So, there you have a great technology idea for a business. But you do not have any technical-know-how on programming, designing or testing. In such a scenario, the first thought that you will have in mind is to hire a professional, a consultant or outsource the project.
But when the question arises on funding and capital, there are plenty of chances where you can get stuck. If you are starting on a low budget and have only equity of your “idea of becoming a company” to provide as an investment, here are facts you have to consider.
The title as it sounds is not that simple to execute. If becoming an entrepreneur is your vision or if you are already an entrepreneur who is starting a new venture to bring in new talents, this option is a viable one to consider. In a case where you cannot invest liquid money but can put out equity as an investment option, there are fair chances of your business receiving better openings. In easier terms, your startup with equity as an investment will be hiring developers as business partners.
In this technology-filled era, it is easy to spot a developer but to find a great performing developer who can find solutions within a short time is hard to find. Such developers are ones that you must include in your business. While opting for investing with equity, hiring a professional and smart developer is also an added ROI benefit for the investment.
An advantage of hiring a developer as a partner is that the growth of the company is that both the parties’ interests will be aligned to the success and potential reach of the business. Before hiring developers and adding them as your startup partners, make sure to check out these few points.
- Approach people who you know professionally and trust to hand over the equity shares.
- Attend events and discussions to build up new connections in the professional network for better professional suggestions for the hiring process.
- Establishing an engaging online presence using your website and social media profiles. As mostly everybody is closely attached to their smart devices, having an online presence apart from being a brick-and-mortar enterprise is essential.
- Check out online sources and professional networks to meet new people and hire qualified developers.
The best way to hire a developer and partner in your business is to find someone who is looking out for the same. In such situations, online professional networking sites come in handy. A few online sources that you can use for finding professional developers are:
1. CoFoundersLab: It is a professional network of over 400,000 potential co-founders and team players to hire and partner in your startup.
2. Founder2be: From developers, designers, marketer and more, find the right co-founder for your business at Founder2be.
3. FounderDating: FounderDating in association with CoFoundersLab proves as a platform for certification courses and discussion forums along with finding the perfect partner in business.
4. FoundersNation: Here both founders and people interested in becoming co-founders can create their profiles just like in a simple listing website quoting their best potentials and experiences in the field of work.
5. EquityDirectory: Another online profile creation website that is exclusively an invite-only network of entrepreneurs and startup professionals exchanging work for equity shares.
Another way to bring out your business is to collaborate with startup encouraging organizations like startup studios. This system is referred to as “parallel entrepreneurship”. Here startups need not worry about raising significant capital to build their businesses profitably instead the startup factory will provide them with technical assistance.
Proto. Camp is another similar setup that will provide startup businesses to easily reach their technology goals with limited capital.
CodeVentures is another startup studio which helps entrepreneurs to build their MVP or complete product in exchange for a reduced fee and small equity mix. This is a great solution for non-technical entrepreneurs who are trying to create a technology startup.
The main concern and question people might throw at you at this stage are why should someone partner with you for equity and do the who work where all you put into is just an idea? Now, this is where you have to put in your idea into a real happening one. Here are a few things that you can prepare to introduce your concept to the developer to prove that the idea is seriously gonna come out well!
Prepare a Business Plan
Prepare a simple yet descriptive business plan, with timelines and illustrations on how the plan is going to be worked out. Include the commencing and ending dates and how the project will be launched and the marketing and sales strategies that will be used in uplifting the product or service to be developed.
Create a Conceptual Prototype
It is always better to visualize a concept rather than hear and imagine its working. Hence, create a conceptual prototype of the idea that you will be pursuing so that the envisioned project stays put. Include the features, products, and services that will be included in the final product.
Prepare a transparent structure on how the equity is shared among the founders and the shares of the profit. It should also include how they will raise capital for further activities. Also clearly mention the access and shares that will be given in cases the founders part ways.
Consider these points while you go out in search of the best partner or co-founder for your startup venture. Try elaborating and emphasizing on these key points that will finally get you to the right professional expert.