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I don't get what the other two people are contributing. Money? It doesn't sound like they are contributing any work. Also when you say money is running out, who
by Shindi 5y ago
I don't get what the other two people are contributing. Money? It doesn't sound like they are contributing any work. Also when you say money is running out, whose money? Your personal money? If you are doing the engineering work, you should be taking zero financial risk imo, since they are contributing nothing.
Your entire story sounds like a red flag but the biggest red flag is that I don't hear a single mention of your users. Why are you asking "idea guys" for validation, you should be talking directly to users no matter what stage of development you are in.
From what you wrote, I really don't think you should take a cash infusion when the money runs out, just move on and find better partners in the future.
Note to other software engineers being approached by random angel investors: If you are being approached by an angel investor, please please vet them to make sure they are willing to do work. Ideas are valued at ZERO. If they are not technical, ask them to make a no code demo -- literally anyone can do this.
- XE3BZiC5J4CAAx 5y agoIt's personal finances, I'm broke. I should leave? But then what, they gave me money and I still own the code. If I took the code it'd be unethical, but I believe in the project and don't want to let it go.
- Shindi 5y agoI mean, what is that code worth? Yes your time as an engineer is valuable. And your time building that thing was worth taking a risk and learning something, in my opinion. But you don't have a business if you (or they) haven't found users clearly willing to pay.
- XE3BZiC5J4CAAx 5y agoIt's definitely worth a lot more than what I got so far. These guys aren't scammers, they're just not very good at running a software project, and I was too desperate to take charge. Even 1/3rd of a good business is a hell of a lot better than 100% of a bad one, or never being able to get anything off the ground at all.
- Shindi 5y agoThat's the hard part of this whole situation, is that you weren't scammed, just had bad partners. Btw, I know what I'm saying sounds harsh, but I also have to say, mad props for taking this risk. Unfortunately I think it was a bad decision but the experience probably taught you a ton and still cheaper than business school.
- sjcoles 5y agoBe direct. "I am out of runway to continue the project. If we want to pitch this I will need a minimum x/per y with a,b,c travel expenses covered when meeting with potential investors. If they don't have money the project stops. Simple as that. The ownership of the code could be messy, review anything you have signed/agreed to.
- XE3BZiC5J4CAAx 5y agoThanks, I'll give this a try - nothing to lose really.
- carlosdp 5y agoTbh dude, I wouldn't even do this. The deal you described in the OP is a HUGE red flag, especially in this funding environment where it's crazy easy to raise money for almost anything. I would walk away and start fresh, this is a shit deal for you and if you continue with it, you'll get screwed over more 100%.
- mcv 5y agoWhy are you broke if there's an angel investor involved? Ask for more money or look for a different investor. Or just stop working on this and start working on something that makes you actual money until these two are finally ready to make it a 3-person effort.
- sli 5y agoI worked for a pair of founders that blew all their savings on the company even with an investor involved which taught me that some investors are just regular old scammers. I'm quite glad to be long out of that place. Once you're out of money, they get to dangle your own company on a stick, especially if they'd prefer to take a larger and larger piece of the company for themself. OP's situation feels worryingly familiar to me.