|Hello, I am a technical founder of a bootstrapped B2B SaaS company. Our solution is a very horizontal process automation platform that has the potential to adapt to a lot of different industries and company sizes with the goal to automate pretty much any business process. I do 100% of coding and my co-founder does sales. Our pricing model is $10/user/month.|
We started working on the product 4 months ago, and are still in the validation phase of the idea, which is showing a lot of potential, yet this hasn't materialized into revenue / paying customers just yet. Trying to look objectively at our progress, it seems we have accomplished a lot in 4 months: we have a working product, 5 signed pilot agreements (to start once we finish a couple of features), and we definitely get a 'wow' impression when we showcase our product. Business process consultants seem to particularly see the potential of our platform.
We have only 8 months of runway left, and will need to raise capital to stay afloat. My questions are:
- Most blogs seem to suggest that in order to raise a seed round you need around $100k in ARR. How are we supposed to get anywhere near that, considering we started working on the product only 4 months ago? Even if we go through the rest of our savings, I don't think it is likely we can hit such a number in the next 8 months.
- Is the advice from these blogs for startups in a later stage? How likely are we to raise money without the kind of traction these blogs talk about?
- What strategy would you recommend for companies in our stage? Is friends & family / business angels our only option at this point? How much would be a good amount to raise from them? We think that if we could hire 4 - 6 people we would be able to move significantly faster. Even if we have a good product, it still needs a lot of work.
Product link: www.seliom.com