How to Find Your First 10 Customers for a Startup

TL;DR

To find your first 10 customers, focus on those who have a genuine problem you can solve, preferably starting with people you know. Hand recruit individuals who are willing to pay for your product and qualify them through specific questions to ensure they have an intense need for your solution.

Transcript

my name is michael seibel and i'm a partner y combinator and one of the questions we get all the time is how do you find your first 10 customers well to start hopefully you're solving a problem that either you have or someone that you know has so your first customer your first couple of customers should be folks that you know that's what's ideal se... Read More

Key Insights

• 🔍 Start with people you know as your first customers, as they are more likely to have the problem you are solving or be willing to support an early-stage startup.
• 💡 The initial 10 customers should be individuals who genuinely love your product, rather than acquiring them through scalable advertising or viral growth mechanisms.
• 💰 Target customers who are eager to solve the problem and are willing to pay for your product, avoiding those who don't show intense interest or are reluctant to work with startups.
• 💵 Charging customers helps determine if they genuinely have the problem you're solving. Customers who push back on paying may not be the right fit for your solution.
• 🔑 Qualify customers by asking specific questions to assess their level of need and willingness to take prompt action. Focus on aggressively pursuing those who meet the qualifying criteria.
• 💼 Knowing your first customer personally is important, as their feedback and experience can be invaluable in refining your solution.
• 💪 Prioritize customers who are easy to acquire and willing to pay, rather than targeting hard-to-reach or non-committed customers initially.
• ✅ Use charging customers as a signal to gauge the intensity of the problem they have and the demand for your solution.

Questions & Answers

Q: Why is it important for startup founders to have personal connections with their first customers?

It is important for startup founders to have personal connections with their first customers because they should be solving a problem they or someone they know have, which allows for better understanding and validation of the solution.

Q: Why should startup founders prioritize customers who are willing to pay for their product?

Prioritizing customers who are willing to pay demonstrates that they genuinely need the solution and adds credibility to the product's value. Targeting customers who don't want to pay may indicate a lack of problem intensity or commitment.

Q: How can startup founders determine if potential customers truly have the problem they are solving?

Startup founders can determine if potential customers truly have the problem by charging them for the solution. If customers push back and insist on using it for free, it indicates a lack of genuine need for the product.

Q: Why should startup founders use qualifying questions when recruiting customers?

Using qualifying questions helps filter out customers who are not genuinely interested or committed to solving the problem. It ensures that founders focus on customers who are most likely to convert and derive value from the product.

Q: Is it necessary to close every potential customer who shows interest in the early stages of a startup?

No, it is not necessary to close every potential customer in the early stages of a startup. Founders should focus on qualifying and aggressively pursuing customers who show a high level of problem intensity and willingness to move quickly, while other customers can be targeted later when the focus is more scalable.

Summary & Key Takeaways

• Start by targeting customers who have the problem you are solving, ideally people you know.

• Find 10 customers who love your product, even if it means hand recruiting them instead of relying on advertising or viral growth.

• Charge your customers to determine if they truly have the problem you are addressing and qualify them based on their willingness and intensity of the problem.