Startups are built on grit, vision, and — surprisingly — a lot of peer advice. In this episode, I sat down with Mallory Contois, Head of Community at Mercury and leader of Mercury Raise, their founder success platform.

Drawing from their latest survey, Mallory shares eye-opening insights about how early-stage entrepreneurs navigate challenges like fundraising, hiring, and customer acquisition.

Why do founders rely more on peer networks and podcasts like this one than their VCs for operational advice? Mallory explains the unique psychology that makes it hard for founders to admit uncertainty to their investors and why angel investors often provide more operational value than institutional funds.

We also discuss key survey findings, including the evolving AI landscape, the benefits of accelerators, and how lean teams are reshaping what’s possible in a startup.

Whether you’re building your first company or gearing up for the next funding round, this episode offers actionable insights and a fresh take on founder dynamics in today’s startup ecosystem.

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RUNTIME: 44:44 EPISODE BREAKDOWN

(2:19) A brief overview of Mercury and Mercury Raise.

(3:42) Mallory describes a day in the life of Mercury’s Community team.

(6:18) Do mature startups worry about the same things as seed-stage teams?

(8:41) “ We have a pretty good pulse on what people are talking about and what people are struggling with.”

(9:26) Nearly a quarter of all survey respondents applied to accelerators but were rejected.

(11:05) Why founders are more likely to get advice from this podcast than their VCs.

(13:39) “ The peer connection that founders have is almost trauma bonding.”

(15:02) “ We're seeing founders and investors giving the advice to be much more constrained in spend management.”

(17:43) Mallory describes different founder archetypes who are attracted to Mercury Raise.

(21:07) “ AI investments now are a lot more calculated than they were in the last couple of years.”

(24:45) For AI founders, building in a hype cycle “ can be simultaneously demoralizing and exciting.”

(27:17) How Mercury Raise creates value through community.

(29:54) Mercury’s Investor Connect program helps founders sharpen pitches.

(32:54) “Fundraising in general is just a black box.”

(36:13) Vibe check: “solo founders are actually becoming a little bit more common and a little bit more accepted.”

(37:19) ”Co-founder breakups — it's worse than the real thing.”

(38:02) Mallory’s advice for founders who are planning to fundraise in 2025.

LINKS

📓Substack: https://fundbuildscale.substack.com

📸 Instagram: https://www.instagram.com/fundbuildscale/

📥 LinkedIn:https://www.linkedin.com/newsletters/7249143254363856897/

Thanks for listening!

– Walter.