So, you’ve got an app idea that keeps you up at night… in a good way. Maybe you’ve sketched out wireframes on paper or built a scrappy MVP that actually works. But there’s one not-so-little problem: money. You’re really not alone there, though. Lots of us have been in that situation.
They are the kind that fuels your vision and takes it from “just a cool idea” to something users rave about on the App Store or Google Play.
Here’s the truth: no matter how genius your app is, it won’t go far without the right financial backing. But this is where we get our saviors, app investors. But let’s be honest: the whole “finding investors” thing can feel like trying to unlock a secret level in a game where the rules keep changing. It’s true.
If you’re wondering, where do I even start? Or, how do I convince someone to bet on my app? You’re in the right place. It definitely isn’t easy, but with the right kind of guidance, you can find app investors who are ready to watch your app grow.
This is why we have created this guide. It breaks everything down, step by step, no fluff. We’ll walk through the exact path from idea to investment. Let’s dive in and get your app the funding it deserves.
Who are app investors?
Alright, who exactly are these app investors? These investors are real people or groups who see potential in your app and are willing to fund it. They do so in exchange for a piece of the action. This is usually equity or a return on their investment.
Oh yes, and they can invest big. It all comes down to the potential your app is hiding. We’re not talking about some mythical tech wizards tossing cash at random ideas. Nope. This is an actual business with investors waiting to go all in for you.
Once you get app investors, you can finally give that app idea of yours what it truly deserves. In short, they are the people who help transform your code into capital and eventually, a company. Finding the right one is where the magic happens.
How exactly do app investors help you?
Let’s be real, app investors don’t just swoop in and throw money at you. They aren’t there to disappear into the startup mist later on. The right investor is more like a co-pilot. They help you navigate the chaos of scaling an app business. Here’s how they actually help:
- First and foremost, they fund your app’s development. They also go for the marketing and all those not-so-glamorous bills. This lets you focus on building, not budgeting.
- When an investor backs you, it’s like getting a blue checkmark in the startup world. Others take you more seriously. This includes future investors and even users.
- Most seasoned investors have been there and done that. They can guide you through tough decisions and warn you about rookie mistakes before you make them.
- Whether it’s your first 1,000 users or your first 100,000, investors can help you scale smart. They know the metrics that matter and how to hit them.
Long story short: good investors aren’t just a wallet but a weapon. And if you use them wisely, they can help turn your app into something unforgettable.
What do Investors Look for Before Funding an App Idea?
Okay, picture this: you finally land a meeting with an investor. You’re excited and maybe a little nervous. Basically, you’re ready to pitch your brilliant app idea. Now, you explain the concept and flash your mockups at them. Despite all this passion, they hit you back with a polite smile and a “We’ll get back to you.”
Why?
Here’s the thing. Investors aren’t just looking for cool ideas. They’re looking for potential and proof. App investors need a reason to believe that your app isn’t just another download. It should be the next big thing. And if you don’t check their boxes, even the best idea can fall flat. Let’s take a look at what these investors actually look at:
Growth potential
Without any doubt, this is number one on their list. So, look, when they see your app idea, they’re asking themselves, “Can this app scale?” They’re not just interested in whether your app works today. They want to know if it can grow tomorrow or even five years from now.
Here’s what that means in investor language:
- Big market, big opportunity.
Your app should solve a problem that many people have. Or it should be one that’s rapidly growing. If you can show that your market is large or expanding fast, you’ve already piqued their interest. - Scalability is key.
Can your app handle thousands or millions of users without breaking down? Investors love ideas that can grow without needing triple the effort or cost. - Clear path to revenue.
Growth isn’t just about downloads. Oh, it’s about dollars. You need a business model that makes sense. This could be freemium, subscription-based, or something else entirely.
Unique Value Proposition (UVP)
Okay, so there are millions of apps out there. What’s so special about yours? Well, when you pitch yours, investors are silently asking: “Why this app? Why now? Why you?”
That’s where your Unique Value Proposition (UVP) comes in. It’s not just a catchy slogan, it’s actually the soul of your app. It’s the clear and convincing reason why someone would choose your app over every other option out there.
This is what your UVP should say in a classy, investor-pleasing way:
- What problem are you solving?
Be specific about things. Investors want to know that you’re tackling something real. What you’re offering should be something that users need.
- How are you solving it better?
This is your genuine edge. Do you have a new approach or a more intelligent algorithm? Maybe your app has a smoother UX or a feature no one’s thought of yet?
- Why can’t anyone else just copy you?
Maybe it’s your tech or perhaps it’s your branding. The bigger thing is that maybe it’s just you. But there has to be something defensible. It should be something that gives you power.
