Moving online means raising less money and accessing more investors. A pre-seed round helps achieve validation and PMF. It gives us time instead of trying to force a seed round right away to open locations.
Thinking through problems in real-time to strategize our raise. First issue: We wanted to start with physical retail. But, investors see it as a real estate play. Post-2021, VC funding shifted focus to tech.
Organic formula that can win:
Entertaining/educational content
Platform rockstar affiliates
Expert curation and trend surfing
Gamification/loyalty
Personalization on steroids
5. How will investors see our opportunity size (TAM, SAM, SOM)? Understanding market size is crucial. We’ll use industry data to show our disruptive potential. Thankfully, there's plenty!
It's my 2nd time prepping to raise money for a startup. Excitement around our idea is great, but not validation. Key questions I'm asking myself before pitching to VCs:
Transparency, proactive planning, and valuing people are essential. We aim to invest in underrepresented founders and support systemic change with our success.
I attend group therapy. It’s a space for real updates—we're like family. I recently shared my new business idea and its ethical implications, which helped me firm up my stance.
4 ethical imperatives for my startup:
1. Address ethical questions early to prevent future issues.
2. Build with ethics to ensure a positive work environment.
3. Be transparent about our values to build trust.
4. Have a clear economic success plan to avoid scrambling.
We try to predict behavior, but we don’t truly know. Test hypotheses, trust intuition, account for error. Be bold but responsible. Take risks, not chances. And when failure comes, show yourself grace.
Fast forward to 2022: TikTok Shop launched and by 2023 became a full-blown shopping network. Creators are the new hosts, selling products on their pages. High commissions drive viral product coverage.