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What Is Telecommunications Sales?

How does a new startup with no sales get funding for a great new software product that is ready for the market? The target market is telecommunications, renewable energy, and electric vehicle charging stations.

  • The software has been in development for (6) six years and is fully developed.  All funds have been allocated to development cost and some marketing items like website and promotional videos etc. But we are finding it impossible to get funding without sales. The product was shown to one of the top two telecommunications / wireless companies in the world, in particular one of their business unit based in Atlanta, GA.  The reception to the product was great and all lights were green for a purchase.  Then the business unit was set to be purchased by another company for 5.1 billion and the sale was put on hold. This was our first attempt at selling which I feel was quite amazing.

  • Answer:

    Well, put yourself in the shoes of the investor.  If you are seeing hundreds or more probably thousands of deals a year, you invest in few than 10, lets say half of them have a story like yours, but a fraction of those already have sales, why should you go with one without sales?   And, to be direct about it, the fact that the business unit which liked but has yet to  purchase your product was up for sale for $5.1B is meaningless.  While a large reference customer is great, a lot of smaller, paying customers will do fine.This answer is not a substitute for professional legal advice....

Mike Prozan at Quora Visit the source

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We have a productivity solution in another market (i.e. not competitive with yours).  We have two versions recently launched - Cloud and Salesforce - and we're already winning awards from prestigious organisations for "knowledge worker innovation".  But we have only one small customer so far.  Our funding experience is the same as yours...impossible to get funding without more sales.  At this point, we've stopped wasting time with angels, and we're concentrating on getting enough sales so we don't need outside funding.  In the long run that will leave us in a better position for growing and managing the company.  Good luck!

Anonymous

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