To be honest, i am yet to know.
When i started my business, i was very excited to jump on it, build a product and see it sell. Maybe even exit at some stage. What a great entrepreneur story it would be.
I started pitching the idea to investors. First i was very shy, and did not have any public speaking skills. i kept on practicing. Great story i had. Met local and international investors. Most of them asked me to get a prototype.
Days of funding business ideas were long gone.
I set out to develop my first prototype. I hired an engineer, spent loads of money on developing my first product, working with lawyers to patent it, and i set out to talk to other investors. I think i spent a year walking around with my prototype.
At some point, i was almost giving up. Investors loved the product. However, they asked me produce at least 50 packets, so they can see the traction.
Days of funding prototypes were long gone.
Production meant that i had to raise more than $100,000 to buy industrial machines to start. That was the reason i needed investment in the first place.
So here i am, two years later, just gotten capital to purchase the machineries, and hopefully production starts by end of the year..... Then i start looking for investors with my 50 packets and financial projections
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Hurray to entrepreneurship.
Congratulations on securing capital for your project. Been through the same journey of startup to selling a product that was not fully developed. While I have not actively pursued funding in my ventures, what I learnt is investors will ask for more than financial projects. They will ask for patents, contracts for delivery of the finished product, your plan to beat the competition (if any) and you plan for scaling distribution.
Wish you all the best in your venture. Happy to hear someone pursuing production as a venture rather than everyone pursuing mobile apps and technology.