Posts Tagged product

Lessons from Dropbox

I am a big fan of Drew Houston, founder of dropbox and here he (along with Xobni) tells their startup story. Very insightful and must-read for product/technology based startups!

I mailed Drew on whether his presentation was applicable only to US startups [obviously not expecting a reply back, since I am used to people not getting back to me :-) ] – but thoroughly, totally surprised, he got back to me!! saying….

And definitely needs to be agreed! It’s a great feeling when someone whom you regard as a source of inspiration takes some time off [even a couple of minutes] to get back to you!

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Startup Frenzy #3: Are you ready for the VC?

Ok, now that you have built a good team and done enough of market research, can you approach the venture-capitalist? Ideally, my answer would be a big NO! I did this mistake back in college, when I used to meet a lot of VC’s with bare presentations explaining them what exactly my product is, my target customers, etc.. Like how A picture is worth a thousand words, A demo is worth a thousand dollars!

A demo is worth a thousand dollars

Build the product

You need to have a working demo of your product.The ppt’s and flashy animations alone will not impress them. Your product needn’t implement all your features (obviously), but at least a bare framework showcasing your service. You need to instill a belief in the VC that you guys can build the product. A coveted degree (like a Phd, Masters,etc.) might give you an edge only if you are able to build the product, not before!

KISS – Keep it short and simple

Your demo/presentation should NOT last for more than 5-6 minutes. It should be slick and to the point – no boring graphs and long text! The VC must be raring to know more about your product after you are done.

Numbers and vision

More than the technology, a VC would be interested to know how much (and how?) you are going to make money. Here is where you can afford to be a little verbose, explaining your surveys, your initial sample set, how you intend to grow, your projected revenue, etc.

Most importantly, you need to have a vision for your startup – what do you want to ultimately be? and what’s the roadmap.

Well, whatever I have blogged is from my past experience and mistakes that I made. Hope it helps and get started! :D

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