Professional Documents
Culture Documents
The new start-up funding reality is you have to show TRACTION TRACTION = SALES Revenue = INVESTOR interest = get the MONEY
Everybody has a product/service idea but most entrepreneurs focus on developing the product/service thinking if we build it they
Can it scale?
Step 1
Opportunity Innovation Customer
Startup Checklist
Where does the idea come from? Where is the innovation? Who is the User/Payer?
Competition
Sales Marketing: What does Biz Dev do?
Business/Revenue Model(s) How do we organize to make money? IP/Patents Regulatory Issues? How and how long? Time to Market How long does it take to get to market?
Product Development Model How to you engineer it? Manufacturing Seed Financing Follow-on Financing What does it take to build it? How much? When? How much? When?
Liquidity
Step 3
Product Dev.
Alpha/Beta Test
Feedback
Company Building $$$$ Customer Discovery
Validation
Customer Need
Validated
Traction
chasm
Step 4 Know Your Customer - Questions What are your customers top problems? Does your product concept solve them? Do customers agree? How much will they pay?
Step 5
Iterate
Until you cross the chasm and validate market need. Traction comes after proof of sales. It is a strategy not a tactic.
Increasing population of affluent singles over 40
Define the market landscape to represent reality. Emphasis is on learning & discovery before execution (or it could be your execution).
Its hard work and usually you need outside help
Mind2Net, Inc. 2011 all rights reserved
Step 6
Put an ad out for the talent you need to succeed Offer equity
There are many organizations with talent that you can tap for free (Crunch Base, Score, SBA, Start-uppers, FB,
LinkedIn, search)
Step 7
Funding
Make a video Pitch Post/Pitch to Angellist, Keiretsu, Y-combinator, Crowd Funding, Golden Seeds, Fund Me, Band of Angels, Norcal Angels, Institutional investors, Private Placements, get out here
Step 8
Financials
3Year P&L summary, scaling, ROI, 3yr P&L worst case, and cap table 2011 financials 2012 financials 2013 financials 3 Year cash flow summary, worst case and expansion cost summaries
Human Resources
Sales and engagement overview Contract and payment terms Business process flows Expansion plan overview Position descriptions and training overview IP product application(s) IP algorithm Network architecture Contingency planning IP management and protection Legal representation and trademark Data Privacy Policy Hiring profiles and policies Compensation structure Incentive Comp. structure Benefits Policies & procedures Code of conduct Records Privacy Policy
Market Research
Who is our customer? Current market penetration and engagement summary Competitive analysis SWOT TOWS analysis Competitive landscape Scatter diagram Focus group research Brand Beta test interview notes Partners News articles
Mind2Net, Inc. 2011 all rights reserved
Investor Relations
Step 9
Company Building
Is your team right for the stage of company? Does sales growth plan match market? Who/How will drive innovation? Does burn rate match revenue model?
From stealth start-ups to cloud commerce to going businesses - East Bay Scores experienced counselors can add value in Starting Running
Growing
Your Business. Call us at (510)-273-6611 info@eastbayscore.org
Mind2Net, Inc. 2011 all rights reserved