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This week in the Product Hunt blog, we have a banger from Julia Yu. She's the co-founder of 2024 Golden Kitty winner Unicorns Club, which matches VCs with early-stage startups. She's also founded three VC-backed companies herself.
According to Julia, early-stage founders need to change their mental model about pre-seed funding ASAP. As she puts it:
Once upon a time (in fact, as recently as two years ago), early-stage startups needed three things to get into investor conversations: a strong narrative, a solid team, and a prototype. Now, in most software categories, that s no longer enough.
The advent of AI has shifted investors attention to actual metrics. Yes, even at the pre-seed level, investors don t care so much about promise as they do about realized potential. They want monthly recurring revenue (MRR) and growth rate.
For the past few months, there has been discussion in Europe about creating a concept like EU Inc. (the 28th regime) a single pan-European legal company structure with:
100% online incorporation
extremely fast setup (target: ~48 hours)
operation across the entire EU without needing to establish 27 separate companies
a digital-first corporate lifecycle
So far, within Europe, people most often set up companies in Estonia, mainly due to its low tax burden and fully digital infrastructure, as well as in countries like the Czech Republic, Slovakia, or Hungary.
