How to Raise Money for Product Creation
Here’s a sneaky little underused tactic for making money before you even create your product: Decide what your product is going to be and write an outline for it. From this, create a list of bullet points that presell the product.
Now using these bullet points, offer your upcoming product to your list as a Beta test.
Tell your list:
- The product is being created right now
- They will get the product the moment it’s finished – expected delivery date is ___
- They are getting a killer deal because you want and need their feedback
- They are your beta testers. If it’s software, they will look for bugs. If it is written material, they will let you know about typos, what they think should be added, etc.
- Once you get their feedback, you will fix any bugs, add what’s missing, fix typos, etc. and send them the finalized, polished version.
- You will then offer the product to the public for a significantly higher price than they paid.
Not only does this give you some money up front to work with – it also provides you with valuable feedback you can use to make your product even better than you originally planned. Guaranteed a handful of your beta testers will give you suggestions you never would have thought of by yourself – suggestions that can greatly increase your sales later.
In fact, the feedback aspect alone makes this technique well worth doing. One caution: Do not be tempted to give away your Beta product – 9 out of 10 people you give it away to will never get back to you with feedback because they have nothing invested. When you charge something, even if it’s only a paltry sum, the number of users who give you feedback will greatly increase.
The one exception to the previous rule is people you personally know, like friends and JV partners. Because you already have a relationship with them, they don’t need to financially invest in order to feel vested in your success.
Special bonus for using this technique: Ask your Beta testers for testimonials you can use in your sales material.