Reasons Why You Won’t Get Funding For Your App
The process of securing app funding usually comes down to just one simple thing: preparation. How prepared are you? You need to understand that you will never be too prepared. Do you believe in your idea? Do you feel confident enough to present it to investors? Have you done your homework? Good ideas are a dime a dozen these days. Investors know this, so they will not be impressed by your amazing revolutionary idea. Instead, you need to convince them that you can deliver it. Otherwise, your app will not get a single cent from them. Here is a list of reasons why you won’t get funding for your app.
1. You Cannot Get Your Idea On Paper
If your idea is only in your head, no one will pay you for it. Write down your app idea and elaborate on it. Do you have an app business plan? What is your unique value proposition? What is the target audience? Do you have a marketing strategy and a financial plan? How about your management team? You need to cover all your basic bases so that when your investor asks you a question, you can prove to them that you have carefully thought everything through.
Present your business plan to your investors and they will see that you have prepared really well for this and that you pay attention to details. This is a vital step in convincing them to give you their money.
2. You Do Not Have A Pitch Deck
A pitch deck is a summarized version of your business plan. It is usually no more than 10 pages or slides and is summarized and to the point. A one or two-page pitch deck is even better. Communicate everything you need to say within the shortest time possible and you will portray yourself as confident and a straight-shooter. Not having one, means you have to convince your investors with a 50-page slideshow with graphs and elaborate explanations. Most investors will be bored by the time you get to slide 15, and a good idea will quickly lose potential investors.
3. You Do Not Have A Website And Domain Name For Your Product
Your app needs to have an accompanying website that further summarizes your pitch deck. Having a custom domain and website will also make you look more legit. Furthermore, a business email looks way more professional than an @gmail.com email. You can easily create a website using Squarespace or WordPress with zero expertise, less than an hour and for extremely cheap. Don’t be lazy!
4. You Have Not Branded Your Product
A simple logo can make a huge difference in making your app more marketable. Brand your product and make it stand out because your investors have a lot of amazing looking potential app startup investments to look through. You need to grab their attention from the word go.
5. You Do Not Have A Prototype
Today, it is easy to create a working mock-up of your app. Check out Sketch App or Proto.Io, platforms that allow you to create blueprints and interactive prototypes to help sell your product. Going to an investor without a demonstration of what your end product will look like is one of the ways of making sure you get no investment from them. Having a prototype also helps with getting the right estimates from developers, which will help you figure out how much you need from your investors to get your app up and running.
6. You Do Not Have a List of Potential Investors
You need to know how much funding you need. Lots of money is not always a good thing. How much money exactly do you need to get your idea started? Make a list of potential investors. Should you contact family and friends, pre-seed investors or Venture Capitalist Firms? What is your end goal? Narrow down on the ideal investor you want, and make sure their ideas are aligned with your own. Only then should you reach out to them using your company email and show them your site.
These are just some of the reasons why you will not get funding for your app. Do the opposite of these and you will be assured of securing investor funding for your brilliant idea. Remember, the more successful your startup, the harder the journey. Good luck!