Great business ideas are virtually everywhere, but all too often the process of raising capital to fund the launch of the new product or service, as well as handling all of the marketing, the logistics, and the distribution for it, is too difficult, which means that those good business ideas often go nowhere.
If you have some of the business skills necessary to manage the details of starting a business based on your idea, there are some alternative avenues for raising money, such as crowdfunding, that can take some of the risk out of the process for you. But if all you’ve got is the great idea, and no clue about what to do next, one possible solution for funding is through a new company that can help turn your idea into a real and viable business.
WayFounder, which operates under a hybrid venture fund/incubator model, is offering their first quarterly competition for great business ideas, especially those that come from what they call “nontreprenuers,” and it is offering cash prizes of $10,000 to the winners to develop their idea.
“Idea generators are everyday people who conceive solutions to pain points in their lives but don’t necessarily possess the skills to execute or aren’t prepared for the drastic change of lifestyle necessary to build a business.
We provide the capital, commitment, and resources to turn those ideas into reality. The idea generators participate financially each step of the way with both immediate cash rewards and long-term equity participation at levels exponentially more robust than most other options at their disposal.” – Founder and CEO Damon D’Amore
The first competition is asking for submissions for physical consumer products and mobile apps in any or all of these four categories: Baby & Parent, Pets, Home & Garden, or Wild Card (anything that doesn’t fit in the first three categories).
“WayFounder will choose at least one winner for this competition and potentially four winners, one per category. Winners receive a $10,000 USD cash prize. WayFounder commits a minimum of $50,000 USD to bring that product to market, at which point the winner receives a 5% royalty on all sales of that product. If the product is successful, WayFounder will invest another $250,000 to hire an experienced CEO to grow that single product into a viable and sustainable business, and the winner will receive 5% founder equity in a new company.” – WayFounder
For those worried about the potential loss of their idea to another entrepreneur, WayFounder keeps the submissions totally private and only the judges and the WayFounder team has access to them, with no public viewing of the ideas.
The WayFounder Spring 2014 Competition runs from April 8th through 11:59 pm ET on Sunday June 8, and you can submit your great business idea here.