5 Key Points To Make Best Use Of Seed Funding
Bangalore: Initial stages of a business are exciting and budding entrepreneurs are charged up and spend all their time on the new venture to see a good outcome. However, there is always a potential risk faced by them during funding. Even a small incorrect decision would end the entire business.
It is very important for all the entrepreneurs to follow some particular guidelines in the initial stages and utilize the company’s seed fund productively. Improper planning of initial funds would lead to a higher risk of losing out the next funding.
It is important to know that the first funding holds the future of a startup. Here are five important points which is necessary for an entrepreneur to follow before raising funds and launching a product in the market. As compiled by Matthew Howard for Venture Beat
#1 Let Customers Decide On Products
If the product selection is not good, the entire business is a flop. It is very essential for an entrepreneur to launch products according to prevailing market and needs of the customers.
There may be lots of ideas on which a product is built on but there is always an element of confusion. To avoid this dilemma the best way is to find out from the customer’s itself. Choose an excellent idea among others, and conduct field tests and surveys, and also collect feedback from the customers.This would enable one to have a clear picture on what the customer’s need and thereby it becomes easier to develop the idea and to create a product which does not require any alterations in future.