 Next frontier: Think TikTok meets narrative games, but powered by AI. Interactive video stories that adapt to YOUR […]

When VCs pass on investing, the most common reason cited is "market size isn't venture scale." But there's a deeper layer worth examining. While market size is indeed critical - you need a massive market to generate venture-scale returns - what often goes unspoken is the founder's capacity to capture that market opportunity.Think of it this way: you might be operating in a $50B market, but if your execution strategy, go-to-market approach, or leadership capabilities can only capture a tiny slice of it, the massive market becomes irrelevant. The best founders demonstrate not just market understanding, but also the strategic thinking, adaptability, and execution horsepower to dominate their space.This is why VCs obsess over founder-market fit. It's not enough to point at a huge market; we need to see the founder's ability to build and scale an organization that can […]

We at F4 Fund believe there are four major AI consumer opportunities for startups: A. AI Agents- Personal assistants reaching new levels of capability- Personalized and customized consumer experiences- Enhanced decision-making support based on preference- Think OpenAIs Operator but more convenient, personalized and made for consumerB. Generative AI- AI video, audio, photos, posters, etc. reach mainstream- Creating new forms of content with AI- Opening new creative possibilitiesC. Entertainment & Gaming- AI-enhanced gaming experiences- More engaging than traditional human-created contentD. The Consumer Robotics Frontier (not today but soon)- A possible market structure: Tesla robots (comparable to iPhone), and Chinese manufacturers (comparable to Android)- Software Platform: An "App Store" for robot applications emerges

Two weeks ago, my post about founder salaries sparked hundreds of comments. It clearly hitting a nerve in the startup community. Given the heated discussion, I decided to dive deeper into this nuanced topic. 💭 Here's what I've learned from both sides of the table - as a founder who started with an extremely low salary twenty years ago, and now as an investor:The foundational rule: Early-stage founders should aim for breakeven, not wealth. Your salary should cover:- Location costs (US vs Europe)- Family obligations- Housing essentials- Basic healthcareThree key factors that actually determine appropriate founder salary:- Company progress (revenue/user engagement)- Deal momentum (investor competition)- Founder track record🚩 Major red flag: Founders taking excessive salaries (think $400K) right after pre-seed funding. This signals misaligned priorities and sets problematic precedents for company-wide compensation.🔑 Key advice: Have transparent salary discussions with investors […]

I just wrote a piece on why Duolingo succeeds (and where the opportunities are) in language learning apps 🎮📱 I the piece, I'm breaking down what makes Duolingo work, and where new startups can find opportunities:1/ The Power of Game Mechanics- Leaderboards + league system drove 17% more learning time- 3x increase in highly engaged learners- Streak features + rewards keep users coming back- Former Zynga expertise in analytics drives optimization2/ The Reality Check- Most users treat it as a casual game, not serious learning- Example: Friend spent 2 years on Finnish, still struggles with basic conversations- Success metric: Making language learning a daily hobby vs. achieving fluency3/ Market Positioning MatrixTwo key axes to evaluate language learning apps:- Progress (study depth + learning progression)- Engagement (entertainment + stickiness)4/ Where are the opportunities?- "Hardcore" language learning remains untapped- Gap between casual […]

Startup fundraising lessons: 1. Common VC wisdom:- Raise for 18-24 months runway- Add 6 months for fundraising- Target 30% buffer for unexpected spend- But here's what they don't emphasize...2. The "hard truth":- You're not in the "money-saving business"- VC money = rocket fuel- Purpose is growth, not survival3. Signs that can spook investors:- <4 months runway when starting fundraise- Raising at same terms as last round- No clear path to next milestone- High burn rate pre-product market fit4. What actually matters:- Progress toward next round's metrics- Clear plan for use of funds- Ability to extend runway if needed- Strategic cash deployment vs. hoarding5. Common advice that's oversimplified:- "Raise when you don't need money"- Reality: Raise when you have momentumRemember: Your runway is countdown to either mega success or your next fundraise. Plan accordingly.

How to create your own angel investors? 1. The reality: There aren't many dedicated angel investors especially outside of Silicon Valley. Those who do angel invest are former founders/execs who get bombarded with deals and invest sporadically.2. Here's a proven strategy I learned from running a 200+ person angel syndicate from 2020 to 2023:Key steps to building your angel prospects list:- Identify experienced industry professionals- Approach them directly about investing- Target smaller check sizes ($1k-$10k)- Aim for multiple angels to reach your goal3. Critical success factors:Target alignment:- Mobile apps? Find mobile experts- Hardware? Connect with hardware veterans- Match investors to your specific market4. What makes angels say yes:- Clear use of funds- Specific support needs- Demonstrated progress- Founder commitment (built something first)- User validation5. Pro tip: Use SPVs (Special Purpose Vehicles)Benefits:- Combine small checks efficiently- Single cap table entry- Streamlined […]

My 2024 Annual Review and the key reflections for me. 1. Big wins this year:Made 11 new investments at F4 Fund, focused on attention-based businesses2 angel portfolio companies secured 8-figure follow-on roundsElite Game Developers newsletter hit consistent bi-weekly cadenceMajor sleep quality improvements2. Changed my mind about being "all in":Full commitment doesn't mean burnoutWeekends are for family & hobbiesQuality downtime = better performanceFound balance through music, football & Legos3. Learnings & challenges:Deep work suffered - need stronger boundariesGreat founders push through walls unapologeticallyContent quality fears held back publishing (lesson: consistency > perfection)Core values definition remains a key goal for 20254. Key insight from "Die With Zero" book:Don't defer life improvements waiting for "someday", rather,- Invest in quality of life early- Prioritize meaningful experiences- Balance possible frugality with living wellWhat did you learn in 2024?