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Pitching your early-stage startup

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Re: Pitching your early-stage startup

#61
post #47

Earlier quoted context omitted.

I know nothing about your idea and please don't consider this a comment on that but ... > Ballpark, good users will visit my Web site solution a few times a week, and from simple arithmetic the company should relatively soon be worth ballpark $1 T. VCs almost certainly hear this kind of claim multiple times a week and are thoroughly experienced in how frequently this turns out to be true (practically zero) - hence wi…

Nonsense. If VCs can do simple arithmetic, they can verify that claim for themselves. The issue is just the 1 billion users, and that's easy enough to believe with the explanation of the problem I'm solving because it is obvious that the problem is pressing to nearly every Internet user in the world. Then the question is how the heck to solve the problem, and why I have a solution and no one else does. The answer the…

> If VCs can do simple arithmetic, they can verify that claim for themselves.

How? You haven't given them anything to -verify-! All you've done is say "It'll be worth $1T because lots of people will give me lots of money. Trust me."

> it is obvious that the problem is pressing to nearly every Internet user in the world

I should imagine the VCs hear that every week too.

> $1 T Quickly

Apple is the world's most valuable company (worth ~$830bn). No-one seeing your claim that your company will be worth more than Apple "quickly" will take it seriously. There just isn't any path for that to happen in reality. Sorry.

Re: Pitching your early-stage startup

#62
post #47

Earlier quoted context omitted.

I know nothing about your idea and please don't consider this a comment on that but ... > Ballpark, good users will visit my Web site solution a few times a week, and from simple arithmetic the company should relatively soon be worth ballpark $1 T. VCs almost certainly hear this kind of claim multiple times a week and are thoroughly experienced in how frequently this turns out to be true (practically zero) - hence wi…

Nonsense. If VCs can do simple arithmetic, they can verify that claim for themselves. The issue is just the 1 billion users, and that's easy enough to believe with the explanation of the problem I'm solving because it is obvious that the problem is pressing to nearly every Internet user in the world. Then the question is how the heck to solve the problem, and why I have a solution and no one else does. The answer the…

Brevity is the soul of wit.

-Shakespeare

Re: Pitching your early-stage startup

#63
post #47

Earlier quoted context omitted.

Nonsense. If VCs can do simple arithmetic, they can verify that claim for themselves. The issue is just the 1 billion users, and that's easy enough to believe with the explanation of the problem I'm solving because it is obvious that the problem is pressing to nearly every Internet user in the world. Then the question is how the heck to solve the problem, and why I have a solution and no one else does. The answer the…

> If VCs can do simple arithmetic, they can verify that claim for themselves. How? You haven't given them anything to -verify-! All you've done is say "It'll be worth $1T because lots of people will give me lots of money. Trust me." > it is obvious that the problem is pressing to nearly every Internet user in the world I should imagine the VCs hear that every week too. > $1 T Quickly Apple is the world's most valuabl…

> There just isn't any path for that to happen in reality.

Sure there is. I can give a good argument, with solid, original applied math in PDF from Knuth's TeX (not LaTeX) and with running code.

Even if I'm wrong, or get run over by a truck tomorrow, for you to be correct means that forever no company will achieve my claim. Forever is a long time!

As I give a good explaination, soon it gets totally obvious. I wouldn't be doing this project or saying this otherwise.

Do lots of people see the opportunity? Nope. With a little explanation, everyone on HN will see the problem right away. In a sense, they see the problem now. But they ignore or reject the problem because, like death and taxes, they see no solution. Like you, you see no possibility. Even if I blurt out the problem here on HN, essentially no one will see the possibility of a solution. So, now, when they see the problem, since they see no possibility of a solution, they ignore the problem.

But the solution is not trivial. I don't see a solution without my applied math. The core of the math is some solid, significant theorems and proofs. The main prerequisites are some advanced pure math topics. The prerequisites are totally, fully, beautifully written up and on the shelves of the research libraries, but the material is not popular in the US. Fewer than 10% of US math profs know this material. Some of what that material says is amazing, and nearly no one would think of it on their own -- apparently no one ever has. I got the material from a prof a star student of a prof at Princeton, and I got it from some books by some star students of a prof at Berkeley. It's solid stuff.

For the $1 T, see some of my other posts to this thread. How to do that? First, start with the idea that essentially everyone on the Internet has the problem and currently it is solved at best poorly. That there could be such a problem is not surprising -- the Internet doesn't yet do everything people want! You will see this problem and how people have ignored it as I announce my beta test on HN. The alpha test is in progress now.

For a little more, so, as you know, there are ballpark 3 billion people on the Internet, if we include smartphones, which for my solution we should. But for good ad rates, I intend to count only users in the more developed countries. There my gross, ballpark figure of number of users is, in round numbers, 1 billion. If you have a better number, then let me know.

