There will never be enough capital to satisfy all the world’s entrepreneurial hopes.
Therefore financiers ration money. Lenders reject weak deals and offer loans for startups mainly when they are well collateralized or the loans are guaranteed by strong parties, such as the federal government. And early-stage VCs, who ration money for high-growth ventures, fail in 80% of their investments. About 1% are home runs. Without home runs, early-stage VCs fail. So VCs are very careful and ration their money where there is proof of high potential, which is mainly after Aha!