If you are trying to get your business or your new and exciting product off the ground and seek to spark the attention of some potential investors, then there are a few things about your founder experience you need to know.
Investors aren’t just going to give their money away, they will probably give you a rigorous grilling session to get as much information about not only just your product or your business, but all about you and your past experiences of running businesses or releasing new products.
Do you have a proven track record of success? Do you have experience releasing a new product service? First time? These are all the important things a potential investor will want to know.
Why is Your Founder Experience Important To Investors?
It is common practice for investors to want to learn about their past experiences. Investors want hard evidence that you have the ability to deliver a world-class product. A big must for many investors is that the founder of the product service actually has relevant experience in their niche.
This is important as it helps to show that the founder knows how their product works, making it not only easier to explain to investors but also helps to show that the founder has confidence and passion for their product. This also leads to having past experiences of successfully delivering products in a particular area.
If you have done this before and seen a great return, then investors are more likely to have faith in the product and offer up some cash for investment.
Investors want to invest in founders who have a proven track record of having a successful entrepreneurial mindset. Qualities such as the ability to remain persistent and being able to handle constructive criticism as well as having the ability and creativeness to produce a product with very little resources or seed money at the founder’s disposal.
Why Are Startup Investors Important?
For many small businesses or entrepreneurs trying to get their product services on the market, they will require some seed money from startup investors. This is usually a small, initial portion of money allocated to help get the product off the ground.
Funding from startup investors is often crucial for many founders trying to develop and release a product service. Many founders don’t have very many resources at their disposal to begin with, making it hard to initially invest in the product in terms manpower and early development.
Startup investors are important to help give a founder’s product service a fighting chance on the market, and to part with their investment, they will want proven evidence that the founder is passionate about the product. Having some form of evidence that the concept is valuable is vital. Founders will also need to show that there is a gap in the market for their product service.
Founders who have previously successfully released a product service or have experience creating a product service will look much more attractive and safer to many startup investors.
Source: https://hbr.org/2017/06/what-does-an-aspiring-founder-need-to-know
Source: https://hbr.org/2017/11/are-you-suited-for-a-start-upn