Blogosphere on Bootstrapping: Tim Berry

Tim Berry says something that many of you have heard me say repeatedly at the roundtables: The Best Startup Funding Is Initial Sales. And yet, every week, I work with entrepreneurs who do not seem to listen to this simple piece of wisdom:

Even if you do need to go out and find investment–and I speak now as an actual angel investor–there’s almost nothing as convincing as actual sales. People are spending money on your product or service. It makes a new business proposal far more credible.

I keep telling you, there is a huge difference between a validated business and an unvalidated business. And if you can show sales, you have a validated business.

From there on, getting additional customers is easier, because you already have reference customers, and getting investment is easier because investors put you in an entirely different risk bracket.

This segment is a part in the series : Blogosphere on Bootstrapping