NT ENTREPRENEURS - INTERNET START UPS

[MPLS612]

My idea is based on a service and not a product, revolutionary imo. My problem is I have no software engineering background, patent experience or funding.

Where can I go from the ground up? Any Nters successfully start up an Internet based business?

 

[crazy ebw]

I wouldn't mind going in on your avy from the ground up.

Sounds like you need to go back to school. Srs.

 

[lazyj10]

You need to search for those whose strengths aren't abilities you have and form a team versus going to school.

Funding can happen if the right people are in the right place.

 

[atlien seeko]

I'm curious as to what the idea is.. I love this kind of stuff.

 

[MPLS612]

You need to search for those whose strengths aren't abilities you have and form a team versus going to school.
Funding can happen if the right people are in the right place.

This is actually the step of the process I'm at. It's difficult to approach people with ideas without the risk of IP being ripped off.

 

[thadocta]

I'm curious as to what the idea is.. I love this kind of stuff.

what happened to your million dollar idea papi?

 

[solegit08til]

Warrior forums can help you. You can find the people/info you need.

 

[ohmygosher]

You need to search for those whose strengths aren't abilities you have and form a team versus going to school.
Funding can happen if the right people are in the right place.

This is actually the step of the process I'm at. It's difficult to approach people with ideas without the risk of IP being ripped off.

Also worried about this concerning an app idea.

 

[jyk026]

[quote name="Crazy EBW" url="/t/531249/nt-entrepreneurs-internet-start-ups#post_17561222"

Sounds like you need to go back to school. Srs.[/quote]

What he said. U bring nothing to the table in terms of skills, connections, funding, experience, etc. If I were u go back to school with a major in comp sci or something and then make it on your own.

 

[lazyj10]

Thats a little harsh. I work with portfolio companies and sometimes I'll see a guys vision executed through a team of talented individuals. Sometimes the founder can't program but he can still aide in cultivating and ultimately developing the product.

 

[victor]

If your idea is truly worthy, draft a business plan. This will force you to objectively analyze and map out your opportunity in detail, addressing everything from the overall vision, cost, management, revenue stream, operating cycle, financing, and timeline to launch plus future outlook (plus more..). The true purpose of this is to establish a clear vision of the endeavor for yourself, but it also helps big time when sharing the idea with interested parties (investors/developers). As you understand your idea more, you figure out ways to get what you need from others without having to spill the beans on everything.

Protecting IP is tricky. It helps big time to have a business license to operate under prior to hunting down developers and investors. Having your business founded also helps when utilizing Non Disclosure Agreements. Make sure your NDAs have a clause that make reference to punitive damages that will result if the contract is broken, that will help you sleep at night. A lot of online example NDAs don't include such a clause, so be wary. 

Remember that it is not your idea unless you can clearly represent it. If you have a thorough plan, clear documentation, and official licensing, you will find it easier to get what you need, plus you will have a somewhat legitimate paper trail tracing you to the idea.

If you're not a specialist (as in you don't provide a specific skill of value), then there is only one other way to contribute, and that's through facilitation and decision making. If people can see that you have a clear plan of action and that you have the drive and intuition to steer that plan to manifestation, you will find a way to get the right team behind you.

Another thing to look into is start up accelerators. Here's a list of them all: http://www.seed-db.com/accelerators

In general these companies take applications for ideas and provide start up funding and consultation for the best ones in exchange for an early stake in equity (2-10% generally). Sort of like financial aid, but for startups instead of school. If you're just someone with an idea and nothing else, this is a great opportunity. Sadly you just missed out on YCombinator's most recent round of applications, they're the biggest start up accelerator in the game and they're based in Silicon Valley, but there's lots of others to choose from.

Check out this book as well: The Lean Start Up

 

[johnnyredstorm]

Steve Jobs did just that...

 

[xilegacy]

Steve Jobs did just that...

Steve and friend named Steve that he trusted.

You my friend are just bringing an idea and sometimes that's not enough.

 

[moderndarwin]

I understand your predicament. First step is to not worry about people ripping off your idea. If starting a business were so easy, everyone would do it. Starting a business involves putting in the time to make that convoluted vision into actionable steps.

However, you really don't need to have any developing background, and not much funds to start. It's called bootstrapping it. I am in the same process as you. I have an idea for what I think is a great web based start-up. However, I felt overwhelmed at first because I don't know how to program, don't know how to code, and know next to nothing about hosting etc. Again, this is not a problem. People let insecurity and doubt over the things they don't know control how they go about making an idea into a reality.

