My answer to How can I get seed funding without giving away the idea?
Answer by Raad Ahmed:
I’ll echo some of what you already have been told—investors want to know your idea. You have to think about it from their perspective. Would you feel comfortable giving your time, energy, and money to a cause you know nothing about? Not likely.
Here are a few things to keep in mind:
- Your idea is likely not as unique as you think. Consider whether or not there is a similar product that already exists (even if you have tweaked it to make it more effective). If so, then your idea is already out there. This is a good thing! It means that you have a place in the market and can be a real competitor if you have have a solid plan and solid investors on your side.
- Investors are only going to invest in what they KNOW. There’s a lot of unknowns when it comes to business—but the basic concept of the business should always be understood. There’s plenty of risk associated with startups, and having no clue in what the idea is will totally turn off an investor.
- You can do things to protect your idea. If you truly have a unique concept, you may be eligible for a patent if you actually create the product. However, patents don’t cover just an idea.
The short answer? It will be virtually impossible to attract an investor who has no idea what your business idea is. It’s just not realistic in the world of business.
would be happy to connect you with a seasoned startup attorney. There’s a lot of people who are uncomfortable with some of the initial stages of business. One of our attorneys can help put your mind at ease. Take a look at our website and get in touch for a consultation.