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MenuHow can I best showcase my web based service to up to 12000 potential customers as an exhibitor at a trade show before my startup has launched?
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Treat the event like a lean startup landing page.
Get people to sign up for a "waiting list" to use your service. Have one or two easily accessible ipads on the side of your booth nearest the walkway, so that people can easily sign up. The ipads should have a nice landing page on it that shows some basic background, a waiting list sign up, and it should say "We're right here to answer any questions!" to draw people in to talk to you. You'll instill confidence in potential customers by how well you present yourself (in conversations with them, in the clothes you wear, etc.) and your booth.
You might use a small subset of your sign ups as beta testers that get to see and fiddle with the website before the official release. Don't use them to look for bugs, but have a questionnaire that they answer about what features they like most, etc.
Have a newsletter (every week or every two weeks) be sent out to all the emails you collect. Each email should highlight one or two features or progress of your site that has just been completed ("we've just partnered with xyz!", "now completed: feature xyz", etc.). This should be done in a sequence and spacing that presents well, and doesn't have to accurately reflect the exact time and sequence of when things were actually completed.
If you'd like finer grained advice based on your actual website and potential customers let me know and I'll see how I can help,
Lee
What Lee suggested is good. Another option is to create a demo animated video and post it on YouTube or Viemo and share it on your landing page.
Lee's answer is great.
What I will add is that in this type of setting you should be able to convey your product/service value add in one to two sentences. Then lots of repetition/reinforcement. Therefore don't stress about short prep time. Add simple visuals if possible and a concise, clear explanation and this will be best.
You are just trying to generate initial interest and word of mouth spread. Details can follow but the main value proposition should ring like a bell - that is what matters.
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As a startup, is it better to find a way to pay for services (i.e. design) or trade equity for it?
Before I get to your question, let me give you a tip: always aim settle questions of payment before the work happens. It is ten times easier to agree on a price beforehand, and having done that doesn't stop you from changing it by mutual agreement later. The problem with paying cash is pretty obvious: you don't have a lot of it. The problems with paying equity are subtler. The first one is that early-stage equity is extremely hard to value. A second is that equity transactions require a lot of paperwork. Third is that entrepreneurs tend to value their equity much higher than other people would; if not, they wouldn't be starting the company. And fourth, people like designers are rarely expert in valuing businesses or the customs of of startup equity valuation. In the past, I've both given and received equity compensation, and it's a lot more of a pain than I expected. In the future, what I think I'd try is convertible debt. That is, I'd talk with the designer and agree on a fair-market wage. E.g. 100 hours x $100/hr = $10k. The next time we take investment, the $10k turns into stock at whatever price we agree with our investors, plus a discount because he was in before the investors. Note, though, that this will increase your legal costs and your deal complexity, so I'd personally only do this for a pretty significant amount of work. And I'd only do it for somebody I trusted and respected enough to have them around for the life of my business.WP
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How much equity should I give an engineer who I'm asking to join my company as a co-founder? (He'll be receiving a salary, too, and I'm self-funding)
You will find a lot of different views on equity split. I haven't found a silver bullet. My preference/experience is for: 1. Unequal shares because one person needs to be the ultimate decision maker (even if it's 1% difference). I have found that I have never had to use that card because we are always rational about this (and I think us being rational is driven because we don't want a person to always pull that card cause it's a shitty card to pull) 2. When it comes to how much equity, I like Paul Graham's approach best: if I started the business by myself, I would own 100% of the equity; if xxx joined me, he/she would increase my chances of success by 40% (40% is just an example) at this moment in time. Therefore, I should give him/her 40% of the company (http://paulgraham.com/equity.html) 3. In terms of range, it could go between (15-49%) depending on the level of skill. But anything less than 15%, I would personally not feel like a cofounder 4. Regarding salary and the fact that you will pay him/her, that's tricky but a simple way to think about it: If an outside investor were to invest the equivalent of a salary at this exact moment into the startup, what % of the company would they get? (this may lowball it if you think the valuation is high but then again if you think you could get a high valuation for a company with no MVP, then you should go raise money) One extra thing for you to noodle on: given you are not technical, I would make sure a friend you trust (and who's technical) help you evaluate the skill of your (potential) cofounder. It will help stay calibrated given you really like this person.MR
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Cash money should be treated separately than sweat equity. There are practical reasons for this namely that sweat equity should always be granted in conjunction with a vesting agreement (standard in tech is 4 year but in other sectors, 3 is often the standard) but that cash money should not be subjected to vesting. Typically, if you're at the idea stage, the valuation of the actual cash going in (again for software) is anywhere between $300,000 and $1m (pre-money). If you're operating in any other type of industry, valuations would be much lower at the earliest stage. The best way to calculate sweat equity (in my experience) is to use this calculator as a guide: http://foundrs.com/. If you message me privately (via Clarity) with some more info on what the business is, I can tell you whether I would be helpful to you in a call.TW
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