Is this a good plan to raise a seed round? (part 2)

(this post is a feed post from my comments on reddit)


Well for me, if one of our investment analysts passed me your company, based purely on what you’ve shared I’d want to know

1. What market/ industry- why is the problem in need of solving, there are ppl paying but how many ppl does that represent, will that number meet the projected valuation relative to what you are charging
2. Who are competitors why have the not been able to solve this, any chance they will figure it out themselves, how well resourced are these competitors? Have any big startup/tech guys entered, are they likely to enter, is there anything that would protect the survival of this company relative to all other alternatives
3. How painful a switching cost would the customer have to looking at alternatives, how likely are they to persist for the long term in using this solution? Is it just for the period of pregnancy for example or is this a customer for life?
4. What are the associated OPEX and CAPEX, are we dealing with an agency/ margin business or are we dealing with a business where the unit economics make for significant “growth fly wheel”

If you follow pater thiels 7 factor for how he assesses startups that will give you a more complete guide

As to what feedback you want from accelerators (or anyone for that matter) IMO any objections or comments are with reviewing and considering since they may contain clues as to why your business isn’t progressing as much as it should be, so I would always consider all ppls comments, then screen for credibility and group into clusters of feedback and use that to determine what where and how I can improve my business

Is this a good plan to raise a seed round?
byu/LavonnaTeti inEntrepreneur

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