It’s the beginning of the year, and there are so many grant and investment opportunities, as well as incubator and accelerator programs like TEF and others. Many founders and entrepreneurs are currently seeking ways to expand their capital base.
Speaking of capital, it’s a big deal in business because every business needs it to thrive. But why is it so hard to secure something this fundamental? The answer is obvious: capital is money, and money doesn’t grow on trees. It’s hard to make and easy to spend.
If you read my last article on market research, you’ll remember the golden rule: think customers first. The same principle applies here—the person at the receiving end should always be of primary importance. So, in this case, think about your investors and what matters most to them: profit.
Or better yet, think about how many investors have lost their money to businesses that seemed profitable at first but eventually went bankrupt. Just as I advised in the last article—see things from your customers’ perspective—now, I want you to see things from your investor’s perspective.
With your business as it is now, are you certain it will make a profit? And no, I’m not talking about those projected numbers in your business plan—we’ve all seen those before. I mean, is your business truly profitable? Is it worth investing in? Will it generate the kind of returns your investors expect?
This is the first part of a series on getting grants and investments, and today, I’m focusing on how to build a sustainable and attractive business.
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Don’t Follow the Crowd
Trends come and go in the business world, and there’s always a frenzy to catch the next big thing – like the current Fintech buzz. But building your business based solely on a trend is one of the easiest ways to fail. Why? Because when everyone rushes into the same market, they all end up competing for the same customers and the same pool of money.
This kind of overcrowding creates ruthless competition, where entrepreneurs shift from serving customers to outsmarting each other. That defeats the entire purpose of running a business. New businesses suffer the most in these situations because it takes years to gain relevance in an oversaturated market.
That doesn’t mean you can’t enter industries with many established players—fashion, food, tech—but the key is differentiation.
But before you differentiate…..
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Don’t Be Quick to Differentiate Until You Have a 10x Advantage
Entrepreneurs often have a false sense of ego, rushing to declare their product as “different” before proving it. Before shouting your uniqueness from the rooftops, first discover an uncommon problem in your industry that you can solve.
Spend time researching pain points that no one else is addressing. The saying “Nothing new is hidden under the sun” is often misunderstood. Instead of using it as an excuse for mediocrity or to replicate everything that we already know exists, see it as a call to discover “what is under the sun” that others haven’t noticed yet. If something is “hidden,” it’s only because no one has looked hard enough. Think about questions like “What real problems do people face in my industry that no one else or not many people are talking about?”
One of the many ways to discover new and hidden things in business, is to talk to your customers through a good market research. If you haven’t already, check out my article on market research here.
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Start by Serving a Large Portion of a Small Market
Many founders make the mistake of targeting big players and pursuing high-profile partnerships too soon. They want to land big clients, pitch to major investors, and make a splash in the industry. But the harsh reality is that no one cares about your solution until they see its value.
Customers don’t care how many hours you spent or how much resources you have put into building your product. They only care about how well it solves their problem.
Instead of chasing major deals, identify a specific market segment that is experiencing the most pain—one that is overlooked, underserved, or struggling the most. When you approach them with a solution, they’ll take you seriously. If you dominate that niche, you’ll have a solid foundation for scaling your business. This is how Mack Zuckerberg of Facebook dominated the market in hazard university and other universities before conquering the world. Try conquering a small city (market), before you think of conquering the world with your product.
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Understand the Relevant Part of Your Market
Many entrepreneurs create niches based on product type instead of customer need. This is a mistake.
For example, if you sell solar systems, your real market is not “people who want solar panels.” Instead, it’s people looking for a reliable power source. So instead of focusing on creating the most advanced solar system, focus on creating the most reliable energy solution at an affordable price.
Apparently, if someone discovers that sand can generate power more efficiently than solar panels, customers will switch in a heartbeat, and the solar system market will experience a decline faster than you can imagine. That’s why understanding the real need behind the product is crucial.
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Will Your Business Be Relevant in the Future?
Think long-term. Ask yourself:
- Will my solution still be relevant 10 to 30 years from now?
- Is my business adaptable to industry shifts?
- Am I solving a temporary problem or a permanent one?
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Is now the Right Time for your business?
Timing is everything in business. Even the best ideas can fail if the world isn’t ready for them. Some businesses only succeed because the right technologies, infrastructure, or market conditions are in place. For instance, companies like Uber and Bolt might not have been as successful if technologies like Google Maps didn’t exist to support seamless navigation.
Beyond technology, consider whether potential customers and business enablers (investors, supply chains, regulations, etc.) are in a place where they will truly value your product. The key is to evaluate whether the current landscape can support your business idea, or if you need to refine your approach, wait for the right conditions, or even contribute to shaping the ecosystem before fully launching.
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Be Optimistic, But Have a Clear Plan
“The journey of a thousand miles begins with a single step” and a clear roadmap to your destination.
Without a clear plan, that thousand-mile journey could turn into ten thousand miles. Optimism alone won’t cut it—you need a strategy. This isn’t just about writing business plans and making projections. Business plans are essential, and I have helped entrepreneurs to write a couple of them, but your business plan is useless if it does not entail breaking down your vision into small, actionable steps.
Many entrepreneurs resist planning because they think it limits spontaneity. But having a plan doesn’t stop you from pivoting when new insights arise. It simply gives you a foundation to work from. As Neil Patel says, “A bad plan is better than no plan at all.”
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Have a Strong Sales Strategy
Your sales strategy is the transport fare that gets your product into the hands of your customers. No sales, no business.
Great products don’t sell themselves—great products with great sales strategies do.
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Pitch Your Business Like a Pro
Don’t assume that just because you have a great product, investors and grant benefactors will automatically recognize its value. You need to sell your vision.
Learn how to write compelling proposals that highlight your business’s strengths. As one of my business mentors says,
“The only thing more important than what you’re selling is what you make the customer(investor) believe they’re buying.”
If you only focus on having a good pitch, without taking time to build a sustainable business model, securing a grant or investment is a disaster waiting to happen. But when you have built a great business model, then go all out with your perception game.
Or better yet… you could hire me to write your business proposals—I write killer ones.
Final Thoughts: Build a Business That Attracts Investment
Remember the golden rule: Always see things from your customer’s perspective. Create value, and make investors see it. People only put their money where they know there’s profit.
Ultimately, a strong, sustainable business benefits you first. And when you know the value of what you’ve built, you get to choose the right investors—not just the other way around.
When you have something truly valuable, you control the negotiation table.
Start by spending time to build your business, gain traction, and attract customers. Once you can demonstrate demand and communicate that demand effectively to investors, securing grants and investments becomes much easier.
My final question – having known all these, do you think you’re reading to pitch to investors/grant benefactors? Or is it time to go back to the drawing board?
These are proven principles that have helped the world’s best entrepreneurs like the Elon Musks and Mack Zuckerbergs, build sustainable businesses. To learn more about building sustainable businesses, here are some books to help you on your journey:
Zero to One by Niel Pathiel
Running Lean by Ash Maurya
The Personal MBA by Josh Kaufman
