My pitch BLOWS - what are the top few questions I need to answer?

The top two questions I and my partners have when investing in a startup are the following:

  1. What differentiates your app and or business from similar ones on the market? Does your business idea have a plan to become profitable outside advertisement?

  2. Does your app and or business make a difference in individuals' lives?

If your business is an app similar to ones already existing on the market, then the question goes towards profitability. Do you or will you be relying on ads for income? Investors don't want to hear that now. Ad markets are volatile, and as we progress in tech, adblocking will become the norm to a degree on mobile devices. Will there be a subscription fee based service on top of a limited service? This is tricky. Your app could very well be the next big thing or complete shit. It can go either way. Investors want a convincing marketing pitch. They want to be told the future before they lay down the money, so to speak. If your app is something like Tinder, a dating app for youths, then profitability is slim. If it's a mobile CRM solution that can be accessed throughout the world with little to no limitation, then you could be onto something. Currently the market leader is Sales Force, but anyone who uses their SaaS product extensively will know it's a hunk of shit most of the time. We used it for a few months before bringing in Oracle. Which isn't a Rolls Royce in terms of CRM software that doesn't give you a migraine, but you get the picture here. Hopefully. A lot of new startups are looking for a CRM that works, is highly efficient, easy to use and costs less than the market leader(s) while being better. Not suggesting you do that, but just showing that some of the best ideas are right under your nose.

As above, does your app or business make a legitimate difference in people's lives? A dating, hookup or whatever type of app doesn't. It's for a quick lay, simple as that. A game, eh... Maybe an educational one for children with good, high quality DLCs. We recently passed on an app for the disabled, which used machine learning to aide them. It had good intentions, but machine learning is still fairly complex. You can write an awesome algorithm and collect data over the course of six months. Chances are high it's going to be crap data. There are investment firms out there that put millions in companies relying on machine learning 8 or more years ago, and they still haven't taken off. It's very expensive and time consuming.

Speak with your soul, albeit professionally. No one likes listening to a drawn out pitch. Speak with confidence and eloquence. If you have to, read a few marketing books to make yourself comfortable and approachable.

Oh, and as far are your beer ideas goes (I read your history), find what's missing in the market and or figure out how to make it more efficient. I like special beer as much as the next man. As a consumer and collector myself, there's a lot to improve in this area, mostly because everything is archaic.

/r/startups Thread