According to Brett Hurt, Former CEO of Bazaarvoice most of the Austin entrepreneurs are lacking mentorship and money to be able to move to the next level. When you are first starting out you are basically a consultant with a special skillset. As you are able to turn your skillset into a product you typically need capital and mentors to help you develop and and grow.
A common mistake made by a lot of newbie entrepreneurs when trying to raise capital is that they don’t really understand how much money they are going to need AND they don’t know what to do with it once they have it. Finding good mentors who have been through this process can help them avoid potential mistakes and pitfalls.