How to finance and create a startup?

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There's a web based start up that I want to develop. I think something like it is really missing in the market.

I've already registered the domain name and I need to develop the site. I am looking to hire a good website developer and a backend database type guru who can help set up how all the registered accounts, data, etc will be saved and hosted.

What is the best way to go about hiring a good website developer and a person who can set up the backend? What is the best way to finance these costs?

Anyone have good success using guru.com?

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I would be very wary of using an outsourced firm. If the idea is really any good those companies in india that will make the site will get paid for making the site then go ahead and put up their own copy of the idea.

If you know nothing about technology and programming etc. you are not likely to succeed. There are tons of people out there with ideas etc. Unless you have awesome networking etc. you are never going to get funding to hire anyone. Generally the people who are successful without the networking do so by making the prototype themselves and getting the money from that. I do know of a few companies that were started by business guys in boston that are tech companies... they are harvard/yale/ivy league business school grads with massive networks. I highly doubt if they would have been successful without this. Facebook was a combo of this... Started up a bunch of ideas paying cheap to get them made and the guy had a ton of connections etc. from harvard.

Seed funding is much easier to get when you have made a prototype etc. and are on a small team with a few programmers etc. Mainly because the seed investors know the company already has a few hundred thousand in it with the founder sweat.

If you can't get investor seed money the best way to finance it is probably 0% credit cards.

LordB has given you some good feedback. At this point in time, you're competing for talent with startups which are flush with capital and furiously competing for decent developers. Here's two links that I hope you find helpful:

Dennis Crowley (foursquare founder)'s answer to a question on Quora: http://www.quora.com/What-new-skill-should-I-start-working-on

The state of things for startups looking for technical talent: http://techcrunch.com/2012/04/17/a-sign-of-the-hiring-pocalypse/

bump just in case

Unless you have a track record, investors will not give you money for an idea. You will have to either spend your own money to find someone you trust and has a good track record to code a demo-able product, or find another entrepreneur who is a developer and believes in your idea and will be a partner.

You need business partners to work with you - it'll be essentially a marriage and so you'll split it all 50/50 or whatever the appropriate number is, because the expenses initially will be relatively small.

Find people you trust that have the skills you need - it's really no different than a marriage and so if you have to structure it 51/49, the odds won't be in your favor.

Best of luck to you and I would you say that you should go for it, because no matter what the outcome, you'll learn a ton about business, yourself, and people.



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