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If somebody has a website idea and make the website successfully (not on paper) and the local market is good (idea succeed) but he cannot extend the market because of management, finance and marketing issues (lack of experience, budget...) and the idea is going to expire after a while, how can find an investor for such a website.

My question is not just about financing, an investor with similar past experiences and reputation.

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How do you envision your idea "expiring"? – Rob Raisch Jun 12 '11 at 3:54
When a new demand is grow, and you have a product that satisfy market demand in a new way (by a new method which took you 9 months to implement), other parties can use the same method and the idea is expired then. – Xaqron Jun 12 '11 at 4:06
On the contrary, ideas never expire. A good idea is always good. A successful idea is one that answers a need and is executed smartly. First to market is rarely a defensible position, quite the opposite, actually. :-) – Rob Raisch Jun 12 '11 at 4:09

2 Answers

up vote 3 down vote accepted

Finding the right investor is like finding a partner. It takes time, there are such dating websites and groups, typically angel investors are what you are looking for.

Build up a profile of the type of people you need (it may be more than one). List out the skills and attributes you lack, along with the personality traits that will suit you in a working relationship. Work out what you are going to offer them ... 50/50? probably not, but it needs to be thought out properly as to how much, what for and why.

STart talking, most major cities have events, over here in Melbourne we have FundingConnect, Tech23 and a host of MeetUp.com groups that you can go along to (though the Meetup groups are more miss than hit in my expereience).

Publish on your blog / website and twitter that you are "seeking a match with ..." and start the conversation off.

... If your idea is going to expire then I would say you need to build a "hungry" team first up, get people who are willing to work for the chance to make it big, and then get an investor who is ready to back you, bet big and help given the team is in place to nail it.

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It really depends on the kind of opportunity: its size, scope and requirements.

For small needs, check with friends and family.

For medium size requirements, ask your lawyer, CPA, doctor, etc. if they know of anyone interested in investing in startups.

You can usually find groups of angel investors near to you by searching online--in the Valley, check out Band of Angels, in Boston, Boston Harbor Angels among others--but if you choose to seek angel investment, be prepared to rigorously prove and defend your business and its model.

And as far as experience goes, angels tend to be very knowledgeable in specific verticals, so choose carefully.

Of course, if you can, run away from OPM* as fast and as far as you can.

* Other People's Money

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@Rob: What I need is not money, it is market. A good example would be YouTube. There were many other websites, but a good join venture made it the most popular website in its category. If they did not join Google, now they were a small website like many others we know or never heard of. – Xaqron Jun 12 '11 at 4:18
@Xaqron: you indicate in your question that you lack management, marketing, financial and other crucial resources needed to build your company, all of which can be acquired through the judicious and effective application of MONEY. – Rob Raisch Jun 12 '11 at 5:01
And frankly if you truly lack market, as you say, then perhaps you might consider another business. If the market doesn't exist for your product, you won't be able to sell. – Rob Raisch Jun 12 '11 at 5:02
@Rob: The market exist, I'm selling locally right now but I have not right connections. I have a new technology which other parties can produce in less than one year. This give me the opportunity to enter the market, but with current potential, I'm afraid the opportunity gets lost. – Xaqron Jun 12 '11 at 8:47
Then identify other companies with better "reach" and propose a partnership, or as I mention above, buy the expertise you need to widen your opportunity to larger markets. – Rob Raisch Jun 12 '11 at 14:12
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