We want to disrupt the startup investing market! We want to facilitate the flow of investment into startups by improving the processes and reducing asymmetries of information that surrounds these transactions. So we set out to build a network of funders and founders. Sounds logical right? Wrong. Within a very short time we realized creating a network of funders and founders will not work if we set off and build an MVP of a network. There reason is that the initial value proposition of a network is low at best. You face the chicken and egg problem and your marketing costs double as you try to bring both sides of the table simultaneously.
We decided to focus on one side of the market, the investors, and solve a problem they have. We call our solution DealFlow by Fundacity. A tool that focuses on helping investors select the next big thing. but….
“We all get into entrepreneurship because we want to change the world and have impact. Aside from being great businesses, network solutions just sound grand – we all imagine becoming the next ebay and creating new forms of commerce. Tools, on the hand, sound small. Why waste your time building a little tool to help people find the right apartment when you make bring all of the landlords and renters together in one efficient bazaar?” Kevin Dewalt in Why your MVP should be a tool
The reason, as Kevin rightly stated, is that a tool brings people to the platform, creates great learning experiences for you about your client group and unleashes the power of network dynamics.
In our case we learnt a great deal about startup investing by working and speaking with maybe 1000 investors from 30+ countries in the last 6 months. More importantly, each investor that uses our tool brings a lot of startups and advisors to the platform. Unleash the network dynamics…2000+ startups from 61 countries and counting