An investable strategy concentrates on allocating capital resources toward a corporate objective. It has been around for a while and is good at reducing risk and channelling funding toward worthwhile projects. Making your firm investable is essential to its success because the startup landscape has changed significantly over the past few years. Investors are more hesitant to support unknown firms with obscure founders and questionable business models. However, this also implies that in order to persuade them of the potential of your business before they part with their money, you must work harder and demonstrate your potential in the best way possible.In order to maximise your chances of getting funded in a competitive industry like this one, it is essential to grasp several characteristics that influence whether or not your new business has what it takes to get off the ground.
Companies that have made minimal investments in technology over the past few decades are more likely to be investable than those that have. For instance, Citigroup has been a viable investment in practically every industry it has regularly entered and exited over the past few decades. Since they have survived numerous ups and downs throughout their history and are still doing so today without encountering any big downturns or headwinds in future earnings estimates, when we use the term “investable,” we’re truly talking about being “stable” here. Here are some issues or data to think about to get you thinking about this:
DOES YOUR STARTUP HAVE A STRONG USER BASE AND PRODUCT?
Both a robust user base and a strong product are essential for any startup. You can demonstrate to potential investors that your product is in demand even before it is formally launched in this manner. The rest of the procedure will be simpler once you’ve proven that your product is viable and has the potential to make money. After all, financiers will be more eager to support a business with growth potential. The ideal situation would be to have a functional product that can expand as well.
ARE YOU FOSTERING MARKET TRUST?
You must conduct your own study and wisely market your business in order to inform potential investors about your firm so they can comprehend it and its potential benefits. You may learn crucial information about your market, consumers, and competitors by conducting in-depth market research.
The most common method for connection providers to list their services online is IP, which is an internet protocol. One of the first things visitors to your site may notice is your website or a blog post. It’s a fantastic approach to spread your message and encourage visitors to your website. Therefore, be sure to increase market trust through your content, client testimonials, and general branding.
HAVE YOU PUT IN PLACE IP PROTECTION?
It is crucial to make sure your intellectual property (IP) is registered with the proper authorities and protected in all the countries where you desire to conduct business. Patents, trademarks, designs, and copyrights can all be included in your IP portfolio. If someone does infringe on your intellectual property, you will have a higher chance of pursuing your rights if you register it. Ensure that your IP tracking mechanism is effective as well. This involves recording the date it was developed, the person who created it, and the location where it is being utilised. In the event that you ever need to assert your IP rights, this information will be crucial. It is vital to take a proactive approach to IP enforcement.
HAVE YOU BRANDED YOUR NICHE WITH IP?
Using IP to protect your technology and identify your specialisation is another strategy to increase the investability of your company. A patent can be used to prevent copying by rivals if you have an original piece of software or an inventive design. This may provide you a competitive edge and increase investor interest in your company. A startup can instantly provide security to its business partners by protecting its intellectual property, which has a noticeable effect on investors.
There are a few important considerations to make while trying to make your intellectual property investable. First off, a trademark protects your brand, thus registering it will give you legal protection and enable you to charge more for your goods and services. Second, raising your valuation will increase the appeal of your IP to potential investors. By boosting its value through licencing or other methods, your IP is worth more than the sum of its parts. Make your IP simple to sell is a further piece of advice. If your intellectual property is simple to sell or transfer, potential investors will be more drawn to it and more willing to invest in it.
You need a compelling product or service if you want to impress potential investors. Make sure you think of a special way to fulfil a demand or solve a problem that your rivals haven’t thought about. Keeping up a high standard of quality and innovation helps draw in more investors for your firm
HOW CAN IP BE USED TO MAXIMISE TIME?
Even more important than the concept and application of your business strategy is timing. The best way to judge it is to determine whether the audience is prepared to accept what you have to offer. The solution to the question of when to begin your starter file for your intellectual property may not be as simple as you believe. You might need to start the clock on your startup sooner than you anticipated depending on the sort of IP you have. For instance, if you have a patent, you must file it before you want to first expose your idea to the public. This means that if you intend to display your invention at a trade exhibition, your patent application must be submitted in advance of the event. Similar to this, in order to register a trademark, you must first utilise it in commerce. In other words, if you aren’t utilising your trademark in commerce, you risk losing any earlier claims or rights you may have had owing to a lack of usage documentation. As a result, scheduling your business in accordance with IP regulations is crucial, and getting assistance from IP experts can benefit you immensely.
Becoming a unicorn while trying to be an investable startup is a never-ending race. But with the correct approach, you may secure the significant capital you require and become a unicorn. Make sure your company is ready to present to potential investors, that your intellectual property is protected, and that you have all the necessary components for a successful investment round. You’d be in a lot better position to scale your business and turn it into a reality after you’ve had everything under control. Once you’ve done that, you’ll hardly ever need to demonstrate that your startup is a good investment! To learn more, get in touch with us on LinkedIn or our website. Keep up the effort!