The song however, is unlike anything this man has ever heard. It's unusual, and very infectious. It's raw, but it has something about it that won't let go. Because it's a hit song, not a close call. The first demo had everything going right for it but the song.
Record companies are in business to make money.
They bet a portion of the farm on every release. You can bet dollars to donuts that they would much rather bet on a hit song than a demo with great engineering or great production. Buy yourself a home studio system that you can afford, and learn to use it well. Read everything you can get your hands on to get yourself up to speed with your gear. Listen to every record that you love.