For the company needing funds, a new positioning is mandatory. Venture capital is not a present. It is most often provided to persons who have exhibited the ability to produce wealth for someone in the past. For new entrepreneurs, raising money can take longer and be harder. The valuation of a company is of foremost importance.
Valuation has relevance at the time shares are sold in the company.
Let me illustrate these two factors. Suppose that there are two identical businesses. They are high tech, founded by entrepreneurs well versed in technical things, but not in marketing, distribution, and promotion. One is located in a geographical location where distribution for their product is well established. The other one decides to locate in a community that is well regarded for many reasons, but manufacturing product distribution is not one of them.