SON: Dad, I can feel world domination is around the corner for my startup, I need another $250k though – the market will start to pull soon, I just know it!
DAD: Son, that’s what you said for your last 2 investment rounds – you seem to be in the Valley of Death, with no market to speak of? How do I know you’re truly sitting on a home-run?
SON: Dad, I have an idea that will break our “conflict” constructively. Let’s run my innovation through a Market Category Generator, a.k.a MCG, where you can then fund in smaller increments, and only to the extent my new product passes each of their 8 co-creative Product-Category Fit tests. We can use the tests as objectivemarket validation for your next investment.
DAD: Sounds like music to my ears. What is the MCG ’s definition of a home-run , and what is their test journey all about?
SON: An MCG home-run is, what they call, an Emerging New Market Category King, with an agreed minimum valuation (on reaching Product-Category fit inside the MCG), and the test journey to that result, is called the Product-Category fittest process. It’s essentially a process of elimination, that produces home-runs, and rejects (fails) startups where a home-run is shown to be unlikely.
DAD: That means I can just fund the tests, only if your innovation keeps passing them, and I can stop, if you don’t? And once you’re a proven home-run, I can make my actual investment then? (YES, says SON) I’m in!
SON: One more thing Dad. There is one condition, apparently we both need to adopt a new way. We both need to stop predicting if my innovation will be a home-run or not, and rather allow the co-creative Product-Category Fit tests to reveal the outcome – its the guiding condition of all those entering the MCG.
DAD: That’s a deal my son, where can I learn more….
SON: To learn how early-stage venturing and investments are being democratized, and turning ordinary investors (Friends and Family) into expert investors, please watch this video Dad, and be prepared for 19 mins of deep worthwhile learning…
DAD: Let’s make contact with www.tmaragroup.com and see how to join theirMCG, to assess the innovativeness of your new product, and that we’re really sitting on a home-run!
Note to reader: If the roles apply, please substitute ‘DAD‘ with ‘LEAD Investor’, and ‘SON‘ with ‘Innovator / Entrepreneur‘ , and read the above conversation again, when you get a chance.
Other topics by TMARA, include :
HOW to know, IF and WHEN a startup will reach Product-Market Fit:
The primary cause of startup failure:
Most, if not all, of the great startup successes (home runs) did not solve a BIG PROBLEM for a big market!
(c) Copyright protected by TMARA 2019