My apologies for my two day silence, but I wasn't in a good place. However, I'm making the effort now because you can't live in the past - you shouldn't want to, even if you could.
But that's just what you have to do is climb back on that horse and keep riding, even if you take a little time to wallow in the trough of self-despair, gloom, and pity.And by climbing back in the saddle, I mean take that story/novel and send it somewhere else right away. No time to mourn, you have business to attend to.
My philosophy is this - everything happens for a reason. No, you don't always know right away what that reason is. Sometimes you never know, sometimes you do (such as the publisher who turns out to be shady and you're more than grateful to have dodged the bullet because they rejected you) You just need to have faith in the fact that it wasn't meant to be and move along, find what is meant to be.
Check with Preditors & Editors too, another invaluable tool, as well as Piers Anthony's site. I know I do. Check the would-be publisher's site. How open is he in discussing what he wants and what he'll give? Does he offer a sample contract to be viewed? Does he answer questions openly and honestly? What about the covers? Are these covers you'd be proud to have on your book? A cover can make or break you, a bad cover just as easily as bad editing. Look at the books he publishes. Does yours fit with them? Keep in mind that his readers may come there for a particular type of book. If yours isn't one of those, you may not thrive there, no matter how good your book.
Most of all, though, despite the rejection which is an inevitable part of the writing process, do not give up. Keep on writing. Nobody does it quite like you, and there is no better you than you. And remain open to the possibility that self-publishing is the route to go. It's not for everyone, granted. But it is an option.
Until next time, take care!