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Q: What are the top three ways to find funding for a new business? OP's answer overlooks the top one way to fund a new business: your first customer. Think ab
by edw519 16y ago
Q: What are the top three ways to find funding for a new business?
OP's answer overlooks the top one way to fund a new business: your first customer.
Think about it, most of us already have everything we need to go into a software business: a computer, bandwidth, a little gray matter, a little desire, and a decent chair. All that's really missing is a customer.
Find someone who is willing to pay for something, build it for them, and get paid. You've just knocked off multiple birds with one stone.
Funny how often this is overlooked.
- eugenejen 16y agoI guess for Richard Branson cases, the initial capital requirement for consumer oriented media/air line/mobile/finance ventures probably is larger than revenue from initial customers.
- regularfry 16y agoYeah, it's completely different when your first "customer" is in fact many small sales to consumers over several months after you've had to lay down the capital in the first place.
- fexl 16y agoYes. We started our hedge fund accounting business six years ago with one customer, and I still have a copy of that first check. I like what Branson says here: "I felt our limited capital kept us focused on finding the next great act, and ultimately this was a real contributing factor to our success." Our business may not be worth huge sums of money, but it pays the bills, and that makes it a prize indeed.