How to improve your gaming startup's chances of getting investment?

There are a number of important aspects that give a project "weight" in the eyes of potential investors. For example, I believe that 70% of a startup's attractiveness lies in one way or another in the team of its founders. This is primarily about their entrepreneurial background and experience in launching their own projects, even if they are unsuccessful. It is also important that there are several founders (for obvious reasons). Ideally, each of the founders should have strengths that complement the strengths of the co-founders. Conventionally, one is a brilliant programmer and visionary, while the other is a virtuoso when it comes to investor relations and fundraising.

In terms of type, investors generally come in two types

Profile: A profile investor understands the field in which he or she is investing. In the gaming industry, these are producers or people who understand the industry. These people will be difficult to talk to at first because they will pay a lot of attention to your project. 

Non-core: Non-core investors invest in different industries and can't keep track of everything. They are more likely to pay attention to what kind of team you have, what kind of experience you have. It's easier for young developers to talk to such investors, because communication is on an equal footing.

Running your own gaming startup is an exciting and ambitious venture. There's often a need for funding at the initial stage to realize the idea and raise the right resources. Obtaining investment for a gaming startup can be a daunting task, but there are a few strategies that can help increase its chances of success.

1. A unique idea and demonstration of potential

One of the key factors that attracts investors is the uniqueness of your game idea. Make sure your project offers something new and interesting to the gaming market. Perhaps it's innovative gameplay, original mechanics, an exciting story, or a unique art style. Remember, investors are looking for the potential for outstanding results.

Look at the success of games like "Among Us" by InnerSloth, which introduced a unique social deduction gameplay mechanic. Investors were attracted to this innovative concept within the gaming market, resulting in the game's rapid growth and profitability.

2. A quality business plan

Prepare a detailed and compelling business plan that outlines the startup's goals, strategy and development plans. Specify what resources and investments are needed to achieve each goal. Investors want to see that you have a clear plan of action and calculate your steps.Consider the success story of Supercell, the creators of "Clash of Clans." Their detailed business plan outlined a clear strategy for freemium monetization and continuous game updates, which attracted investors and led to the company's multi-billion-dollar valuation.

3. Prototype and development progress

If you already have a working game prototype or demo, this can significantly increase investor interest. Demonstrating how the prototype works will allow them to evaluate the potential of your product and the realization of the idea. Even if you don't have a full version yet, show progress in development and describe what milestones have already been passed. Take the example of "Hades" by Supergiant Games. Even in its early access stage, the game received critical acclaim and player interest. This demonstrated the potential of the game, leading to both investor support and a successful full release.

4. Team of professionals

A team is of utmost importance to investors. Ensure that your team consists of experienced professionals with good knowledge of game development. Team members should be presented with clear resumes and portfolios that demonstrate their experience and abilities. Epic Games, the company behind Fortnite, had a team of seasoned professionals with experience in game development, graphics, and technology. This team's expertise was a major factor in attracting investors and achieving Fortnite's massive success.

5. Market research and competitor analysis

Conduct an in-depth study of the games market, analyzing competitors and potential audience. Show that you understand your target audience and know how your game will stand out from the competition. Look at how "Genshin Impact" by miHoYo researched the gacha game market, identified gaps, and strategically positioned itself. Investors were confident in the game's potential to stand out and capture a global audience.

6. Marketing Strategy

Have a clear marketing strategy to attract users and promote the game after its release. Investors are not only interested in quality development, but also in how you intend to market and expand your product. "Valorant" by Riot Games is an example of a game with a well-executed marketing strategy. Riot leveraged its existing player base from League of Legends and created a strong buzz through closed beta testing, drawing both players and investors' attention.

7. Communication and networking

Actively communicate with investors and build networking relationships in the gaming industry. Participate in events, trade shows, and activities that can help you meet potential investors and industry representatives. Indie developer ConcernedApe, creator of "Stardew Valley," actively engaged with the gaming community through social media and platforms like Reddit. This grassroots approach not only helped build a dedicated player base but also attracted investors who recognized the game's potential for success.

In the competitive world of gaming startups, securing investment is a vital step toward success. By following the strategies outlined in this article, you can significantly improve your gaming startup's chances of attracting investors. Remember that perseverance and adaptability are key in the startup journey.

Ultimately, investors are looking for startups that not only have a great idea but also possess the ability to execute it effectively. Showcasing a combination of innovation, market understanding, and a strong team can make your gaming startup an attractive proposition for potential investors. Keep refining your pitch, stay committed to your vision, and don't be discouraged by setbacks. With the right approach and a compelling story, you can increase your gaming startup's odds of securing the investment needed to bring your gaming dream to life.