How to raise fund for your mobile app
Thursday November 30, 2017,
5 min Read
Let's say you have an awesome idea for your fresh app, that is capable of attracting some venture capital bucks. But wait a minute, it is just an idea right now and as a matter of fact, nobody is going to invest in it, as usually nobody is going to believe in the starry eyed dreamer.
Your App must be pushed out of the home in order to prove itself. So you have to approach a mobile app design company - may be like ours, and you were quoted with 5 figure or six-figure price tag. But oh ho, if you are capable of investing so much, then you would probably not reading this article. Obviously we are going to deliver you the most awesome, and loveable app but initially, your app is not going to earn a lot, then how you are going to pay to have it made?
This is the daily drama for every startup, which every multi-billionaire app faces in early days. Now let's have a look at few chunks of options which might be available for funding of your app.
Option 1: Self Funding
Are you wealthy enough to fund your app? Then you must fund your app on your own. Not interested to fund even if you have the capability? This be assured that nobody else is also not going to fund you for your app, as if you don't have to believe in your idea and you are just taking a chance, then who is going to favour your risk?
Building a cheap application does not go a long way. Even if you are willing to spend a quarter of the million dollars for building a rock awesome app with beautiful design, that is not at all going to work. Instead, the alternate solution is to save money as you can and spend in making the essential function initially necessary for your app in order to test and prove your big idea.
Thinking of hiring a cheap Freelancer from Eastern Europe or Asia, who is going to deliver you app with few thousand dollars. These are your decision will be wrong, as they only know how to make and run the app, and not at all going to give you the output as world's best developer can deliver you.
In case you are initially planning to have a prototype of how your app is going to look like with containing the most necessary features just to influence the VC, then hiring a company from Asia would might be preferable. It's ok to tell user and VC that it is a cool idea, but assume app crashes in between !!
Feedback is like a lifeline of the business, as it shows that user is getting engaged with your app and you will be aware of its pros and cons.
Self-funding is not only one day job. You must save your income to spend few thousand dollars on a prototype . If you believe in your app, then you must risk your money at an initial stage. In case you are not willing to, then no one else is also going to favour you.
But now the question comes, what if you don't even have self-funded money for a cheap prototype? Then simply read this article hahaha...
Get A Co-Founder
Finding a co-founder who has the same believes as you are having in your app, would be proven beneficial in long way success journey of your app. Self-funding can be shared equally by both founder and co-founder. Also, many VC might also not believe in you if you are a single person, they would love to prefer 2 or more person and always welcomes their idea. So start convincing your friend to believe in your idea and join hands with you.
Option 2: Build It Yourself
If you have the ability and technical skills to build the same, and get a laptop and start building a prototype. But building even an app prototype required a perfect designer, an innovative developer and a tester. You might do your own way, but adding perfection to it is a job of the app development agency. But trying once can help you to get at least some funds, and then you can happily come to us to build a beautiful final release.
Getting A Co-Founder
If you are not a technical guy, then founding a technical co-founder will always help you out to get out of the situation. Even the VC always prefer to welcome app idea, who has at least one person who have technical skills, as they know the technical feasibility and will not through stones on the wall made of cement. Another benefit of finding technical co-founder is you can build another prototype after launching your initial app and getting feedbacks for the same, keeping in mind the needs and likes of the user. You can tweak your app as per your convenience. You need to have serious of a prototype in order to approve it for VC.
Idea's That Won't Get Funding
There is no magic that you have a great idea, and you will be funded immediately. Sometimes you may have to toll away for more than two or three years to get funded and famous. The only way to success is to keep believing in your idea and keep trying.
Once Your Prototype Gets Traction
Congrats, you will actually find VC who is going to fund you. Well, the beginning of the new idea, god knows how well your app is going to succeed in future, but well let's keep patience and keep on improving prototype as per the market demand of the customer and welcoming their feedback. The way to success is definitely going to be a wild ride.