Introducing the Market Category Generator (MCG)
We can now overcome one of the BIGGEST CHALLENGES in the start-up world – to locate the illusive nature of the market’s sweet spot, a.k.a to reach a perfect product-category fit, scientifically.
The solution sits inside the Market Category Generator (MCG), and comes with a guarantee for participating startups and early-stage investors:The guarantee for
start-ups :
An agreed min. valuation at Series A within 6-18 months, plus the MCG covers the cost of the product-category fit test journey, AND invests at series A.The guarantee for
investors :
The MCG guarantees home-runs at a specific product-category fit test journey cost, and TMARA covers any cost overrun, plus investors secure a preferential equity option on all the home-runs coming through their MCG.
TMARA’s Market Category Generator (MCG)
An MCG is an investor-linked, factory-style, virtual, scalable, global franchise that turns START-UPS into emerging new market CATEGORY KINGS, through a scientific ‘product-category fit / market adoption’ process.
It’s the missing link in the early-stage venturing and investment space, in a new emerging category (sits between an incubator and accelerator), which is designed to be franchised into any startup city in the world
There are basically three parties involved in an MCG:
The ingredients all exist inside the MCG.
The business model wins for each party:
START UP WIN = Every early-stage business (Start Up) wants to reach what is called “Product-Category Fit” – The moment you overcome your market constraint, and start to grow rapidly. Some call it , becoming an “Emerging New Market Category King”. After achieving “Product-category Fit”, the business is ready for super scaling, and is also ready for its first serious funding round – Series A funding.
INVESTOR WIN = Every early-stage investor wants to limit the down side, while enjoying unlimited upside. They want to keep the at-risk portion as little as possible, without jeopardising their upside. [The MCG achieves this with a guarantee to cover any overrun on the risk portion, to generate a success]
EXPERT WIN = The know-how providers share in the net gain, from the emerging kings. The guarantees are protected through a clear set of rules: Start Ups must pass the “Product-Category Fit” tests. The investors must allow the test to reveal the winners, and no-one is allowed to influence decisions based on any form of prediction.
Who is the ideal MCG investor?
What is the product – the MCG?
The Market Category Generator (MCG) breaks the main barrier to find, fund and profit from early-stage companies, by turning uncertainty into probability, then into (investment) optionality. (This became possible through Dr. Eli Goldratt’s two principles for technology that govern the space of early stage venturing and investment).
The MAIN BARRIER = Early-stage LEAD investors have to make a decision to invest without knowing
IF and WHEN the start up will takeoff (information inefficiency), forcing them to cope
by betting on a portfolio of great entrepreneur with a great product, solving a big problem ( betting on the capability for success).
Faced with above-mentioned barrier, the rule is simply = Bet on the Jockey! (It is easy to understand why betting on the Jockey is the best way to cope with the uncertainty – a great jockey has a better chance to face and deal with the uncertainty).
Stop turning friends and family into fools:
https://www.linkedin.com/pulse/stop-turning-friends-family-fools-anthony-nathan/
Fewer start-up failures, does not mean more winners:
https://www.linkedin.com/pulse/fewer-failures-do-mean-more-winners-start-ups-anthony-nathan/
HOW to know, IF and WHEN a startup will reach Product-Market Fit:
The primary cause of startup failure:
https://www.linkedin.com/pulse/simply-true-anthony-nathan/
Most, if not all, of the great startup successes (home runs) did not solve a BIG PROBLEM for a big market!
https://www.linkedin.com/pulse/non-consensus-piece-info-changes-game-early-stage-venturing-nathan/
