How to get Investors for your App? [2021]

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.  If these investors bring their money then 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.

• 1. Know your App’s Niche
• 2. Branding your App
• 3. Strong Elevator Pitch for your App
• 4. Practicing Elevator Pitch of your App
• 5. Presentation Deck
• 6. Funding rounds

Know your App’s Niche

The number of mobile apps on the Google Play store is around 3.9 million. Android app 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.

PC: Statista

There is an app to serve the everyday utility requirements of individuals or organizations. Investors know this fact. So app 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 your app serves, and how your app stands out among the crowd. Identify possible app competitors and how they serve your app market. Also, it is important to precisely identify your revenue-generating strategies through your app. Investors will be looking for all these aspects before investing their money in your app.

If the competition is tough in your app's 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 app idea, its purpose, and overall value. It helps users and investors to visualize and connect with your app. Investors will be more inclined towards app that shows you have put the effort into creating a well-designed logo, domain name, and overall mockup of the app. You can excite your Investors with a well-prepared app demo with a nice user interface. 

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 app idea to prospective investors so does your elevator pitch. Elevator pitch is something generally timed to 30 seconds. Your potential investors are very busy people, after all. This is the reason you will need a fantastic elevator pitch for your app investors. An elevator pitch is a way you'd describe your app to your potential investors if you only had a brief elevator ride to talk to them. Once investors are interested, you can expand the dialogue, but you need your investors hooked and excited about your app idea. 

Your elevator pitch must identify your app's 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 before pitching it to the investors. Fine-tune your app's elevator pitch if it is required. Focus on presentation aspects, anticipate possible questions from your potential investors in the context of your app and be ready with answers to those questions.

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

Presentation Deck

Your app 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 from the investors, 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