The first group of questions focuses on whether there is a real business opportunity and whether the founding team knows how to capture it. Investors want to understand how the company plans to make money, who exactly the product is for, and how the founders intend to reach those customers. It is not enough to say that “everyone” could benefit from the technology. Startups must be able to define their ideal customer with precision and explain how they will convince those customers to adopt the product.
A well-structured one-liner can sometimes be all it takes. For example:
- “We operate a SaaS subscription model with tiered pricing, already generating $30 000 MRR from mid-size retailers.”
- “Our core customers are independent gyms with 200–500 members, underserved by existing booking software.”
Equally important is the go-to-market strategy. A brilliant product that cannot get into the hands of users has little value. Investors will expect founders to outline the concrete steps they will take to move from prototype to first sales, including partnerships, marketing strategies, and distribution channels. Again, a sharp answer is more convincing than a vague narrative:
- “We’re launching through a pilot with Madison Square Garden to demonstrate scale, then expanding to 20 other major arenas.”
Investors also want evidence that the team has already tested its assumptions and learned something from the process. Early lessons—whether from pilot projects, customer feedback, or market research—signal that the founders are adaptable and realistic. At this stage, the central message is simple: does this company have a believable path to becoming a business, not just an invention?