Need for validation
Investors hate risk. Remember the SaaS-acre? That brutal tech market crash wiped out countless startups and left investors wary. We've seen a lot of ideas crashing, and that means, now more than ever, remembering those lessons, investors are extremely risk-averse. They need assurance that your idea will succeed and make money. Here's how to prove your idea is worth their time and cash:
🦀 Validate early: Show potential demand. Get beta customers, create landing pages to test interest, and talk to potential users. These steps signal to investors that people want your product.
☄️ Demonstrate demand: Early customer interest means your product has a market. This makes future fundraising easier and boosts your valuation.
🌻 Show experience: If you've succeeded before, investors might trust you more. But even then, validation helps.
Yes, some unvalidated ideas get funded, usually by angels or through exceptional pitches. But why gamble? Validating your idea not only attracts investors but also confirms you're building something people need. Validate first, then fundraise. It’s the smarter path to success.
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