Technology Startups – How to Go From Funding to Successful Exit
Launching a startup is exhilarating, but when it’s in an industry as established and increasingly competitive as technology, it can be daunting to say the least. Don’t worry though. This article will help you navigate the uncharted seas of startup businesses and give you an outline on how to get from the drawing board to your own actual company. It won’t be easy, but with enough tenacity and time investment, your startup dreams can finally become the real deal.
First and foremost, what are you doing here? This is one of the most important questions you need to answer for yourself and prospective clients because they will want to know. Stakeholders and investors can be (rightfully) scrutinizing, and it’s easy to get so caught up in logistics that you forget to contemplate some of the most basic questions. Whether it’s because you have background in development or programming and are inspired by an area you want to improve or have seen how well the industry is doing and want to climb aboard, know your facts and figure out how to present them in a manner that’s straight-forward, honest and engaging to anyone who asks.
How to Fund Your Startup Properly
You don’t need to take out thousands of dollars in loans and wind up further in debt than ever before your first client even walks through the door. Or you even have a door for them to walk through. Instead, you need to work in the industry that you’re trying to break into and find viable connections.
You can scout them on LinkedIn but before doing that, you need to narrow your search down to local investors. It’s fantastic if you have high hopes and can easily envision your company at the top of its game in the next 5 years, but startups need a specific audience and region to service, otherwise they can appear unfocused to potential clients and investors.
As to the actual method of fundraising, software tech startups come from many different backgrounds. Some people use their own savings, others turn to family and friends. Plenty of people turn to Kickstarter and GoFundMe, and there’s now even an app like Tinder called PIF for entrepreneurs and potential investors in a specific industry to connect and network.
Your First Clients:
Another reason why sticking to a local market can be so beneficial for tech startups is that it’s much easier to advertise directly to an audience. If you’re just another software tech startup that services the whole world, people on the Internet will have a much more challenging time finding you among the masses.
While it’s certainly possible to use job boards and forums to advertise your company outside of your area, sticking to a local region the first year or so of your business can help generate a buzz and gain referrals that will contribute to the validity of your brand image. When much larger clients start coming to you in the future and say, “Show me what you’ve done so far”, you’ll have no problem presenting them with a slew of successful projects and testimonials from satisfied customers.
Through digital marketing campaigns and referrals, tech startups are able to grow overtime from a couple entrepreneurs working from home to a well-established business that can hold its own in the tech industry. There’s always something new that a software development company can offer, and it’s your job to find that one niche you can perfect and give to your clients. Once you understand exactly what you’re most apt to give, finding the customers who are looking for exactly that will become much easier and help your startup flourish.