Growth funding from customers

[e***@gmail.com]

Hello,

I run a small (8 employees) software company.

I am confident that I can 'persuade' 3 of my larger customers to
fund a large project that I have been dying to complete.
I feel they will be very interested for the following reasons:
1) They are paying huge dollars now for a solution only because
there is only 1 solution on the market right now. I can underprice them
and still make a good margin.
2) The current monopolistic solution is older technology and my
solution will be state-of-the-art thus benefiting them.
3) Ultimately, I will give them a good deal. For example, if they
fund me (say) $50,000 then I will reduce any license fees by $75,000.

Obviously, the disadvantage for them is that there is a risk that I
won't be able to produce the software. however, they are all big users
of our current software so we have a solid relationship/reputation.

Does anyone else have stories (both success and failures) about
customers funding reasonably large projects ($100,000 or more).

Thanks. Eric.

[John A. Weeks III]

Post by e***@gmail.com
Does anyone else have stories (both success and failures) about
customers funding reasonably large projects ($100,000 or more).

I have seen it happen several times. It is not all that unusual.

-john-