“In practice we have found that if you only ask one question, ask that.”
As most CEO salaries are low, the answer has very little information value. Adding numbers from that chart, ~8k / 11k founders surveyed were making do with less than 50k/yr.
Looking for the top 10% of businesses by asking a question that only discriminates against the bottom ~30% is better than nothing. Assuming this gave no false negatives, it would increase the investor's hit rate by ~43%.
Any lower than 50k and a founder is either independently wealthy, living a pauper lifestyle (and being stressed out instead of concentrating on their startup), or using an expense account. So the positives don't all mean the same thing. If you're independently wealthy because of a previous success, your odds are already much higher. A person stressed out about money however is likely to make really poor decisions.
As most CEO salaries are low, the answer has very little information value. Adding numbers from that chart, ~8k / 11k founders surveyed were making do with less than 50k/yr.
Looking for the top 10% of businesses by asking a question that only discriminates against the bottom ~30% is better than nothing. Assuming this gave no false negatives, it would increase the investor's hit rate by ~43%.
Any lower than 50k and a founder is either independently wealthy, living a pauper lifestyle (and being stressed out instead of concentrating on their startup), or using an expense account. So the positives don't all mean the same thing. If you're independently wealthy because of a previous success, your odds are already much higher. A person stressed out about money however is likely to make really poor decisions.