By Bryan Watson
Naval Ravikant of Venture Hacks and AngelList was quoted in VentureBeat in an article called The Anatomy of a Fundable Startup. I am constantly asked, “what do I need to have to get funding” and, in this, Naval hit the nail on the head. I usually stick with “team, technology, and traction” but he has added a few extras that I quite like. Naval’s 5
main qualities and a few quotes about each include:
- Traction – “Traction trumps everything” “You want to have about 20% a month growth to look like a hot company”
- Team – “There’s not a lot of room for non-technologists. One seller, and the rest builders” “Recruit only the best. And if you can’t, you’re not ready. It’s that simple”
- Product – “Most angels will loath to invest before the launch.” They can usually just wait.
- Social proof – “It matters, but it’s a bit overrated” “If you have to rely on social proof to get funded (in lieu of other metrics), I question whether you have a great company on your hands”
- Pitch/ Presentation (this is the least important aspect)
Reposted from National Angel Capital Organization
Throughout his career, both in Canada and the UK, Bryan J. Watson has been a champion of entrepreneurship as a vector for the commercialization of advanced technologies. Upon his return to Canada in 2004, Bryan established his venture development consulting practice to help emerging-growth companies overcome the barriers to success they face in the Canadian commercialization ecosystem. Visit Bryan’s blog and the National Angel Capital Organization.