Funding the Internet of Things

• So, you want to get your IoT idea funded?

• Mark Littlewood, The BLN, • @marklittlewood, @The_BLN• Run IoT Forum, Cambridge, June 27th

internetofthings.thebln.com

Are You Project or Business?

• Project– Discrete– Desirable product for consumer– ROI unimportant– Plan to deliver product to user

• Business – Build sustainable organisation– Clear focus on ROI– Plan to build business – processes for people, cash,

global distribution, blah, blah...internetofthings.thebln.com

MVP or ‘scratch an

itch’

Make £££ for

shareholders

Project vs Business – Funding Options

• Project– Customers– Grants – TSB, R&D Tax Credits, SMART Grants – 23rd May DEADLINE– Kickstarter– Don’t waste time with investors

• Business – Customers– Grants – TSB, R&D Tax Credits, SMART Grants – 23rd May DEADLINE– Equity Investment

• Friends and Family• Angels• Crowdcube etc• Venture Capital• Public Markets

internetofthings.thebln.com

The Golden Rule of Funding

£1 of customer cash≥

£10 of investor funding

internetofthings.thebln.com

Venture Funding – the Last Resort

• Only suitable for a very small percentage of ideas

• Be prepared to kiss a lot of frogs• Make sure you understand how VCs behave and

what motivates them

• If you want money from investors, understand their language

• Investors invest in lines, not dotsinternetofthings.thebln.com

Useful sources of information

• Grants & competitions - TSB• http://bit.ly/TSBGrants

• Crowdfunding• http://bit.ly/UKCrowdsources

• Other sources of funding – VC & Grants• http://bit.ly/UKGrantSources

internetofthings.thebln.com

IoT 13: 1 day on the Business of IoTConference | Exhibition | Networking

27th June, 2013, Cambridge

One to Watch Showcase: Entries by 27th May

SPECIAL OFFER FOR IOT MEET UP:

50% OFF REGISTRATION TO MIDNIGHT TONIGHT (USE IOT50PER)OR

£50 OFF REGISTRATION THIS WEEK (USE IOT50POUND)

http://internetofthings.thebln.com/mark@thebln.com