A few weeks ago, H7 hosted the 2nd session of its "hors-séries" series of events dedicated to fundraising, in partnership with iii-Financements. After a 1st session devoted to the business model, this 2nd meeting focused on the place of tech in a financing strategy. Here are the five main points raised by our speakers: Hugo Dupré - co-founder of CO-CTO - and Sylvain Zimmer - CTO of Suite Territoriale, Entrepreneur & Business Angel.
1.Tech must tell a strategy, not just a stack
Investors are not looking for a brilliant technology, but one that is consistent with the start-up's stage of development and ambitions. Over-engineering or lack of scalability can scare them away. The right reflex? Explain the technical choices (even the no-code!) and show how the tech supports the product, the market and scalability. " What investors expect is an understandable technical vision, with choices that are assumed, justified and coherent," explain our speakers.
2. Technical debt is nothing to be ashamed of, but it must be kept under control
Technical debt is part of every start-up's history. As long as it's conscious, measured and justified, it's not prohibitive. It can even be a strategic choice if you want to move fast, as long as you plan to pay it back. What's reassuring? A team capable of talking about it without taboos, with a clear plan of action.
3. You don't need to be a CTO to raise funds (but you do need a plan)
A founder who is not a tech specialist is perfectly capable of successfully raising funds. But they need to show a solid trajectory: a working MVP, real customer usage, and a credible roadmap towards the integration of a CTO or product/tech manager. Some investors require an associate CTO, but solid business indicators can compensate for this absence.
4. Transparency and technical documentation are your best allies
Nothing reassures an investor more than a start-up that knows what it's doing. Up-to-date documentation, legible architecture diagrams, a shared vision between product and tech: all these are perceived as a guarantee of maturity. And it also facilitates the integration of new profiles into the team.
5. Opt for boring tech whenever possible
Choosing new technologies or trends can be perceived as an unnecessary risk. Unless it brings real differentiating value, it's better to favor proven, well-documented solutions that are easy to recruit. This is what we call "boring tech": reliable, well-known and reassuring. "Sometimes, the best stack is the one that dazzles no one, but that everyone understands," conclude our speakers.
See you at the next sessionÂ
This second series of special issues confirms one thing: tech doesn't sell itself. It has to be integrated into a clear strategic vision, documented, assumed, and aligned with growth objectives. Whether you're a CTO, CPO or non-tech founder, investors expect one thing: clarity, pragmatism and the ability to navigate between speed of execution and scalability.
What's next? The third in our series of special sessions: understanding the legal and tax aspects of securing financing and development (date to be announced). To stay informed, fill in the form.
Selena Miniscalco
Communications Manager