If you are using the web what you need is a website. First step would be to find 10 websites that you like in design, ease of use, and functionality. Next step, on a piece of paper with a pencil and ruler simply draw a simple concept of all the main pages: main launch page, main operation page, about us, contact us, etc. What pages you need depend on the type of website you want. The more detailed you draw your concept out, and understand EXACTLY what you want the website to do the better off you will be. You can't leave anything up to chance.

If you were to use an expensive designer and developer from the US, you can chat with them, develop a vision, work together to come up with a design, etc and spend maybe 15-30k on a website. However, if you spend your own time and draw out the website and understand exactly what you want to do you can EASILY and SUCCESSFULLY use an outsourced developer.

I suggest you check out freelancer.com

It's amazing. The people on it do great work and their rates are much cheaper. I am having an extremely extremely complicated website built that is going to cost me $4,800 and 65 days. They talked me through it on Skype, asked me questions in good English, understood my design, and overall just made me feel comfortable about the process. I've seen their portfolio, other people's feedback on projects of similar scope, etc etc. However, on the Skype call I realized how important it was that I knew exactly what I wanted on each page etc. They will take my concept and show me designs until I am satisfied. Then they will begin putting the code to get that working.

If you can't afford $2-$5,000 then you really don't believe in your idea much. Anyone can get a credit card and put 2-5k on it. Just depends how much you believe. Once you have your website developed (or in the process) I would register the business (as a sole proprietorship). It takes about a month and there are multiple forms, departments you have to deal with it. The sooner the better (in case you have a conflict with your name, you can change early on before it is too late).

After that, it is up to you to convince people how good your idea is. You can't convince people just by talking about it. Investors are not going to invest in your idea to start with. You have to borrow money from family, friend, or the bank. Check out sites like prosper.com or lendingclub.com. You can borrow up to 25k on a 5 year loan.

Etc etc...

Just for reference my process:

1. Drew out all the pages I want for my website on a pencil and paper. $0, 3 weeks
2. Used prezi.com to sketch them out on the computer $0, 2 weeks
3. Used freelancer.com to have someone take my concept and make them into computer high resolution jpeg files using Photoshop. $250, 2 weeks
4. Used freelancer.com and used those jpegs and Skype to communicate fully the idea to a design and development team. $4,800,, 9 weeks
5. Registered my business $150, 4 weeks
6. Used demoduck.com to have a video made as my main way to convert visitors to users. $4,000, 7 weeks
7. Recruited interns from universities (free) to give them a 3 month internship and help me with the marketing etc. $0, 16 weeks
8. After I had 100 clients signed up, changed from a sole proprietorship to a corporation, $4,000, 4 weeks
9. Got investors.

As you can see, the process is always going to be you have to invest your heart and soul in the business before you have a chance of someone investing in you. Investors, angel investors, will generally only invest in corporations. That is because they are looking for companies that will be bought out so that they can make a big profit. Unless your organization is a corporation it can't really be bought out easily.

Any other questions feel free to ask. When you talk to developers don't worry about your idea getting stolen (if you use a reputable site, such as freelancer.com). They really go through a lot of designs etc and they focus on what they can do. Especially overseas developers. They are just happy to have access to a site like freelancer and cannot really even comprehend putting together a business stateside and stealing your idea.

 

[moderndarwin]

If your idea is truly worthy, draft a business plan. This will force you to objectively analyze and map out your opportunity in detail, addressing everything from the overall vision, cost, management, revenue stream, operating cycle, financing, and timeline to launch plus future outlook (plus more..). The true purpose of this is to establish a clear vision of the endeavor for yourself, but it also helps big time when sharing the idea with interested parties (investors/developers). As you understand your idea more, you figure out ways to get what you need from others without having to spill the beans on everything.

Protecting IP is tricky. It helps big time to have a business license to operate under prior to hunting down developers and investors. Having your business founded also helps when utilizing Non Disclosure Agreements. Make sure your NDAs have a clause that make reference to punitive damages that will result if the contract is broken, that will help you sleep at night. A lot of online example NDAs don't include such a clause, so be wary. 

Remember that it is not your idea unless you can clearly represent it. If you have a thorough plan, clear documentation, and official licensing, you will find it easier to get what you need, plus you will have a somewhat legitimate paper trail tracing you to the idea.

If you're not a specialist (as in you don't provide a specific skill of value), then there is only one other way to contribute, and that's through facilitation and decision making. If people can see that you have a clear plan of action and that you have the drive and intuition to steer that plan to manifestation, you will find a way to get the right team behind you.

