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In the past I've done something similar where I asked potential customers to pay me to build a product and learned, before I wrote a line of code, nobody wanted

by SMrF 16y ago

In the past I've done something similar where I asked potential customers to pay me to build a product and learned, before I wrote a line of code, nobody wanted what I was selling. On the other hand, I've run into a situation recently where this didn't work as I expected. My current project is sold to businesses. When I asked a few of the businesses I was talking to if they would pay me the price I was going to charge for the service to actually make the product, something strange happened. Even though the amount of money I was asking for was quite small this request still went through the entire purchasing apparatus of the business. I figured the manager I was talking to could just write me a check, but I was wrong. Long story short they wanted to own a part of the business if they payed me money to make it, so I opted to not take their check. I figured this was good enough validation and I'm plowing ahead on development even though I am a tad worried about what my sales cycle is going to look like. But I never would have learned this if I hadn't straight up asked for money before I even built it.

jonknee 16y ago
I've had success going the other way--having a meeting about making software for a company and then figuring out it makes more sense if I retain ownership and sell it multiple times. They save money up front and I can get paid while still having something to sell down the line. Everyone wins.
- geoffw8 16y ago
  I agree - but - devils advocate - possibly a bit of a grey area. I agree its probably the best way to build software people need. If they'd contacted you, paperwork was involved blahdey blah, they might feel it was their IP.
  - jonknee 16y ago
    It's all above board--I wouldn't do this without having them fully aware. It's a good way to get into SaaS too, a lot of companies have an easier time justifying monthly fees than up front.

by SMrF 16y ago

jonknee 16y ago

I've had success going the other way--having a meeting about making software for a company and then figuring out it makes more sense if I retain ownership and sell it multiple times. They save money up front and I can get paid while still having something to sell down the line. Everyone wins.

geoffw8 16y ago
I agree - but - devils advocate - possibly a bit of a grey area. I agree its probably the best way to build software people need. If they'd contacted you, paperwork was involved blahdey blah, they might feel it was their IP.
- jonknee 16y ago
  It's all above board--I wouldn't do this without having them fully aware. It's a good way to get into SaaS too, a lot of companies have an easier time justifying monthly fees than up front.