Join Guy Kawasaki for an in-depth discussion in this video Creating a prototype, part of Guy Kawasaki on Entrepreneurship.
- My best piece of advice for a new entrepreneur is that you not focus on writing a business plan in Word, creating financial projection with Excel, creating a pitch with PowerPoint, what you should focus on is making a prototype. Because with a prototype all the delusion, all the hallucinations, all the b.s. goes away. Now people are either going to use your prototype or not use your prototype.
And that is a very valuable thing to know and you can take all the Excel and say I just need one percent of this $80 billion market and I'll be this, you know, huge company but that's all wishful thinking so, the thing you should do is build a prototype, see if you can get people to use it. That has such great ramifications. First of all you'll learn a lot, like, you know, there's one thing to suppose people will use something, it's another thing to actually get them to use it.
You'll learn what they don't like, you'll fix it, you'll go back to them. Perhaps they'll use it this time. When you got to investors, rather than saying trust me, I can build this, now you're saying I built it, the dogs are already eating it, this is why you should fund me. Everything happens because you build a prototype. This is the concept of MVP, which is minimal viable product.
- The critical nature of prototyping
- The qualities of an MVVVP (minimum viable, valuable, validating product)
- The irrelevance of business plans
- The qualities of state-of-the-art pitches
- The replacement of marketing with social media