Market Opportunity and Demand
You could have the most brilliant app ever coded. Yes, really… But what if no one wants it, or worse, no one needs it? Then investors will quietly move on to the next pitch. It is all about answering the big question: “Is there enough of a market to make this worth it?”
Here’s what investors want to see:
- A hungry market.
Are people actively searching for solutions like yours? You’re in a strong position if your app fills a clear, growing need. This is especially true for those problems that haven’t been solved well yet - Solid data, not just vibes.
Investors literally love numbers. Show market research and industry trends. Dive into user behavior insights and anything that proves there’s demand and room for growth. - Room to scale.
Maybe your app starts in one niche, but can it expand to other user groups or industries later? Again, growth potential! Now that’s a green flag.
Team Expertise and Capabilities
Investors don’t just bet on ideas. They bet on genuine people. And when it comes to building and growing an app, your team matters just as much. To them, it might be more valuable than the tech itself. Here’s what investors are really asking: “Can this team actually pull it off?”
Your answer? It needs to be a big, confident yes. It needs to be backed by these points:
- Relevant experience.
Does your team have the skills to build, launch, and scale this app idea? Do you have the developers, designers, and marketers? You have to show that you’ve got the right mix on board. - Complementary strengths.
A dream team isn’t just full of tech geniuses or sales rockstars. In reality, it’s a balance. Someone builds and someone sells. You’ll even have someone strategizing. The best teams are puzzle pieces that just click. - Past wins (or lessons learned).
Have you ever launched a startup before? Have you worked on a successful app? Even failures count. As long as you learned from them, app investors will love your team.
How to get app investors?
So now you know that you have investors look for. Yet, you don’t know how you can actually get one to say yes. This is where the hustle begins.
Finding app investors isn’t just about having a great idea. It’s literally about knowing how to pitch it and where to find the right people. You will need to build the kind of buzz that makes investors want you just as much as you want them.
Because getting app investors may feel like it, but it isn’t magic. It’s actually strategy and confidence. You just need to know the right moves at the right time.
Develop a Solid Business Plan
Before investors even consider funding you, they want proof that you’ve done your homework. That’s where your business plan comes in. The plan you have shows that you’re not just chasing a cool idea. It displays that you’re building something with strategy behind it.
Start with a clear mission and define who your app is for. Explain how you’ll make money. Tell them whether it is through subscriptions or ads. Show your app investors that you understand the market and how you’ll stand out.
Then walk them through your marketing game plan: How you’ll get users and keep them engaged? What are your plans for growth? And yes, they’ll expect numbers too: how much you’ll spend and what you’ll earn. They want to see when things will start paying off.
Create a Good Pitch Deck
When you finally land that meeting with an investor, your pitch deck becomes your gold. This is the quick story that sells your app’s vision. It gives its value and potential in just a few slides. This isn’t the time to dump every detail.
You need to keep things crisp and visually clean. Show them what your app does and the problem it solves. Tell them who it’s for and why it’s better than anything else out there. Highlight your traction if you have it, and don’t forget your business model.
App investors want to see how all this turns into real money. They’ll wrap it all up with a clear ask: how much funding do you need, and exactly what will it be used for? A great pitch deck doesn’t just inform—it excites.
Build a Prototype/MVP
You can talk about your app all day, literally, do it as much as you want. Believe us, nothing beats showing it in action. That’s where you can build a prototype or MVP (Minimum Viable Product).
Instead of pitching an idea in the dark, you’ll give investors something they can actually see or interact with. Even a basic version of your app shows that you’ve moved past the concept stage. It generally shows that you are serious about building.
It doesn’t need to be perfect. Your MVP/prototype just needs to be functional enough to prove the core idea works. They need to see that users are interested. Think of it as a sneak peek into the potential and the user experience your mobile startup can deliver.
Validate Your Idea
Before asking investors to believe in your app, make sure real users believe in it first. Validation is all about proving there’s actual demand for what you’re building. That’s it’s not just in theory, but it also exists in the real world.
This could be through surveys and user interviews. You can do beta tests or even a simple waiting list. It is basically anything that shows people are interested and ready to use or pay for your app.
When you build an MVP, you show the investors the direction you’re headed in. A working MVP builds instant credibility. It tells investors that you’re not just dreaming. They want people and teams who are serious.
Build the Right Team
Even if you have validated your idea, it’s not going to work if you’re a one-person show. App investors aren’t into that. They need a well-rounded team. It should be able to bring your app to life and carry it through every challenge.
Yet it also doesn’t mean that you need a huge crew. It just means having the right people in the right roles. You need someone who can build and someone who can sell. You’ll need a reliable someone who can scale.
