Sounds like a good reason to not go with those guys from Croatia
I think this notion that you have to suck up to investors and tailor what you do to jump through their arbitrary hoops is toxic.
Focus on making your business so awesome that investors see value and can't resist the opportunity. Everything else is hand-waving and cargo-cult thinking.
Unfortunately, there is a lot of cargo-culting, on both sides of the table (entrepreneurs and investors), regardless of the culture. Although the precise form may differ: in SV it's recently been "a billion dollar company" with hoodies and other Social Network copycatting (as Paul Carr nicely described), while in Europe (including Croatia) it's been Groupon and Zynga cloning (there are over 40 Groupon clones currently in Croatia only, which is one on each 100k people...).
Regarding cultural differences, in Croatia nearly everyone (over 30) owns their house or appartment; it is not customary to rent, and only students or those with no other choice do it. It's traditional that even young people enter 30-year property loans as soon as they get their first job; property is considered the only viable long-term investment.
People often seek some sort of security first, even young ones, and only then, perhaps, look to "play" with some kind of business idea, usually because it's fashionable and seems like it could be fun. So this question by the investors has the purpose to weed out such "fashion-followers" and find those really dedicated to their cause (it's not a silver bullet of course; it's one of a number of questions with the similar purpose). I don't know of any investors who would require that from their entrepreneurs.
I think this notion that you have to suck up to investors and tailor what you do to jump through their arbitrary hoops is toxic.
Focus on making your business so awesome that investors see value and can't resist the opportunity. Everything else is hand-waving and cargo-cult thinking.