Is your Mobile APP fundable?
Thoughts from the team that won Google’s Android Developer Challenge and built the first mobile app for Android…
I am convinced that anyone can get anything funded if they try hard enough. It is a truly magical time in history where capital is readily available to anyone willing to raise it. That being said if you’re trying to launch a startup based on a mobile app there is a simple test you can take to see just how hard it is going to be to raise seed capital. Answer this one question:
How many technical co-founders work full-time for your startup?
- None: Your plan is to outsource software development. You’re going to have a hard time getting experienced investors to take you seriously. Reconsider this plan and find a co-founder who can code.
- One: Find another technical co-founder. Experienced early stage investors are going to want to see at least two technical co-founders.
- Two: You’ve got a great chance of getting your startup funded within a reasonable amount of time and at a decent valuation.
- Three: You’ve got a great chance of getting your startup funded within a reasonable amount of time and at a decent valuation.
- Four/Five: You’ve got too many cooks in your development kitchen. Think about voting one or two people off the island before you start looking for funding. Experienced investors will be weary of startups with more than three co-founders.
All of that being said, there are lots of examples of startups that used outsourced development including Slack, Fab, Skype, Klout, AppSumo, Staff.com, Branchout, Github, Basecamp, AlertBoot, MYSQL, and SeatGeek. Of course it helps if your name is Stewart Butterfield and your last startup was bought by Yahoo…
About The Author
Alexander Muse is a serial entrepreneur, author of the StartupMuse, contributor to Forbes and managing partner of Sumo. Check out his podcast on iTunes. You can connect with him on Twitter, Facebook, LinkedIn and Instagram.