Challenges in seed funding
For business, the challenge as a founder is moving ahead to secure seed capital, success, and revenue numbers that will support the potential of the business. A successful business is dependent on the idea and people in the business.
As for the investor the challenge lies in investing game, which can sometimes lead to heavy rewards, and if it doesn’t work out well it leads to a great loss.
As a startup business you have 4 main challenges that you need to overcome:
Companies at the pre-seed stage or seed funding stage need cash to scale. At the seed stage, you will be needing a lead investor to invest in your startup to finally turn it into business. Your pitch deck needs to be good enough so the investor is convinced enough to fund your startup. once you have overcome this challenge the second challenge is the proposition.
Being able to communicate to the market and solve your customer’s problems and give them the solution is the next challenge you’ll face. The more you have experience in problem-solving the faster you grow your business.
At the Seed stage, an experienced management team is incredibly important. Experience not only means working in the industry for 10+ years but more experience of the problem you are solving, and the people on board who are bought into the mission can move the needle or not. You need passionate generalists for your startup at this stage not experienced specialists.
Process and a repeatable process are only figured out once you have tested your hypothesis and then repeated it. To create awareness of the problem you solve and how you fix it, you need to test many different growth channels, and those channels you feel your audience hangs out in. The process design you want to consider is how to convert a stranger into a customer in the quickest and most efficient way possible