๐2.1/ What does the project need from investment funds?
๐ค In reality, not all projects need money from private funds.
Before founding a company, many founders had a very solid financial base.
Therefore, the most important thing for them is to find the missing pieces ๐งญ
From my perspective, a current project needs 5 basic elements to develop in the market.
โ Money/Capital
โ Resources
โ Relationship
โ Community Marketing
โ Brand image
In particular, I think the 3 most important factors when a project seeks investment funds are:
Relationship
Community Marketing
Brand image
โ ๏ธI'm talking about projects that want to develop real products, not raise capital and steal it from investment funds.
๐2.2/ Relationships, Community Marketing and Brand Image
Why are the three factors Relationship, Community Marketing and Brand Image so important?
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1๏ธโฃ Any founder who wants to start a growing company, most of them already have a solid financial base.
Of course, when they expand, they need more capital, but if the focus was on capital, they wouldn't have needed to go to a fund because the fund would always have stricter terms to "squeeze prices" โ๏ธ
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2๏ธโฃ In terms of resources, the fund is certainly not a provider because only the project knows what they need? need from whom?
Their highest expertise fund is managing money and investing on that money๐ต
Not to mention founders also have their own direction, usually they will find a companion to develop that idea, not a group of advisors to correct their idea!
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3๏ธโฃ As for the remaining 3 factors: Relationships, Community Marketing and Brand Image, it is extremely difficult to build.
Not only does it require the founder to have a good image and the company must be popular with customers, but it takes a lot of time to prove that โฐ
โ ๏ธ If they want to grow quickly, they CANNOT:
โ Find 100 genuine investors and introduce who they are?
โ Build your own Twitter and Telegram channels and want to reach 100K Followers in 6 months.
โ Prove themselves that the Legit project is working well in a short time.
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๐ BUT that will change 100% if the project is invested by Binance Labs, a16z, Sequoia.
โ The project does not need to prove that it is legit because Binance has sponsored it
โ Twitter & Telegram channels automatically attract real followers
โ Other investors will SELF-FIND the project to ASK for investment!
โ Even have the opportunity to list on top exchanges like Binance, OKX, Coinbase.
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๐ข For example, in the picture below, even though we don't know who the founder of the project is, thanks to Sequoia's sponsorship. We can believe that there is a high possibility that this project is not (touch-cam)โ ๏ธ