Sorry tech startup founders, but it's time for a bit of truth-telling. I'm speaking to those at the idea stage or finding first customers: Investment is wrong and you should not be doing it. Raising money is wasting your time.
This is especially true in the current economic environment. Every ounce of energy lost while chasing investors who are either too f*cking rude to reply (VCs) or are great people (angels) but sadly burnt with all their money tied up in the last batch of now zombified startups, is time YOU could spend actually building the product, yourself. And knocking on client doors, yourself. Yes. YOU.
?? You don't need investment to pay yourself a salary. Salaries come out of revenues. If you have no sales, you need to live off your 9-5 salary or that of your partner; or be lucky enough to have some savings.
?? You don't need investment to pay developers. Building MVPs has never been easier or cheaper for 'anyone' to do. Something simple to offer early customers a bit of value and a vision of what else is possible.
?? You don't need investment to recruit salespeople and iPads for them all and have them go and be the first people to actually try to make a sale. Every startup must have the founder make the first sales.
Raising investment nowadays is a minimum 6-12 months hard slog. It is painful. Most won't get a single penny even after all that time.
If you're a female founder you'll also have to endure the "sorry princess, you're gonna need a male co-founder" crap too.
And during that time, someone else in another town or on the other side of the world will be doing your idea and making real headway with your clients, while you churn out version 34 of your just-another-pitch-deck just so it can sit in an investor's in-tray 'til the end of time.
But, imagine the other way, with 6-12 months to focus on actual building and selling stuff, rather than chasing rainbows...
?? Imagine all the low-code/no-code solutions YOU can master to build your own basic website and app.
??Imagine all the posts YOU can write on LinkedIn to build your social presence amongst your target audience.
??Imagine all the sales calls YOU can make to close deals and get actual cash coming into the business. Yes, into the "business", because it is no longer just an idea.
And do you know the additional benefit of this approach? Investors will hear about you - trust me. And you may even get one or two reach out. Now who's the boss!?
Time to get creative.
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?? Steve Procter ? Tech Entrepreneur for 29yrs
?? Helping the Next Generation of Founders
?? ?????????????? ???????? ???? ?????? ???? 24?????? – ?????? ???? ??????
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