How to get Capital for Your App
Having a great idea about an app is just half of the work. Because you also have to get your app out there where consumers can see it and start using it. And to do, you need capital.
When you think of mobile app development, investors are the fuel that powers the whole process. Getting mobile app investors interested in your app, however, is a challenging feat. You need to prove that your app is worth the investment if you want them to give you the cash you need to fund its development.
How to Get Investors for an App
When you are pitching to investors, generally, there are several things they want to hear about. The app investors would also want to know if your app has functions and design that appeal to your target audience. In other words — whether you have conducted sufficient market research and competitor research to identify your unique selling point.
You are unlikely to get investors interested in your idea if it already exists in the market. So be sure to check out the competition for a fresh angle on your pitch. Only an app that solves a true problem in an innovative way has a chance to generate good ROI. Which is what investors are really looking for.
Before you start approaching investors for cash, there are several things you need to have:
- A brand (and a website)
- A Pitch Deck
- An MVP (with a minimum of some design mockups)
Investors are busy people with a lot of entrepreneurs vying for their attention and money. Your pitch will have a far better chance at getting funded if it’s attention-grabbing but also descriptive of the app’s purpose.
You don’t need to go overboard with a detailed business plan, revenue projections and so on, especially in the early stages of capital rising. It also matters what type of funding you’re pursuing. Crowdfunding, for example, is a specific format that requires one set of documents and approach that’s different than if you’re targeting private investors and VC firms.
The most important component of raising capital for your app is keeping your options open! Don’t limit your sources and target all investors who share an interest in your app niche as well as fundraising opportunities like crowdfunding and personal connections.
Mind Katalyst works with clients to help define, build and grow meaningful and transformative software and hardware across emerging technology platforms including Augmented Reality, Blockchain, Artificial Intelligence/Machine Learning and IoT. For more on how Mind Katalyst can help you scale your technology products, contact us for more details.
Carnellia Ajasin CEO of Mind Katalyst, is passionate about inventing new technology products in the emerging technology space that are meaningful and relevant. She works with ambitious organizations and businesses on the strategic application of innovation, creativity and emerging technologies to create competitive advantage, transformative impact and growth in business and society.
