IT

Pre-seed product development: proof, not polish

How does an investor look at your MVP?

They look at the same six things you do, but they're after proof rather than promises. Flip the switch: the rows stay the same, the point of view changes.

Product
It already does loads, and we add something new every week.What's the one thing it does better than anyone? Show me live, not on a slide.
Traction
We've got hundreds of people on the waiting list.How many use it every week, and how many are still there after a month? Which channel did they come from?
Team
We're passionate and we work around the clock.Who builds the product, and what happens if they leave tomorrow? Who makes the technical calls?
Market
It's a billion-euro market: we only need a sliver of it.Who's the first paying customer, and how do you find the second one without knowing them personally?
Technology
The app's nearly done: we built it quickly with AI.Will the code hold up with real customers? Who owns it? Can you explain the architecture on one slide?
Risks
We don't see any big ones.What's the biggest risk, and what will this money do to take it off the table?

What should you build before pre-seed, and what shouldn't you?

Build only what proves the riskiest part of the idea. Everything else can wait for the round.

Build

  • The key feature, done properly: the reason a customer comes back.
  • Simple sign-up and login; payments too, if the question is 'will they pay?'.
  • Analytics from day one: usage events, retention over time, where people come from.
  • A bare-bones back office for you, to serve your first customers by hand.
  • Code you own, in a repository in the startup's name, with essential documentation.

Park

  • A polished admin panel.
  • Native iOS and Android apps, if the web is enough to prove the point.
  • An architecture for millions of users you don't have yet.
  • 'While we're at it' integrations and features one customer asked for.
  • A final brand: clean and credible will do for now.

How should you present the product to investors?

With a real demo and a handful of numbers that survive a follow-up question. This is the order we suggest to founders.

  1. A live demo, not a video

    The key flow, live, on realistic data, in a few minutes. If something breaks, better to find out beforehand.

  2. Metrics that hold up

    Active users, retention over time, where they come from. A few true numbers beat lots of inflated ones.

  3. The architecture on one slide

    What you've built, on which technologies, what you own and what depends on third parties.

  4. What the money is for

    The two or three product moves that get you to seed, not a wish list.

  5. The risks, in your own words

    Before your audience finds them, together with the plan to reduce them.

A glass lens hovering over a small frosted-crystal prototype

What if the MVP was built with AI?

It's increasingly common: according to Y Combinator, about a quarter of its Winter 2025 batch had codebases around 95% AI-generated (self-reported, via CNBC). That's fine for a demo. Before technical due diligence, have it reviewed: security, data handling, code ownership. That's our prototype-to-production service; if you're starting from scratch, it's our MVP development.

What funding can a pre-seed startup get in Italy and the EU?

If you're building your startup in Italy, the main public schemes for a first product are Smart&Start Italia, the SME Guarantee Fund and, across the EU, the EIC Accelerator. Italy's 'innovative startup' status, the gateway to several of them, is also open to EU and EEA companies with a site or branch in Italy, according to the ministry (MIMIT). Rules change often, so here's what the official source says and what to double-check.

Public funding for pre-seed startups in Italy and the EU, with sources and points to check (October 2026)
SchemeWhat it offersSourceCheck
Smart&Start ItaliaInterest-free loans for innovative startups, on plans from €100,000 to €1.5 million: 80% of eligible costs (90% in some cases, such as all-female or under-36 founding teams), repayable over up to 10 years. Eligible costs include software development, specialist consultancy and marketing.MIMIT (in Italian), updated 2 September 2026; InvitaliaRules realigned by a decree of 13 July 2026; MIMIT and Invitalia state different eligible company sizes.
SME Guarantee FundAn 80% direct guarantee on bank loans, listed for innovative startups.MIMIT (in Italian), updated 21 September 2026Rules valid until 31 December 2026; a draft decree covers 2027. Sources quote different maximum amounts.
EIC AcceleratorThe EU programme for high-risk innovation: grants below €2.5 million and equity investment from €1 to €10 million. Short proposals can be submitted at any time.European Innovation CouncilLast 2026 cut-off for full proposals: 4 November. Dates for 2027 haven't been published yet.
Innovative startup statusAn Italian limited company under 5 years old, with an innovative, high-tech purpose and at least one of: R&D spending, qualified staff, a patent or registered software. It can't be mainly a consultancy or agency.MIMIT (in Italian)Law 193/2024 changed the definition; the rules for staying on the register are being updated.
Work for equityInnovative startups can pay suppliers and professionals partly in company shares.Decree-Law 179/2012, art. 27(4)The tax treatment for whoever receives the shares needs an accountant's view.

Questions about pre-seed

How complete does a pre-seed MVP need to be?

Complete enough to prove the riskiest part of the idea with real users, and no more. Usually that's one key feature done properly, with sign-up, analytics and, where needed, payments. The rest gets built with the round's money.

Is a vibe-coded MVP enough to raise a round?

For a first demo, often yes. Before technical due diligence, have it reviewed: security, data handling, code ownership, whether it holds up with real customers. That's what our prototype-to-production service is for.

Do I need a CTO to raise pre-seed?

You need someone who can answer technical questions competently and own the answers. That can be a technical co-founder or, until you have one, a fractional CTO who knows the code and can explain it.

Will I own the MVP's code?

You should: ask for the code to live in a repository in the startup's name, and for the contract to say so clearly. Investors check this in due diligence. Have a lawyer look over the clauses.

Can Smart&Start Italia pay for software development?

The eligible costs listed by MIMIT include software development, specialist consultancy and marketing, within the scheme's rules. Conditions were updated by a decree of 13 July 2026: check the MIMIT page (in Italian) and an adviser before you count on it.

Further reading

Want an MVP that stands up to investors' questions?

We start from the riskiest part of your idea, and what it takes to prove it.

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