Skills matter, but so does chemistry. Investors will want to see a team that works well together and shares the same vision. A strong team tells investors that it isn’t just a good idea, it’s a team that can make it happen.
Apply to Accelerators & Incubators
Suppose you’re looking for funding and mentorship. Think of how a serious credibility boost will help! This is where accelerators and incubators help. These programs help early-stage startups grow faster. They do this by giving you access to expert guidance and sometimes even seed money.
Getting accepted into a top accelerator isn’t easy. But don’t lose hope before you even try. If you manage it, it instantly adds weight to your app. It shows investors that you are supported and are ready to scale with a structure behind you.
Think of it as a startup school. Yet, it has real-world perks and powerful connections. A creative mobile startup app could make an excellent pitch. It might get you good accelerators and you would get some guidance along the way.
What are the types of app investors?
Not all investors wear suits and write million-dollar checks. This just isn’t true. There are some low-key mentors, and a few might even be your future users.
So before you start pitching, it’s important to understand who’s out there and what kind of investor fits your and your startup’s goals. Each type brings something different to the table. It brings money and experience. You build networks or even a mix of all three.
In this section, we’ll break down the main types of app investors. So, you’ll know exactly who to approach and what to expect from each.
Venture Capitalists (VCs)
Venture capitalists are sharp. They are always hunting for the next game-changer. This could literally be you. VCs don’t just invest money casually. They invest big.
We’re talking serious capital, usually in the millions, and they’re not here for side hustles. They want scalable, high-growth startups. They want them to dominate markets and deliver massive returns.
So, if your app has billion-dollar potential, VCs might be your golden ticket.
But here’s the deal:
- VCs don’t play around. They’ll inspect your pitch and your team. They’re even looking at your traction and your market size. You need to be on point with your data and your story.
- They usually come with strings. In exchange for their investment, you’ll give up equity and often a say in how things run. Some even take board seats. This can be good because you’ll have experts by your side.
- It’s not just about money. A good VC brings mentorship and connections. You even get strong credibility. They’ve seen hundreds of startups. When they back you, others take notice.
So, technically, if you’re ready to scale like crazy and can handle the heat, a VC might be exactly what your app needs. This way, it can break into the big leagues. Just make sure you know what you’re getting into. VCs can help you fly, but they’ll expect you to soar.
Angel Investors
Angel investors are the early-stage champions. They are those brave souls who see the potential in an idea before it even becomes a product. They’re not just throwing in a few bucks here and there. They are actually making a bet on you and your vision.
Angel investors often invest their personal savings. They also have a genuine interest in seeing you succeed. So, they may not have the huge funds that venture capitalists bring to the table. Yet, what they lack in size, they make up for with personal investment.
Angel Investors are in it for the journey, not just the paycheck.
- Angel investors typically invest in the early stages. So if your app is still a rough idea or a basic prototype, you’re in their sweet spot.
- Don’t expect to just take the money and run. Many angel investors offer guidance and valuable connections. They deliver you with the expertise that would help you shape your vision and get things off the ground.
- They believe in people for their potential. Angel investors aren’t just about the numbers. They genuinely want to connect with the founder and see passion and drive.
So if your app has potential but you’re still in the early hustle, an angel investor could be the mentor and financial backing you need. They’ll help you take it to the next level. Getting angel investors by your side can be a powerful move.
Friends & Family
Friends and family are often the first people who believe in you. They do so long before you even have an app to show. They know you and want to see you succeed. In most cases, at least. So when you’re just starting out, they might be the ones to offer that crucial initial funding.
But here’s the deal: getting money from loved ones is not just about finances. It’s personal. They’re investing in you and your dream. They aren’t necessarily doing it for the product itself. This means they might be more flexible. However, it also comes with the pressure of not letting them down.
Here’s what to know:
- Friends and family tend to offer seed money only. It’s only enough to get things rolling, but not enough to scale big. It’s just perfect for when you’re just getting started and need that early push.
- They believe in you more than anything or anyone. Their investment isn’t just about the numbers. For them, it’s about supporting you as you take your first steps. They want to see you succeed, even if they don’t fully understand the app’s potential.
- Getting help from friends and family can be both a blessing and a curse. If your app takes off, they’ll be thrilled. If things go south, it can complicate relationships. This is natural. So, it’s important to set clear expectations.
Receiving funding from those close to you can feel like a huge confidence boost, but just handle it carefully. If you can balance the personal and professional sides of the relationship, it could be the boost you need to get started.
Crowdfunding Backers
Crowdfunding backers are the wildcards of the startup world. They’re the people who believe in your app enough to put their money easily. They don’t even need to see a massive track record or traditional investor pitch.
