Would you be an informal backer?

August 1st 2010

I’m focusing again on looking for some money to back my projects. The objective is to have some cash to hire design and development, pay the small operating bills (mostly hosting and 3rd party web services), and recover some cash through a small salary, while tuning a Minimum Viable Product.

At this point, I think I can manage that with around 5.000 euros per project, considering that I spend around 5.000 euros of my own time on them before I go out looking for the outside help – Contact Guru, Aidentiti (not publicly available yet) and others to come.

Knowing that the devil is in the details and therefore speaking in general, in what kind of conditions would you be willing to front 100€-1000€ for a project that is not even a company yet? What guarantees, return on investment, delay and type of exit, would you find acceptable?

This conversation was taking place on Twitter and Facebook and I’m redirecting it here for simplicity. Below is the transcript of what’s been said on Twitter and I’ll keep curating this post as the conversation continues. Please share your thoughts in the comments at the bottom.