Thank you beforehand to all the advisors on this platform for your commitment to help us veterans with advice and mentorship. I am starting a tech company in the Augmented Reality space and looking to bootstrap the company instead of raising money. I have previous experience building a business and found early success before it all fell apart. Happy to share the full story privately with anyone interested.
My question is what would be the best approach to receive capital to build an MVP ( Minimal Viable Product) or demo to start pitching to companies. I have done some initial market research and have had discussions with companies/people who are interested in the idea but want to see the concept/demo first. This would cost me less than 10k. Bank Loan would not work due to bad credit (from previous company).
Thank you for your time
-Michael Moncada
Linked In ( linkedin.com/in/michael-moncada )
Answers
How long would it take to create the MVP? One option could be to have a day job, and create the prototype once you get home after work. It will be slower than working on it full-time, but it'll be something you have control over.
Are you in a situation where you can develop your MVP as you go, or is a lump sum required before you can start?
As an ACP AdvisorNet staff member, I assist in monitoring and building the ACP AdvisorNet community.
Hi Michael,
Thank you for your question. I found an article from Entrepreneur (https://www.entrepreneur.com/article/166076) that might be able to provide some insight on other options when low credit is a factor.
I would also encourage you to take a look at our Community page. You can find Advisors that may have knowledge in this area and send them direct messages with your questions.
I hope this helps. Thank you for your service!
Best,
Taylor
Hey there Michael,
I agree with Stefan here: how long do you have to demonstrate MVP? As you noted, many folks want to see a working demo of your AR endeavor, so I'm curious if any would be willing to offer funding without that. That said, and given that your funding needs are low for an AR endeavor (below 10K), if you've already formed your business (an LLC, for example) you "could" consider taking advantage of any Small Business (SB) Loan programs that might be available in your state (Florida). In my experience, when I reformed my Indie Game company in Dallas from California, I found there was a wealth of SB incentive programs offered to veterans to amortize the cost of doing business.
That said, and assuming no such programs exist in Florida for Veterans, there are independent banks and funding organizations that will help fund an initiative so long as you have a business plan/proposal (in most cases). I don't want to list them here, as I've never used their services myself and don't want to endorse any one entity, but a well crafted Google Search should yield you some starting points: "Small Business Loan" + "Veteran". Just be aware that, since this is bootstrapping and not equity staking or crowdsourcing, you will have to deal with the typical terms that come with an high-interest loan: be responsible!
Your Answer
Please log in to answer this question.