Hey, i have a beta marketplace startup which is doing great in my country with a new concept. I want to take it to the next level and take it to the international market. For that, i need a whole new programed platform from scratch and i dont think i need a CTO/tech co-founder who will take equity for just building the new platform. As i dont have the whole amount for paying for the full system, what do you advise me to do ? Is there a way to build the platform without giving alot of equity since i think i can handle the whole startup without another founder ? Is there a way to pull it off with out giving away equity or getting in debts ? THX :)
Your question is clear and understandable, but you either need to pay for the services, or give away equity - talented and trustworthy people won't work for free - nor should they.
The only question that remains is how can you develop the platform while paying less or giving away less equity.
Answers:
1. found a co-founder whose only role is the development of the platform for a relatively low amount of equity and no voting/management rights.
2. Pay beginner programmers who are looking to gain experience (cheaper costs).
3. I know a development company that might be willing to create the platform for you in exchange for a relatively low amount of equity. Additionally, you can draft the agreement so that the equity is given in stages - based on the work that you do.
the only costs that you would have is for drafting the legal contract because they insist on having their lawyer do the legal work and he charges payment (half upfront and half after the work is complete). The programming company also offers a "buy-back" option - this means that if within x amount of months you want to buy back your shares, you can do so, but at double the value of the programming costs.
Let me know if this is relevant.
Good luck
I've successfully helped over 300 entrepreneurs, startups and businesses, and I would be happy to help you. After scheduling a call, please send me some background information so that I can prepare in advance - thus giving you maximum value for your money. Take a look at the great reviews I’ve received: https://clarity.fm/assafben-david
Answered 5 years ago
Access 20,000+ Startup Experts, 650+ masterclass videos, 1,000+ in-depth guides, and all the software tools you need to launch and grow quickly.
Already a member? Sign in