You’ve seen it all if you’ve spent time in startup circles.
A founder with a promising idea. A pitch deck polished to perfection. A few warm nods from accelerators or angel investors. Some grant money. Maybe a local press feature.
It looks like progress, but it isn’t.
They haven’t shipped anything. They haven’t talked to 10 ideal users. They haven’t made a stranger pay for a real solution.
But still, they say: “We’re pre-traction but on the cusp.”
One of the most common early-stage startup mistakes is the drift into illusion.
Let’s unpack 7 of the most dangerous traps founders fall into before they even realise they’re stuck.
1. They Fall in Love with the Narrative, Not the Customer
The founder’s story becomes a performance: “We’re building something big. Game-changing. Visionary.”
But the product doesn’t move. No one is using it. Nothing is shipped.
Why? Because the story became a substitute for substance.
Founders become pitch-perfect, not product-fit.
What to do instead: Build something small that gets in front of real users, fast. Let their confusion, feedback, and indifference shape what’s next. That’s where product-market fit starts.
2. They Treat Praise as Progress
A nod from an investor. A grant from an accelerator. A few LinkedIn likes. A mentor who says, “You’re onto something.”
All this feels good. But it’s not traction.
Encouragement creates a false signal of product-market fit.
What to do instead: Your idea isn’t real until five strangers have paid for it without being asked, nudged, or cajoled. That’s your baseline.
3. They Avoid the Hard Conversations
Many early founders never talk to people who could actually say “no.”
They skip Jobs-to-Be-Done (JTBD) customer interviews. They don’t map the Four Forces of Progress. They rely on second-hand assumptions and personal pain.
They don’t really get a deep understanding of their users’ needs, pain, and struggles.
What to do instead: Talk to people who’ve never heard of you. Ask them about their struggles. Actively listen. Let the truth burn away your assumptions.
4. They Mistake Busyness for Momentum
They’re always doing something—reworking the deck, tweaking the landing page, going to events.
But what’s actually changed for the user?
Business plans improve while the product stagnates. Traction becomes an afterthought.
What to do instead: Ship something broken. Test something uncomfortable. Measure what moves. Momentum means real users making real decisions.
5. They Think Raising Solves the Problem
One of the deadliest early-stage startup mistakes is believing that fundraising enables traction.
No. Traction enables fundraising.
They claim they need investment. But they can’t show traction. Worse? They claim that investors in the U.S. will get them, and they should raise there!
What to do instead: Make earning your default mindset. Ask: “What can I prove for £100?” not “How do I get £100K?”
6. They Fear Focus More Than Failure
“I don’t want to narrow too early.” “What if I miss a bigger opportunity?”
So they try to build something for everyone, and learn nothing.
Fear of picking one audience masquerades as ambition, but it blocks learning.
What to do instead: Focus isn’t a risk. It’s a gift. Pick one painful job. One specific user. Build for them like no one else is.
7. They Avoid Accountability
Many founders won’t let anyone challenge their thinking.
They dismiss coaching. They run from strategic feedback. They say they’re protecting vision, but often, they’re protecting ego.
Some founders avoid mentors or expert critique because it threatens their self-image.
What to do instead: Surround yourself with people who’ll call your bluff. The best founders run toward uncomfortable questions, not away from them.
Bonus: 8. The Ecosystem Makes It Worse
The startup world rewards optics over outcomes. Founders get grants for being promising. Accolades for being visible. Advisors want to stay liked, not confront hard truths.
And so, years pass with branding, pitch decks, and a flame kept alive by small wins.
The system sustains the illusion, not the business.
Want to Avoid These Mistakes?
At Unlock Growth, I work with early-stage founders who are ready to:
- Escape the ecosystem echo chamber
- Get real traction through JTBD interviews and Four Forces
- Build a sharp strategy and testable path to product-market fit
- Grow without fluff, noise, or delusion
Drop me a line if you want a second brain, a strategic partner, and a reality-check operator to help you build something that works.