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Start-ups: Before You Launch Your Product, Start With a Service

Harvard Business Review

Seed investors are mostly operating as growth investors, expecting that the entrepreneur will somehow manage to bridge the gap and bring a concept to realization. Much of what the company learned about its customers in the services mode has been developed into its product, although a good percentage of revenues still comes from services.

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How to Fund Indian Start-Ups

Harvard Business Review

However, if you need capital to validate, you are operating in a zone that will be full of very dark hours. But in 2011, $30 billion was invested by angels and $24 billion by Series A venture capitalists. If one assumes each angel deal was $300,000 per deal, then about 100,000 deals were done in 2011.