Remove Bootstrapping Remove Business Model Remove Sales Cycle
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Pricing determines your business

A Smart Bear: Startups and Marketing for Geeks

Your product is designed with natural tripwires to trigger other pricing ( Freemium model ), or not (business model left as an exercise to your future self). Requires venture funding because you have no income, and if you’re successful you’ll need lots of people and tech to run the business. Think: GoDaddy).

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Strategy Roundtable For Entrepreneurs: Exciting Companies Lined Up For Microsoft Startup Grant Finals

ReadWriteStart

They charge $9, $29 and $59 per agent per month and I am eager to see bootstrapped, scrappy Freshdesk morph their pricing structure to aggressively compete with them. The company already has paying customers and a validated business model. Zendesk is heavily financed by Benchmark and Charles River and has 10,000 customers.

India 123
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Strategy Roundtable: Do Not Spray and Pray

ReadWriteStart

With enterprise customers, this would result in tremendous exit barriers, making sales cycles long and involved, which a small startup will find hard to withstand. Her upcoming campaign of reaching out to 100,000 moms will be one of the first concerted efforts to actually test her business model. PowerStores.in.

India 114
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Lessons Learned: Validated learning about customers

Startup Lessons Learned

What matters is proving the viability of the company’s business model, what investors call “traction.&# Of course this is not at all true of many profitable small businesses, but they are not what I mean by startups.) People talk about funding funding funding, bootstrapping, etc., Fantastic post.

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How I invest as a pre-seed investor?

Hippoland

2) What is the business model and the potential unit economics? Certain investors tend to gravitate towards certain business models. But, I think business-model-gravitation should be a big factor in whom you decide to pitch. This one is pretty investor-specific. I’ve also done some rabbit deals.

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How I invest as a pre-seed investor?

Hippoland

2) What is the business model and the potential unit economics? Certain investors tend to gravitate towards certain business models. But, I think business-model-gravitation should be a big factor in whom you decide to pitch. This one is pretty investor-specific. I’ve also done some rabbit deals.

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Why an investor rejection isn't a knock on you

Hippoland

A business like that will just have a really hard time raising money at the early stages, and if that’s feedback you are getting from at least 2 people, you may want to consider adjusting your plan and raise from angels and/or bootstrap for a long time. It just means VCs will shy away from it. We are currently a small fund.