How to get Investors for your App? [2021]

How to get Investors for your App?

Great ideas need great efforts so is your mobile app when it comes to seeking funding. 

If you think your mobile app idea is worth an investment asset, then you can seek funds from investors.  It will help you speed up the overall development of your mobile app, drive marketing and go to market strategies. It will help people know your app and start using it to help you generate revenue.

In this article, we have prepared a checklist you need to accomplish before seeking funds for your mobile app.

  • Know your App’s Niche
  • Branding your App
  • Strong Elevator Pitch
  • Practicing Elevator Pitch
  • Presentation Deck
  • Funding rounds

Know your App’s Niche

The number of mobile apps on the Google Play store is around 3.9 million. Android users can choose from around 3.14 million apps from different android app stores such as Amazon Appstore. At the same time, Apple App Store has a lot more than 2.9 million apps, according to Statista.

Statistic: Number of available apps at Google Play from 2nd quarter 2015 to 4th quarter 2020 | Statista
PC: Statista

There is an app to serve the everyday utility requirements of individuals or organizations. So investors are possibly less inclined towards investing in an app that is already serving a purpose and common in the market. 

So it is important to deeply research the market that your app targets, what problem your app solves, which customer segment it serves and how it stands out among the crowd. Identify possible competitors and how they serve the market. Also, it is important to precisely identify your revenue-generating strategies.

If the competition is tough in your niche area then list a set of major and important parameters your app well distinguishes itself from your competition.

Branding your App

Branding your App is the foundation layer and conveys your idea, its purpose, and overall value. It helps users visualize and connect with your app. Putting efforts in creating a well-designed logo, domain name, and overall mockup of the app, or even better a demo of the user interface should be developed. 

This gives confidence to your future investors that you are putting your efforts into making your app a reality and you are all in it.

Strong Elevator Pitch

You have an extremely limited period of time to explain your idea to prospective investors so does your elevator pitch. Elevator pitch is something generally timed to 30 seconds. Generally, investors are very busy people, after all. This is the reason you will need a fantastic elevator pitch. An elevator pitch is a way you'd describe your application to someone if you only had a brief elevator ride to talk to them. Once they are interested, you can expand the dialogue, but you need your investors are hooked and excited about your idea. 

Your elevator pitch must identify your goal, clearly state your USP and what you plan to do.

Practicing Elevator Pitch

Nobody is perfect and everybody requires practice. Once you have come up with the Elevator Pitch, ensure that you practice it enough time to build confidence. Fine-tune your elevator pitch if it is required. Focus on presentation aspects, anticipate possible questions and be ready with answers to those questions.

Seek help from your friends, family members, or your mentors.

Presentation Deck

Your pitch deck should not be more than 10 slides and go beyond 20 minutes. You can include your idea, its purpose, your vision, and overall value. Other aspects that can be covered are the market needs your mobile app will address, how you will monetize your app, and generate revenue for you & your investors.

Funding Rounds

Did you know that there are different types of funding rounds? e.g. pre-seed round, seed-round, Series A, Series B, Series C, etc.

Before going out for seeking funds for your app, analyze how much cash is required. If you have developed your app and generating revenue, you can target a Series set of rounds to raise money with a clear purpose why you need that money. If your mobile app is still under development then you will possibly go for pre-seed funding.

Conclusion

Every app serves some form of extension of human needs. Seeking funds for your mobile app requires addressing some unique human needs. Investors are attracted to the mobile apps that uniquely differentiate themselves from the competition and have the potential to generate sustaining revenue.

PC: Unsplash

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