Startups entering a crowded, competitive market may feel like it’s impossible to nail down funding. It’s true that investors are a bit weary when it comes to funding projects that already have tough competition.
But it can happen. Just ask Sarah Evans, PR pro and Chief Evangelist for the networking platform Tracky. It’s been compared to Basecamp, Dropbox and Wunderlist; all pretty stiff competition. But Sarah says Tracky is an easier way to make more meaningful connections.
And, other people seem to agree—the team has raised $1.5 million in funding– including Las Vegas tech veteran Rob Roy, founder of Switch— despite fierce competition and established industry tools.
She offers up her insights on how other startups can secure their own funding in a crowded space.
Find an equally enthused investor
It’s essential, according to Sarah, to find an initial investor who is just as passionate about your startup as you are. They need to really share the enthusiasm for your product and support your business goals as well. She also suggests finding a local investor that is not only passionate but could be working on something that would benefit from your product/service.
Your investor should feel like your partner
Sarah stresses that your initial investors are your first rockstar advocates; the investment should not only be about money, it should be about a partnership. The best way to do this, she says, is by treating the investor like a partner.
Leverage the investor’s local community
Once you have a passionate, investment partner, you also have their endorsement and their influence. Use this by building awareness in the investor’s local community where they are known and respected. This way you can build a successful case study for other potential investors.
Local angels are our funding friends
Sarah believes that once you’ve achieved a bit of traction, startups should turn to local angel investors for their next round of funding. She stresses that most investments are made through relationships, which makes local investors within your network a much better option than trying to seek investment outside your circle.
Once you have completed successful seed and angel funding…
Sarah says that’s the time to expand your financial bounds and look outside your network for funding.
With $1.5 million of funding in tow, Tracky hopes to navigate the social network competitive landscape offering four core components to the experience:
- Do. And Be You– Tracky is all about getting things done. Every day and every night. Meet doers. Learn from each other. And use the digital tools you love to accomplish your real-life tasks and goals.
- Celebrate (my fave component)- When we collaborate like pros, it’s only a matter of time before we start partying really hard. Because with Tracky, we can accomplish pretty much anything. And when we do, we hit the dance floors. And then we get right back to work.
- Socialize– Approach doing collaboratively. Get help from other creative and knowledgeable folks anywhere in the world, and utilize crowd-sourced feedback to improve your plans and projects.
- Deliver Genius– Feel the superhuman power of social productivity, and go ahead. Thank your collaborators for helping you complete your goals at warp speed.
Start making easy, meaningful connections with Tracky and get yourself to the club to celebrate your social doer awesomeness.