Is Your Early Stage Startup Seeking Funding?

Here in Silicon Valley, and probably everywhere in the world these days, Angel Investors and Venture Capital Funds are no longer willing to fund what they call “The Experiment”.

The experiment is to find out if real businesses and or people are willing to pay real money for whatever it is you think there is a market for.

Too many investors have lost too much money on startup entrepreneurs who did the experiment with “other people’s money” and hence did not do what I’ll call a “cost effective” experiment.

Today, as a startup entrepreneur you are expected to fund this experiment and the purpose of this switch is to: 1) Push this this risk onto you, and 2) Force you to think hard about how you structure that experiment so you do the cheapest experiment you can envision.

If You Want Investment, You Need Traction

You want investment? You MUST demonstrate traction.

Today if you want investment in your early stage startup, you MUST have real customers and real revenue.

Of course you need more than JUST traction, but without traction you won’t get funded.

How do You Get Traction?

Although the two words I’m stating is an over simplification, the answers are: Marketing and Sales.

As you know marketing is the process of getting your product or service to be known in the market place.

There are many, many ways in which you can and should do this.

There is however ONE which is far superior to the others but is sufficiently new that most early stage startup entrepreneurs overlook it.

For more information on What, Why, and How, please read the next post which is titled “Traction for Your Early Stage Startup Attracts Investment Funding“.

This New Things Works Great!

When you need greater visibility for your startup, you should learn more about it.

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