So you want to build an app? The benefits of going mobile and building an app to reinforce your company’s brand, or to use it as a new revenue stream, is immense. For any business, a mobile application is an investment. Building custom software that is responsive, functional, reliable, not to mention has a well-executed user experience can be costly. Here are some options to consider when you’re seeking to fund an app.
Crowdfunding
Kickstarter, AppsFunder, AppBackr, Indiegogo… there are
countless crowdfunding platforms to present your project to the world for very little cost. These services offer the advantage of giving you the platform to help market your project to a wider audience, integrate your project into your social media channels, and include video and other media to entice others to back you.
Like any marketing, you’ll want to fully understand your audience, have a clear idea of the needs your product will offer and also practice targeted marketing, to ensure that your idea is put in front of the customers most likely to engage with it.
Romancing an Investor
Getting an established investor on your side is one of the best ways to jumpstart your entrepreneurial venture. With the combination of personal interest, faith in your project, and the right business connections, getting your foot in the door through an investor partnership can lead you down a successful and promising route.
The catch? Investors hear pitches day in and day out. Your project and business plan need to stand out, and present a clear and concise understanding of several key concepts such as:
- the need your startup will solve
- size of the market you hope to capture
- the competitive advantage that will make your start up stand out and be sustainable
- description of the marketing strategies your startup will use, with their estimated costs
- expected revenues and costs, supported by realistic and detailed assumptions
- description of the team, including management
- the exit strategy for the investor
These concepts are just the beginning. As you delve deeper into the details of your app project, you will uncover many facets that will need to be fleshed out in order to gain the confidence of an investor.
One Step at a Time
Just because you cannot come up with the full sum of capital to create the perfect application in your mind, keep in mind that apps often are developed in phases. Not only does this prove to be helpful for development itself, but it gives the opportunity to refocus and shift your startup’s marketing focus. With a functioning, but simplified version of your application, you can take this to the market, grow your following, and look for new methods of investment after gaining some publicity and momentum. Even big companies have the tendency to follow this process too. Spotify began as project back in 2008, and rolled out a beta version only to a handful of Scandinavian countries. Three years later, it would be launched in the US with the fuller features that you we see today. So remember, one step at a time.
Powered Labs offers many social media-based marketing and advertising services to complement your existing marketing strategy, or to build upon it.
We also offer detailed, professional start up pitch services to help you secure funding, and see your project come to life.
Contact us to get started on your own custom, business application.
Further Reading on How to Fund An App:
http://www.forbes.com/sites/allbusiness/2013/07/09/8-mistakes-entrepreneurs-make-when-pitching-to-investors/
http://www.marsdd.com/mars-library/how-to-create-a-pitch-deck-for-investors/
http://venturebeat.com/2014/04/08/8-tips-for-giving-the-perfect-investor-pitch-from-someone-whos-raised-75m/
