I’m pondering the feasibility as a first-time founder of trying to secure VC funding for an idea that’s still in the conceptual stage, pre product and pre revenue. I’m based in the UK is this impossible in the current economic climate. Has any one successfully raised funds at this early stage? If so what was the journey like, what factors do you believe contributed to your success? Or is this something founders with a successfully track record can only do? Thanks

  • mikejackowski@alien.topBEnglish
    1·
    1 year ago

    Avoid seeking VC if you’re pre-revenue/pre-product. Money isn’t your immediate need.
    Gather potential users for customer interviews (search “in-depth interviews”). Conduct 6-8 to identify patterns and focus on pain points.
    Next, build an interactive prototype for user testing.
    Set aside $1000 for ads, build a landing page, and create a waitlist.
    Then, consider approaching angel investors.

  • dalehurley@alien.topBEnglish
    1·
    1 year ago

    The current situation is extremely difficult for anyone, even the experienced ones. Many VCs are bedding down and supporting their current portfolios.

    I won’t say it is impossible.

    I will ask:

    • do you absolutely require the money right now?

    • can you do anything to validate the market?

    • can you delay raising till the market comes back?

    • can you work on the project without funds?

    • can you take the idea to an incumbent who could sponsor it as a side project/ joint venture?

  • drunk_banker@alien.topBEnglish
    1·
    1 year ago

    We’ve got a prototype, a very strong pipeline, and a strong team with founder/market fit, and it’s been a very long process of building VC relationships, bootstrapping, and taking in small checks from F&F. I wouldn’t expect it to be easy, or for a bunch of cash to just start flowing in at once.

  • olliecampbell@alien.top
    BEnglish
    1·
    1 year ago

    Not impossible but very difficult in the current funding climate (in the UK at least).

    Have you thought about crowd funding instead?

  • Few-Blueberry956@alien.topBEnglish
    1·
    1 year ago

    Almost certainly no.

    From your parents? Maybe. From someone else’s parents? Probably not. From my parents? No. From a VC? No.

    That said, I have done it, but it was before this market environment. And I already had a (moderately) successful VC backed exit.

  • WallyMetropolis@alien.topBEnglish
    1·
    1 year ago

    Sounds like you don’t want VC money, you want Angel or Seed money. Yes, it’s possible to get a bit of capital pre-product on a SAFE or convertible debt but doing so will really heavily depend on your network. Do you know people who write checks who think highly of you?

  • VLucky-Sam@alien.topBEnglish
    1·
    1 year ago

    Anything can happen, but unless you’re in the same league as the Mistral AI founders (0.001% of founders), you’re likely to only get NOs.