The Jockey, the Horse, and the Track

How Investors Evaluate Startups

Author

Ashish Kumar
March 07, 2025 • Estimated Reading Time: 3 minutes

Ever wonder why some startups get funded while others—equally good—struggle? It’s not just about the idea.

Investors evaluate startups like a horse race, focusing on three key factors: the Jockey (team), the Horse (product), and the Track (market).

If you’re only pitching your product, you’re leaving money on the table.

Understanding this framework can help you craft a pitch that speaks directly to what investors care about.

The Three Investment Lenses

The Jockey – The Founding Team

Investors who focus on the Jockey believe that great founders make great companies, regardless of the idea. They look for:

  • Experience: Have the founders built or scaled a company before?

  • Domain Expertise: Do they understand the industry deeply?

  • Resilience & Adaptability: Startups face setbacks—can the team pivot when necessary?

  • Team Strength: A solo founder may struggle; a strong, complementary team is a plus.

If you’re pitching a health-tech startup and your team includes a doctor, a software engineer, and a business strategist, you’re likely to score high on the Jockey factor.

The Horse – The Product/Idea

Investors who prioritize the Horse care most about the product and its market potential. They ask questions like:

  • Is there a strong product-market fit?

  • Is this a billion-dollar opportunity?

  • Is the product innovative, defensible, or unique?

If you’re launching a new AI-powered financial assistant, investors will want to see proof that users love it and that it solves a real pain point.

The Track – The Market

Some investors bet on the Track, meaning they care most about the market conditions. They look at:

  • Market Size: Is this a big enough opportunity?

  • Trends & Timing: Is now the right moment for this idea?

  • Competition: Are there too many players already?

  • Profitability Potential: Are the margins good, or will the business burn too much cash?

If your startup is in a rapidly growing industry like climate tech, you’ll likely attract Track-focused investors looking to get in early.

How to Use This Framework in Your Pitch

Investors usually have a preference for one of these categories, but most care about all three. Your pitch deck should address each factor:

  • Jockey: Highlight your team’s experience and why they are the best to execute this vision.

  • Horse: Show how your product is solving a massive problem with a scalable solution.

  • Track: Demonstrate why this market is the right place, right now, for your startup.

Action Steps:

  1. Assess your startup. Which of the three categories is your strongest? Which needs improvement?

  2. Tailor your pitch. If meeting an investor who values the Jockey, emphasize your team. If they love the Track, talk about market trends.

  3. Back it up with data. Show traction, revenue growth, user adoption—whatever proves your startup is worth the bet.

  4. Make it balanced. Even if one area is your strength, ensure you address all three in your deck.

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