An investor will put money into a business that they think will give them a profitable return. To convince then you will need to explain why or prove that people with use your app in large enough numbers to make it investment worthy. Who are your target users? Why will they use use your app over...
I haven't seen a deal structured this way. Usually they get 6-10% equity I exchange for some small amount of money ( ~ $25k ) and tons of mentorship. 15% for $20k seems high ( you are valuing your company at $133k ) but there might be more to it. Accelerators are great specially for unknown foun...
Hi, I currently work at Idealab and the body of knowledge and level of support for entrepreneurs is outstanding. I worked at 3 start-ups prior to joining Idealab and feel like I've learned as much in the past year here as I did at any of the start-ups. Plus the people here truly want to help an...
I've used UserTesting (and its service Peek), as well as other user behavior analysis tools like HotJar, Crazy Egg, etc. To answer your questions: 1. Do you use such services? If so, what do you choose? // I use them to either confirm or reject hypotheses I have about my product's/business' pe...
Just remember equity is a form of value exchange, always remember if you don't like the numbers you hear, negotiate. Sometimes, you don't know what you can get if you don't ask, that goes for both parties. However, since you do not have a product and don't have real numbers, even small-scale, you...
More or less correct that in raising seed, that most companies that successfully raise, fall into two camps: either a conceptual raise (with little to no evidence) or a traction-raise. The conceptual raise is almost always easier but puts most emphasis on the founder(s) which means that without ...
Hi First of all, the fact that you are talking about market validation is great. I've seen so many startups invest time and money, only to find that no one wants/needs their product, or that they only want a certain aspect of it (whilst the startup spent money developing a whole bunch of other f...
What you've already done is a great first step. Here are two additional ways you can improve conversion: A) Right now you have two options - Free - $ + pro features To get more people to select option two, you can add a third option. This third option is a 'dummy option', you won't be expecting...
First of all, focus on the product, rather than the technology. When it comes to product, you need to identify a real customer pain or problem that is being unaddressed. The best source of inspiration are problems that you face for which you cannot find a solution. To evaluate if this is a real...
It's not that Canadian VC's are risk adverse as much as they are not well positioned to invest at the seed stage where risk is highest. Canadian VC's used to enjoy a supply/demand imbalance where they could rely on being able to have a high chance to participate in a great Canadian company's rou...