You've heard of M. Night Shyamalan, the director who made the Sixth Sense and Signs? While he may not have the name recognition of a Steven Spielberg or Alfred Hitchcok, for awhile he was viewed as the next great director by many Hollywood insiders. That is, until ten years ago. The New York Times business section ran an article about the director this week, and his refusal to play by the rules of the studios to finance his films, as well as the unfortunate result it's had on his career. Sound familiar?

What immediately came to mind while reading about Shyamalan's dealings with studio executives was the relationship's similarities to the entrepreneur-investor relationship. While the analogy isn't exactly perfect, it strikes me that Shyamalan's attitude toward his studio reflects the way a lot of entrepreneurs feel about their investors. Because you, the entrepreneur, conceived the idea for the business, got it started, and babied it, giving up any control to an outsider can absolutely suck. And having someone else make critical decisions about the future and direction of the business you started? Even worse.

Here's the bottom line though: if an investor funds your business you will have to give up some control. Depending on how profitable your business is, or how much an investor gives you, you may even have to give up a lot of control. While it's not an ideal situation for the entrepreneur, it's simply the way the game is played.

Think about it from the investor's perspective: why should they give a business money—lots of money—without being involved in critical decisions about the company's direction? Sure you may have a great idea, but that doesn't mean that the business can't flop if the wrong person is at the helm or if the wrong choices are made. That's a risk investors aren't willing to take—and trust me, if there's one thing that investors want to mitigate most, it's risk. Beyond that, there's a fairly solid reason that investors want to be involved in a business investment's major decision-making—they generally know what they're doing. Remember, there's no such thing is free funding—if an investor gives you cash, they'll want something in return. Often times, that's part of your business.