They are actually about backing your vision. This is because they are excited about the idea and want to see it happen. This is a unique form of investment because it’s not just about financial backing. It is literally about creating a community around your app.
Here’s what makes crowdfunding different:
- Investors on crowdfunding platforms are often buying into your story. If your app solves a problem they care about or sparks their excitement, they’ll invest in that journey.
- It has mostly no strings attached. Crowdfunding backers typically don’t demand equity or control over your company. They just want to see the app succeed. They may want to receive rewards like early access or exclusive features.
- Getting funded through crowdfunding can be a strong signal. It would be for this that there’s real demand for your app. It helps prove to traditional investors that people are literally willing to pay for what you’re offering.
With crowdfunding, you’re not just securing capital, you’re literally building a loyal base of early adopters. They can even become your biggest promoters once the app launches. Just make sure your campaign is transparent and offers real value to those who support you.
What are the stages of mobile app funding?
The journey is often broken into distinct stages when you fund a mobile app. Each stage has its own focus and level of risk. A lot comes down to the type of investor. It even depends on how far along your app is.
Pre-seed
This is the very beginning. You have an idea and a vision. You may even have a prototype or concept. Yet, you’re not ready for a full-fledged product launch. Currently, funding is typically small. Often it comes from personal savings or friends and family. The goal here is to prove the feasibility of your idea.
- Idea validation
- Building a prototype or MVP
- Early user feedback
- Testing the waters for future funding
Seed stage
At the seed stage, you’re turning your idea into a real product. You have a prototype or MVP. So, you’ll be working on refining the app. This will be based on user feedback. Seed investors, such as angel investors, typically help you prepare the app for the market. They’ll expect to see potential for growth. They will be betting on you as the founder as much as the product itself.
- Finalizing MVP
- Gathering initial users
- Developing a business model and monetization strategy
- Scaling your team
Series A
Funding in this series is all about scaling. Your app has proven its potential by this point. Technically, investors want to help you grow it. You’re no longer just testing the waters. You’ll be able to improve the product and expand your user base. Series A investors expect to see a solid user base and clear plans for scaling.
- Scaling the product and marketing efforts
- Expanding the user base
- Refining the revenue model
- Growing the team and improving operations
Series B
Series B funding is where things start to get serious. You’ve shown growth, but now it’s time to accelerate. This stage is focused on expanding your market reach. It will improve your infrastructure and help build a brand. Investors at this stage will want to see strong growth metrics and solid plans for long-term success.
- Expanding to new markets or regions
- Increasing product offerings or features
- Optimizing revenue and profit models
- Building a larger team to handle demand
Series C, D, etc
Once you reach Series C and beyond, your app is likely toward major growth and global recognition. This stage is about preparing for long-term sustainability. Investors in these later stages are typically looking for apps with proven success. They want the potential for massive scale. These rounds often involve large institutional or even corporate investors.
- Preparing for IPO or acquisition
- Expanding internationally or diversifying product lines
- Major marketing and branding campaigns
- Focusing on profitability and long-term viability
Develop your app with Linkitsoft!
Finding app investors may be a tricky ride, but you won’t get them until you prove that you have a valuable team by your side. You need designers and developers capable of creating the next big buzz. A good team’s collaboration and capabilities shape your app idea.
Think of it like this: you’re the one with the app idea. Of course, you’re going to feel like it’s the best. You’ll feel like it has a lot of potential. Yet, the market is wide and huge. Investors don’t look at your app idea casually. They have got hundreds waiting. It’s a competition, but it won’t be impossible with the right team and creativity.
At the end, there’s always someone winning the competition. This winner could be you…
Your app idea needs to be worthy. This is also where Linkitsoft comes in! Our team would give their all just to make sure that you get the right skills and expertise. Our years of experience have taught us how to work with clients in various industries. We’ve built several apps, ensuring that they are bug-free and responsive!
From MVP to launch
We aren’t the kind of team that leaves once the main work is done. We’re here to support our clients. This is because we treat them like our partners. Our developers love coding and learning. Our designers never fall back when designing one of the most dazzling user experience designs.
This isn’t something that’s a dream or a theory. It’s the reality at Linkitsoft. The best part is that we don’t go overboard with our costs. Even if you have app investors by your side, our costs would remain the same. So, just think about it, why would you risk it?
Let’s connect today and make your app something worth investing in, together. We can develop an MVP, too! An awesome working Minimum Viable Product for your app would surely bring investors in. Your idea can be the one that turns heads. So, what are you waiting for? Let’s build an MVP and get some app investors!