Often, we hear founders and operators discuss their very early-stage startups / ideas from the lens of whether these are venture-investible. In other words, will seed or early-stage VCs in them?
More often than not, many of these early-stage VCs evaluate ideas & the team, from the lens of ability to raise follow-on investments in later stages from other VCs, investment arms etc.
Keeping such a context in mind, it's worthwhile for founders to spend sometime in the front-end to deliberate on a few important questions regarding the size of the problem they are solving. Hunter Walk, captures this succinctly here
- Is the problem Large?
Are there enough customers, potential revenues once you solve the problem and capture a decent share of the market?
2. Is the problem Urgent?
Is the problem acute enough for the customers to change their existing ways of operations and be interested in your product?
3. Is the problem Valuable?
Are customers willing to pay for this solution? How much are they willing to pay?
