If I have the talents to build an MVP myself, should I hold off on a co-founder to raise capital and make some early hires?

A product is NOT a business … no matter how good that product is. A business has to be built around that product or concept. 

 

So, if you are good at product development, perhaps you need some support on the marketing/sales/commercial side of the venture.

Also, with most investors you are likely to have a better chance of getting funded if you have a co-founder. (Also… entrepreneurship is emotionally draining too, and hence getting a co-founder is a good idea.).

Remember, investors invest in the business case around a concept or product, and the ability of the team to implement that idea in the market. A good product is a good starting point, but neither a necessary condition, and certainly not a sufficient condition for funding. (Why do I say it is not a necessary condition.. because if you have a good product, it is obviously very good. But if you don’t have one, you can easily build one or get one built if you have the right business case that allows you to raise capital to build and market a good product.).

 

Advertisements

Author: Prajakt Raut

Prajakt Raut is the founder of Applyifi.com, and author of the book for startups - ‘Starting Up & Fund Raising’ Prajakt personal goal in life is to encourage and assist a 100,000 people to become entrepreneurs. _____________ Prajakt is the founder of Applyifi - an online platform that provides startups a 36-point scorecard and assessment report on the venture's investment readiness [www.applyifi.com], and helps them improve their odds of getting funded. Prajakt is also the founding partner of The Growth Labs, a platform where growth-stage companies get sharp, incisive advice from senior professionals and experienced entrepreneurs. [www.thegrowthlabs.in] Before starting Applyifi, Prajakt was the head of operations at IAN, founding member of a leading incubator, and the Asia-Director for TiE (2004 - 2007). Previously Prajakt had co-founded Orange Cross, a healthcare services company, and was part of the founding team member of Idealake Technologies. While in college Prajakt had founded a printing business and has spent over 10 years working in leading advertising agencies. Prajakt’s book, ‘Starting Up & Fund Raising’, helps startups understand an investor’s perspective, and helps them improve their odds of getting funded. The book also helps entrepreneurs understand the building blocks of a business.

2 thoughts on “If I have the talents to build an MVP myself, should I hold off on a co-founder to raise capital and make some early hires?”

  1. On a lighter vein, I thought for single entrepreneurs until they make that decision of partnering with a co-founder, a mentor is absolutely essential especially to play the role of a devil’s advocate and warn of the pitfalls much before things shape up!!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s