What I’ve noticed is that the biggest early risk for first-time founders isn’t failing fast, it’s spending too much before learning anything real. An MVP keeps that in check. By forcing focus on the core assumption, it limits how much money goes into unproven ideas and keeps the learning affordable. Instead of locking yourself into a full build, you buy clarity with a smaller, controlled investment.
I also think an MVP quietly improves how financial decisions get made later. Real user feedback cuts through guesswork and makes it harder to justify unnecessary features or premature scaling. It turns conversations with investors and teams from optimism into evidence, and that discipline tends to stick as the startup grows.
Recently, I stumbled upon an amazing article on this which is worth reading:
https://www.tumblr.com/startupblog/808067297498595328/how-mvp-safeguards-startups-financial-interests