How to Procure Funding and Raise Capital for Your App Project
Techniques you can use to help you develop an app based on a relevant idea that easily resonates with the target audience.
With so many success stories of apps around, you may be surprised. Why can’t your unique app idea get sponsors or investors to back the idea and shape it into an excellent product? The concept behind an app is the first step in a journey of a thousand miles, and there are miles to go.
When getting funds or investment for an app project, you need to be highly systematic and diligent and consider several factors. Before creating an app from scratch, you need to evaluate the app idea and think about the pros and cons of various options corresponding to the core idea.
Here we will provide some tips to perfect your app idea to easily fetch investment or funding for the app project.
A great idea is practical, valuable, and relevant
First, you need to remember that a great app idea is always practical, beneficial, and thoroughly relevant to the user’s situation. It is essential to detect a particular user problem, requirement, or preference that your app can address, fulfill, or delight.
If you seek funding for a mobile app, you may need to understand the different sources of financing available to find sources that fit your needs. The various funding sources are the business model, the venture capital investor, the angel investor or investor, the micro-finance organization, government grants, and your personal savings.
The Business Model of your mobile app determines whether it is:
- A consumer app,
- an enterprise app,
- or a professional app.
You may also need to think about the size of the market, which affects the type of funding available to you.
If you are developing a consumer app, you will need to decide whether to go for a freemium model, a paid app, or a combination of the two. The difference between the two business models is the way the app is priced. The freemium model is free but offers users a limited set of features. In the paid app model, you can charge a fee to unlock additional features.
When solving user problems, always remember that there are several different solutions to a single issue. So, you don’t need to be discouraged if you find an app offering the keys to the same problem. Maybe, you can submit a better or more cost-effective or efficient alternative.
App Ideas providing remedies
This is the most common sort of app idea shaping the success stories of most leading apps. One of the most practical ways to develop a great mobile app idea is to deliver a practical solution to a problem people face daily. Fortunately, to recognize issues with your app idea, you may not need the help of an app development agency.
To begin with, you need to know about a problem experienced by people daily. Now you can think of a credible solution to solve this problem efficiently. This solution itself explains the core of the app idea. When recognizing the problem and corresponding solution, always try to find how many people face the problem and how the solution can resonate with people.
This approach works great for creating new apps because it allows you to approach problems in simple terms and highly contextually. It becomes much easier to address a daily life problem with an app than to think of a unique app idea out of the blue. Particularly, when you have a solid understanding of the problem, the solution becomes even more straightforward.
Doing something better on an existing idea
This is another highly effective approach to come up with unique app ideas. There are times when an app appears to address a particular problem shared by thousands, but the same concept may not fix several issues at one go. In that case, you can stretch the same app idea to accommodate new features, and thus, you can come up with another app idea with more capabilities.
Enhancing an already existing app idea can be a little challenging, but it offers an array of advantages. One of the significant advantages of this technique is that it allows easy adoption. The goodness of this approach is that you can make users easily understand the core offerings of the app and make your precise and unique value propositions with the additional features.
Research the apps in Play Store and App Store
For coming up with a great app idea that resonates with your target audience, it is always practical to browse the respective charts of both the Play Store and the App Store. These charts also give you a clear idea about the app ideas and categories that are most successful in terms of traction, downloads, and revenue.
Just think of a few keywords related to popular things and topics such as travel, fitness, health, marketing, food, dining, motorcycle, etc., and see what the search results show you.
Another effective way to browse these stores is to search different categories of apps in the featured apps section. When you see specific app themes commonly featured in various types, you can understand that they are more popular. For example, in the health and fitness category, you can encounter the theme of tracking patient statistics several times.
Observe your surroundings
Sometimes, a good app idea can be as weird as recognizing the gravitational principle by spotting an apple falling from the trees. Yes, this is why you need to seek a broad range of ways to encounter app ideas that matter. If you observe your surroundings and consider the problems you face in the daily lives of people and the visual clues and hints to address these problems.
The most important thing to remember is that everyday problems can be turned into essential app ideas that always exist around us. You only need to observe the details, discover them, and find multiple solutions to address them. Even by browsing questions in Quora, you can get an idea of the problems people face in their everyday lives.
What is the primary goal for your app?
So, if you have problems fetching investment for your intended app project, it is essential to make your app idea perfect first. The argument presented should be short and condensed into the most vital points like — what is the primary goal, who will you be involved with, and what is your end goal? If you have a plan for a product or service that you think people want, you can benefit from the funding manifesto. The above tips and practices can quickly help you shape an app based on a relevant idea that easily resonates with the target audience.
Special thanks to Tremis Skeete, Executive Editor at Product Coalition for the valuable input which contributed to the editing of this article.
