ENTRY BARRIERS FOR HARDWARE STARTUPS Aleksander Tõnnisson.

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Presentation transcript:

ENTRY BARRIERS FOR HARDWARE STARTUPS Aleksander Tõnnisson

D2D sales corporate R&D founder & CEO mentor / speaker / moderator investor in 25+ HW StartUps ABOUT ME

Products with high speed to market team? skills? relevant experience? prototype? is something working? is there a market? is it innovative? who else is considering investing? is this team able to raise the next round? valuation? HARDWARE | CREATIVE INDUSTRIES | HEALTH TEC

Typical Startup Lifecycle HARDWARE STARTUP

Typical Startup Lifecycle SOFTWARE STARTUP

MVP & FAST ITERATIONS Software as a Service sketching MVP iterating scaling -2launch

GETTING STEEP VERY QUICKLY Phases of Hardware Startup CP DFM retai l -12 launch MFP 3PL FFR

WHERE THE MONEY GOES Software Startups Cost Structure 60% 10% 30%

WHY IS CASH IMPORTANT Hardware is a cash flow business 60% 10% 30% 20% 10% 25% 10% 25%

MVPDFMSCALING how much< 100K< 500K>1M for what components design costs moulds test benches marketing working capital from where FFF savings pre-orders angel & seed venture capital bank loan WHY IS CASH IMPORTANT Hardware is a cash flow business

The only thing that matters is getting to product/market fit.

Aleksander Tõnnisson, CEO, Founder APPLY AT