Startup Funding Espresso – Pre-Sell Your Product To Raise Funding

Pre-Sell Your Product To Raise Funding Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Startups raise funding outside of family and friends after they have a product with some revenue. Founders who have a track record of building and selling startups can raise on an idea. Everyone else must validate the business before investors will consider funding it. Pre-selling the product is one path to funding a startup. This is commonly used in the crowdfunding space, where a founder raises funding to build and sell a product. The same concept can be applied to venture-level businesses. One can sign up customers with a $1K prepayment to be part of the product-building process. This works well for funding software startups. This creates a list of interested customers who paid something to engage with the process. In addition to a small investment, the founder could also ask for a half day each week to build the product specification and gain feedback on the results. Just as in crowdfunding, where the average investment ranges from $15 to $100, so in the tech space, one can sign up customers with a nominal amount of $1k to $5K. Consider pre-selling your next product to engage a customer base. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding. Let's go startup something today. _______________________________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.