I am a software developer half-way through the design and prototyping of what I believe will be a very successful new software product.
Soon I will begin development, and am currently planning on being launch-ready by early 2014. My game plan is to deploy to a Platform-as-a-Service (PaaS) provider using a free tier of service, so that the product can sink or swim without costing me a dime in hosting costs. Other than the formation of my 1-man LLC (less than $1,000 USD), and a few other petty expenses, the startup will be very cheap.
My "end game" strategy with this product would be to gain quick success right out of the starting gate, have strong, demonstrable growth, and be acquired early on, hopefully only after a few years.
Not being a "business guy", and not knowing what the right etiquette is here, I need to start planning for the contingency that everything goes according to plan (!), and that several years from now I have a solid product that could be easily acquired for a healthy profit.
How does one kickstart this process? I've heard the term Letter of Interest before, but usually only with regards to when Company ABC wants to buy Company DEF; they send a "Letter of Interest" expressing interest in acquiring DEF for $X amount of money, and under Y terms.
But here, I want to be in a position to reach out to prospective acquisitioners and say "Hi, we are Company DEF, we are worth $X and have Y finances, would you like to buy us?"
How does this scenario usually unfold in the real world? Thanks in advance!