Okay, when you see the problem and my solution, you will maybe willing to swallow that, early on users will come to my Web site once a month, then, after some weeks, once a week, then as they start to really like the results, see how to use them in their life, in their family, with friends, for work, etc., they may come to my site, rough, guess, ballpark, average 3 times a week.

Really, that's about enough for $1 T: If can get 1 billion people to come to a Web site 3 times a week for nearly anything, should be able to monetize that to biggie numbers. Add in some more ballpark details, and get to $1 T.

For some more details and the actual arithmetic, see

https://news.ycombinator.com/item?id=15287990

> > it is obvious that the problem is pressing to nearly every Internet user in the world

> I should imagine the VCs hear that every week too.

"Hearing" it is not the point. A claim, like essentially all significant claims, is worthless. In math terms, that's just the statement of the theorem. To be taken seriously, there must follow a proof. Same in law, finance, engineering, etc. -- need evidence.

Lots of people here at HN have advised me to get my descriptions of my project much shorter, including down to just a few words on just one line. In that case, the description is just, say,

$1 T Quickly

So, that omits all the evidence. Some people want evidence; some people want just the bottom line. IMHO, VCs mostly want a product they can play with or better, still, traction, in particular revenue, better still, earnings, and for all of those, significantly high and growing rapidly.

An entrepreneur who starts has none of those. So, there should be ways to know long before earnings significantly high and growing rapidly. And, in nearly all of applied science and engineering, there is. For just one example, there is GPS: It was funded long before the satellites were on the rockets and on their way into orbit. It was funded off paper, just paper. And, given the paper, the project was, really, low risk.

I've explained my project to VCs. They don't want to read. I can explain on paper in lots of detail, but they won't read it. Indeed, they won't read anything from a guy like me because they won't read unsolicited e-mail.

The bottom line of this situation is that by the time I have what the VCs want to write a check, I will no longer need, want, or accept their check. I can do this because I'm a sole, solo founder with tiny burn rate, opex, and capex so that any revenue of $10,000 a month or more gives me and my project all I should need to go for the $1 T.

My main point here was to respond to the OP and warn HN readers.

Re: Pitching your early-stage startup

#64
post #58
post #53

Earlier quoted context omitted.

I've done all that. It doesn't make any difference. I explained more, and more carefully here, but that was just for the HN audience. Why not make any difference? (1) They will nearly never pay any attention at all to unsolicited e-mail. (2) If they do read anything, they will essentially always look for something about traction and not seeing that will junk the e-mail. The reactions about traction are so uniform tha…

The problem with going around talking about a startup having the potential to be a $1T business is that no current Fortune 500 business is worth that much including Facebook and Google which have your business model. Therefore you look like a fool for asserting yours will be the most successful business ever in the history of human civilization. If you were someone like Bill Gates who has a proven record of founding…

The first version of GPS sounded crazy.

The H-bomb sounded crazy.

Nearly everything we have in our daily lives now sounded crazy 200 years ago.

But, with clear details on paper, both GPS and the H-bomb projects were high payoff, low risk and not crazy at all.

"Sounds crazy" is, uh, a crazy way to evaluate projects.

Re: Pitching your early-stage startup

#65
post #49
post #38

Earlier quoted context omitted.

As I've explained in overwhelming detail in this thread, I sent about 800 e-mail messages to VCs and got back essentially nothing. What I sent was never like what I posted here for the technical HN audience. For nearly all the 800 or so, I started with something very short, e.g., an executive summary or an elevator pitch . I gave a sample below at https://news.ycombinator.com/item?id=15283099 and will repeat it for y…

Your elevator pitch told me nothing about your product or the problem it solves and is accompanied by a 1T personal growth potential. I feel that may need to be rectified

Again, over again, and as clear in the "Elevator Pitch" I gave, here on HN now before my public beta, I'm omitting describing the problem.

Uh, my purpose here is to respond to the OP, not to raise funds from VCs.

I gave the elevator pitch just as an example of what, with what you want that is missing in what I gave here, VCs totally ignore.

I also gave my best argument for why they ignore: They refuse to read unsolicited e-mail messages. They insist on traction. Nearly all applied science and engineering are funded just from paper evidence, but VCs don't do this. Why? My guess is that their limited partners (LPs) don't so permit. Or, the LPs want something closer to a tangible asset that has market fit and not just paper. Okay.

The OP did not make this point clear, and to me for information technology VC funding that is the most central point of all.

But for a sole, solo founder with a good project and tiny opex, by the time a VC is ready to write a check, such a founder will no longer need, want, or accept it.

My purpose here is to respond to the OP and warn HN readers.

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