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How to sell a startup and get rich

You can sell an idea only if you turn it into a project or in other words – a startup. So the potential buyer will be able to get a visual representation of it. If you offer a “bare idea”, it is unlikely anyone will be interested, if only because it is not clear how it can be earned. It is also not clear what costs should be incurred and it is not clear whether someone needs this idea and the product that will be created on its basis.

The project makes it possible to clarify these and other issues, to put everything in a symbolic and visual form. Selling a finished project is not the easiest task, but at the same time it is quite interesting and often profitable. To make a sale of the project you need to know the marketing and technology that will allow you to do it, as well as have certain skills.

A large number of ready-made projects are not sold precisely because the people who developed them do not have the necessary skills to sell, and not because they offer bad projects. As a result, they don’t know how to sell a startup. In other words, there are very few projects that cannot be sold, but there are people who have little or no experience in this business.

How to sell a startup correctly
How to sell a startup

It should be noted that there are two main reasons that encourage to sell the project. One of the reasons is the desire to just make a quick profit on the sale of the idea and the project built on it. Another reason is the desire to find an investor who will invest some amount necessary in order to be able to implement the project. If there are different reasons, then there may be different selling algorithms, because what works in some conditions may not always work in other conditions.

Accordingly, the first stage of selling a startup is to determine the goals

Accordingly, the first stage of selling a startup is to set goals. And there should be clear goals. If the goal is to sell the project, it is necessary to clearly imagine how much I would like to help out. If you do not have a clear idea, it will be unclear to whom you can sell the project at all. If there is a goal to find investments, then too it is necessary to clearly imagine what amount we are talking about.

In addition to understanding how to sell a startup, it is also necessary to clearly represent their long-term interests, because they will depend on the choice of a potential investor.Awareness of your long-term interests is very important. If you, for example, want to keep the business for yourself, after it is organized, Then you need to look for such people or such companies for which such a business is not a profile.

Who to sell a startup to
How to sell a startup

The profile investor will invest the money and will most likely only claim the profits from the business, but not the business itself. In turn, if you choose an investor for whom the business you organized will be profile, then You can simply be used to organize the business, and then do everything possible to squeeze out of it. It’s fine if they just offer to buy out Your share, but they may do something else, even trying to eliminate You if it’s difficult to negotiate.

There are many options for finding investors or buyers of the project

If it will be enough for You just to create a business that You do not plan to keep for yourself, then you should not limit yourself to investors who will be interested only in profits. In this case, you can also start to cooperate with investors who are interested primarily in business as such. From such investors you can get more money, because for them the value of the business is much greater than for those who see it only as a tool for investing free money.

So, when we have defined our goals and interests, to understand how to sell a startup, we can start looking for specific investors. There are many options for finding investors or buyers of the project. Each of them has pros and cons, which it is advisable to take into account, so as not to get those problems that You are not ready to solve. One of the easiest ways to sell a project is to negotiate with people you know.

How to find investors
How to sell a startup

Some of them may personally want to participate in the project, someone has friends or acquaintances who may be interested in Your project, someone may want to become Your partner. This is of course the easiest way, because the contact has already been established, but it also has disadvantages. The most important minus – with friends usually established a special relationship in which a large role is played by emotions.

To search for investors in this case, first of all, you need to get reference books

However, emotions are good in everyday life, but in business they are completely unnecessary, because they will bring a certain instability, which is bad for business. Among other things, to find investors, you can contact specialized companies, or participate in special events, which specifically come to potential investors in search of opportunities for profitable investment of their money.

Another option will suit us if we want to sell the project to someone for whom the future business will become a core asset. To search for investors in this case, first of all, it is necessary to get reference books, or to learn the addresses of specialized catalogs and find as many companies as possible that can become potential investors.

Secret of success
How to sell a startup

After that, you must prepare a standard proposal where it will be briefly stated the essence of the idea, and also we need to point out the possible gains and costs to the investor to make the right decision.If you can’t do it yourself, a marketing consultant will help you.When the offer is ready, it must be sent to everyone. Of course, most companies have plenty of ideas of their own, so don’t expect investors to line up.

A personal visit will contribute to the maturation of trust in Your address, which will increase Your chances of getting an investment

Also, do not expect that the response will follow immediately. It may be a long time before it is ready. In order to control the hit of the project to the right people, it is advisable to call the companies to which the proposals were sent and ask whether they received them and to whom the proposals were transmitted. In General, of course, it is better to sell projects in private, so if time allows, it is best to visit potential investors in person.

A personal visit will contribute to the maturation of trust in Your address, which will increase Your chances of getting an investment. Even if it does not work, you will draw certain conclusions, gain experience and get information that will help you in the future. As for details on how to sell a startup, it can be obtained in the framework of consultations, so send a description of your projects and applications for consulting.

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