1.Before Growth where things can go wrong :( @MarcinSzelag

2. Startup Risk Model Startup is a temporary organisation focused on nding a repeatable and scalable business model. To achieve success, founders and investors have to take risk in order to capitalize on a market opportunity they have identied. Turning a Startup into a sustainable and monumental company is a long term process. In this process there are several steps (areas of risk) a startup has to take. There is no formula for achieving success, but there is a model for identifying and addressing areas of risk. 3. Marcin Szelg Partner @ Innovation Nest Investor @ notatek.pl Blogger @ ms.innovationnest.co Focus on Customer Acquisition, Product Development Interested in SaaS, Ecommerce 4. Team Portfolio Tools ACCELERATE SPIN Startup Stage Ofce Hourse FOCUS ON SAAS 5. Disclaimer There are many ways a startup can achieve success. Luck, dened as a set of favourable circumstances might be the sole reason we have monumental companies in the social and gaming space. Counting only on luck, might signicantly limit the chances of our startup achieving success. There are only that many Facebooks, Whatsups, Instagrams and Rovios of this world. The probability of building a $100M company are much greater than chasing a $1B unicorn. Business models focused on software are constantly producing sustainable companies which are growing as information technology expands to new industries and market segments. 6. Why SAAS matters! 220M businesses worldwide $17B in current revenues 20% annual growth 6% of the software market ($326B) USA makes $10B of the total SaaS revenue EU makes $3,5B of the total SaaS revenue 7. What risks lie ahead The decision The idea Founding team Market hypothesis First sale funding MVP First paying customers Customer acquisition Seed funding Team building Growth model Round A Scaling Prot 8. The decision I should have some level of experience I should have an extensive network of contacts I should have some money I can invest I should have the full support of my family I should feel comfortable leading 9. The idea I have identied a market opportunity I know enough about the market I am about to enter My experience and skillset is desired in this market I know how I will make money in the short term I will be happy working on this idea I have prepared a compelling vision backed by solid milestones 10. The founding team! I was able to convince others of my vision and milestones My cofounders bring complementary skillsets to the table My cofounders are A players I like spending time with my cofounders My cofounders have also made the decision they want to start a startup My cofounders are equally motivated as I 11. Market hypothesis The Minimal Viable Segment is big enough to get your company to ramen protability The market you are entering is big enough, so that each cofounder can earn a decent leaving The market is big enough there is room for the company to grow You have a strong hypothesis of a repeatable and sustainable business model which is plausible You have researched the market in terms of competition, market trends, customer acquisition, customer budgets and the data you gathered supports your business model hypothesis 12. First sale funding You have created a budget which will bring you to your rst sale Your budget will give you enough time to get to ramen protability You were able to convince outside investors (4F) You managed to bring on board mentors or advisors 13. MVP You have clearly identied the minimum viable feature set which delivers value to your customers If you are entering a market with competitors - the differentiators of your product are distinct! The time needed to build your MVP is well within your budget Your team has the necessary skills to build what you have planned The quality of your product is very high You will be able to charge your customers for the value delivered by your MVP 14. First paying customers You know where your rst sale will come from Your customers will be happy after buying your product You will get repeated business from your rst customers You have a process in place to close the feedback loop You know why your rst customers are buying your product 15. Customer acquisition ! ($10k MRR) You have various customer acquisition hypotheses you are able to test You are able to build initial traction with early adopters of your product You dont have a churn problem LTV>CAC! Scalability of your customer acquisition model is plausible You have reached ramen protability 16. Seed funding You are able to pitch You have identied investors aligned with the vision and business model of your startup You are not at a point where your are under nancing pressure You are able to show how this nancing will help validate the growth model You are somehow different or better than everyone else 17. Team building There is enough local talent! You have secured enough funding You have an appealing story and vision 18. Growth model! (20% M/M) You have found a way to grow in a consistent way Your growth model has a signicant organic component You are growing your revenue, without increasing churn 19. Round A Silicon Valley as the VC capital Series A crunch 20. Its a long ride 2012 2011 2010 21. Need help? marcin.szelag@innovationnest.co