Another thing to look into is start up accelerators. Here's a list of them all: http://www.seed-db.com/accelerators
In general these companies take applications for ideas and provide start up funding and consultation for the best ones in exchange for an early stake in equity (2-10% generally). Sort of like financial aid, but for startups instead of school. If you're just someone with an idea and nothing else, this is a great opportunity. Sadly you just missed out on YCombinator's most recent round of applications, they're the biggest start up accelerator in the game and they're based in Silicon Valley, but there's lots of others to choose from.

Check out this book as well: The Lean Start Up

Thanks a lot for that link! I've been so focused on my idea that I haven't given much thought to funding. I don't need much funding at this point in the game, but that's an amazing resource.

 

[americangenius]

First off ideas are almost worthless. There are probably 3 or four startups doing exactly what you are thinking of. Execution is 99% of getting a startup to be successful, so if you think the idea is IP with value you are wrong. Start by doing research(esp on competitors), draw up or wireframe how the website would look like and the features needed and either outsource talent to build it or find a technical co-founder who can build it. I actually encourage you to ask knowledgeable people what they think about the idea without giving too much detail. As said above, the chances of anyone having to resources, experience, or talent to take your idea and launch it successfully are extremely slim.

The problem is many people think they have ideas and they have nothing else to offer making it difficult to find partners or raise funding. I suggest you read "The Lean Startup" before you dive in that can save you much time along the road. I will update this thread with more reads in a bit.

Edit:Lean Startup was already posted. If you are in NYC they have Lean Startup Machine workshops you can attend as well and they also have sessions in which they break down your idea and give you advice.

 

[slamcity]

Thats a little harsh. I work with portfolio companies and sometimes I'll see a guys vision executed through a team of talented individuals. Sometimes the founder can't program but he can still aide in cultivating and ultimately developing the product.

This is true. But flip the coin and you have the guy whose vision is executed through a team of excellent individuals so well, that it no longer becomes his vision. Word to the Winklevoss twins and Facebook. I'll give OP benefit of the doubt, but still the difference between sharing your vision and sharing your power is all part of the chess game.

 

[nkwu11]

My idea is based on a service and not a product, revolutionary imo. My problem is I have no software engineering background, patent experience or funding.
Where can I go from the ground up? Any Nters successfully start up an Internet based business?

1) don't get enamored with your idea

2) don't get enamored with the 'startup life'. it's a getting trendy (and many people are claiming there's another bubble)

that being said, just network and don't be too afraid (just be prudent) with who you share your thoughts with.

I over think things and I "know too much" about the realities of startup life where I'm afraid of all the risk If you do believe in your idea, just pursue it. It doesn't have to be a homerun business for you to gain valuable connections and traction for maybe your next startup. and remember to start small (not slow) and just pursue it. ask questions and you'll piece together the puzzle for the rest of your business. depending on where you're located, i'm sure there's infrastructure available to help you and direct you in the right place to ask these questions. They can be very helkpful

 

[thebsprky]

P4l!!

 

[victor]

As everyone has stated above, it is 1% idea and 99% execution. Dreams are worth nothing, the proper manifestation of them is worth everything.

A note for those reading this in college, especially university: This is the perfect opportunity for you to create a startup. Being in an environment where so much ambitious, knowledgable talent is concentrated, specialized, and upheld to high standard is a blessing for an entrepreneurial mindset. Make friends in the CS department, one of them could be a future Tech Co-Founder. Hang around the Art department and get cozy with some Industrial Designers; that'll get you someone who can create interfaces, mockups, wireframes, and all kinds of visuals. Making a start up is just another school project. If you're going to be subject to the academic rigor of a collegiate environment, you might as well spend some of that mental labor on a personal project that could eventually pay literal dividends. Also keep in mind that once you're out of college, it will be harder to maintain that sharp mental ability you have developed through a life of school unless your ongoing lifestyle demands it of you. I've seen a lot of bright people grow dull after college, and it's usually people who ended up at process-focused jobs that demanded much less mental complexity than school. 

 

[executive76]

 

[biglescobar]

If you are worried about being ripped off, hire a good lawyer and get NDAs signed...Also I would strongly suggest filing a patent and trademarks if applicable....it may be expensive but you are better off paying a lawyer now to protect yourself then paying later to defend yourself......

My partner GoldStCapital and I have are in the process of forming a new investment fund to take on new projects and we have talked with many NTers so far....We have 2 deals that we are strongly looking at right now......He owns a hedge fund and I am an entrepreneur myself who has successfully gotten a few recent mid size projects off the ground with my own cash....... But definitely dont be scared to spend the legal money now is that is the main downfall of people with new ideas, is that they dont want to spend the initial costs......

 

[thenoguy]

Phone rings?