Many startup fundraising pitches focus on the product. 

It’s important for the investor to know what the product is and its basic functionality. 

The investor is also interested in how the business will scale.

Instead of describing the product in great detail, use that time to show scalability.

Here are some key points to show how your startup is scalable:

Show how the process for buying and using the product will scale.

This includes the business model and how the customer will discover it.

Also, show how the product usage will spread from one user to another.

The virality and the monetization model give the product scalability.

Consider how to build virality into the product so it’s easy to connect the product to potential new customers.

To track usage, it’s best to connect the product to the web.

This also provides a method for upgrading the product and providing support.

Scalability means the product can grow and generate revenue faster than the cost of selling and supporting it.

Include scalability in your startup fundraising pitch.

 

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let’s go startup something today.
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Thank you for joining your host Hall T. Martin with the Startup Funding Espresso — your daily shot of startup funding and investing.
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Hall T Martin is the director of Investor Connect, which is a 501(c)(3) nonprofit dedicated to the education of investors for early-stage funding. All opinions expressed by Hall and podcast guests are solely their own opinions and do not reflect the opinion of Investor Connect. This podcast is for informational purposes only and should not be relied upon for the basis of investment decisions.