RE: Web Startup Needs a Co-Founder

[The_auto_God]

I am in the early stages of planning a web 2.0 startup and am in need of a partner who is interested in a 5-7 year liquidity plan with an 8-9 figure payout.

The idea for the site is related to the automotive industry by taking the stagnant HTML driven sites available now (e.g. Edmunds.com) with difficult interfaces that make for a confusing user experience, and transforming them into an exciting place to come for information or even for fun. Additionally the site will provide an easy to maneuver video library for everyday automotive tips/tricks (e.g. what does the 205-15-55 H on your tire mean, and what do you really need?) as well as information about what really goes on at dealerships. There will also be a user "profile" where people can update information about their past, present and dream vehicles.

There are 10 major differentiators and 5-6 potential streams of income.

I am looking for someone who is looking for a part-time project for now, but would be willing to make it a full-time venture when we are ready to go-live (hopefully the end of 2008.) This is a massive undertaking as we are starting completely from scratch.

There are currently 12 contributors to the project, mostly from a market research/design perspective (with no current equity stake,) but there are also others who would be available for assistance as the project takes a more definitive shape.

The formal business plan is not yet complete, but will be by the end of January 2008. If you are interested in learning more, please let me know and we can get a conference call together.

Best Regards,
Matt

[snowgoose]

Being an avid user of Edmunds.com myself, this sould like a great idea.

Would would you expect from this co-founder?

[The_auto_God]

There are a variety of things that a co-founder could bring to the table:

• Startup experience (that ended well)
• Network of VCs/Angel Investors
• Knowledge of Complex Web Applications
• A lot of money, willing to be invested in a winning idea
• Ardent Desire to be Obnoxiously Wealthy
• Ardent Desire to Provide Real Value by solving a long overlooked problem

There are other considerations as well. By the time the business plan is written, there will be hundreds of hours of work put into the project so it will require someone who is willing to start pulling their weight immediately.

Best,
Matt

[snowgoose]

sounds like a great idea to me and very interesting,

if your up for it id like to see the finished business plan when completed?

[The_auto_God]

I would be happy to send you one once complete. I expect to have it done by Jan 31.

[bucnutz19]

I am also very interested in learning more about what you have in mind. I can provide a great deal as far as marketing and have some to contribute in startup funding.

[The_auto_God]

Here's a little more about the site's idea. There are a few major problems with the sites today:

• Horrible interface. Too much text, difficult to find what you're looking for.
• Used Vehicle search only aggregates from one database e.g. cars.com, autotrader.com, etc.
• Completely useless videos e.g. Vehix.com
• Generic, nearly useless financing/credit advice
• Search mainly based on already knowing make/model. Lots of pages if you want to re-run searches.
• No information on dealers and their relative ratings to each other.
• Weak communities at best.

The sites are making money in one of two ways: banner ads (impressions and clicks) and vehicle listings. Essentially, whoever is getting the site visits gets the lion's share of the money (currently edmunds.com, kbb.com, autotrader and cars.com)

My idea is to do the following:

1. Live Chat - interactive Q&A to answer anything; what car makes sense for me, what can I afford, etc.
2. Videos that Matter - What's the difference between I-4, V-6 and W-8? What's the difference between turbo/supercharged?
3. Credit Report Counseling - Ability to pull credit securely through the site and have credit counselors available to review the report and make recommendations on how to quick fix and repair for the long term.
4. User Community (Blog, Forums, E-mail, etc.) - anonymous e-mail through the site to the dealers. Also have ability to upload past garage, current garage and dream garage (public or private.) Search online garages and ask other users how they like their experience before buying.
5. Interface (Ajax, Flex, Laszlo, etc.)- Create an intuitive, cinematic experience (icon driven) that delivers concise, useful information - quickly.
6. Better search – Search on one page and narrow down using checkboxes/dropdowns/select all that apply questions. Have an aggregate search for all sites (like sidestep.com)
7. Real-time Negotiations (not pre-set deals with dealerships) Pay feature that will involve a person calling the dealer to negotiate a price real-time.
8. Local Dealer Ratings (and member-submitted dealer reviews)
9. Provide “fun” info – ride & drives, etc. e.g. TASTE of LEXUS | LUXURY LIVING EDITION
10. More anecdotal – create an active online community who checks back frequently, not just when they're shopping for a car.

[rogercbryan]

I would be interested in more information. I’m an experienced management executive in the auto industry with extensive connections to investors from the same industry. How much money are you looking for.. please PM me

[paul2145r]

Sounds like an interesting project. I believe that you will be over-extending yourself with some aspects of the site (primarily the live-chat), but the overall concept should be a success.

I am interested in the possibility of participating in the venture, but I would like to offer a bit of my specialty: Extending the site to international markets, as well as domestic. I believe that there are a great deal of people in the "3rd world" that are just now buying their first automobile. It is just an assumption, but don't you think that they would appreciate some advice on their purchase?

Let me know if this is a direction that this venture may possibly shift into.

Roger- would you happen to have vehicles available that you would need sold? I have a great deal of connections in the international car sales market. I am currently consulting for a company that sells vehicles in the countries of the Former Soviet Union, including Russia, Belarus, Ukraine, Moldova, and others. The difference in price is astounding... For example, a 2007 Nissan Sentra bought in the US on a dealer auction can run for around $10k. Sold in a Market in Eastern Europe, it can draw in over $20k. Shipping and Customs fees aside, there is a good profit to be made from these cars.

[The_auto_God]

Paul,

I think that you are completely correct. There is a huge price to be paid in attempting to support an interactive system with live human beings. However, I believe the popularity of such a site would spread like wildfire. If the structure is strong enough from the start and the processes for handling these "chats" is clearly defined and easily communicable to new hires, it could be sustained and be profitable.

With respect to your international idea, I think it's a great plan. I have extensive connections in Kyiv, Ukraine and could start there. I think once we've created a successful model in the US it would make all the sense in the world to use it as a template worldwide. Total market worldwide is in the multiple billions for sure (Autotrader.com had $500 million in sales last year alone.)

Sounds like an interesting project. I believe that you will be over-extending yourself with some aspects of the site (primarily the live-chat), but the overall concept should be a success.

I am interested in the possibility of participating in the venture, but I would like to offer a bit of my specialty: Extending the site to international markets, as well as domestic. I believe that there are a great deal of people in the "3rd world" that are just now buying their first automobile. It is just an assumption, but don't you think that they would appreciate some advice on their purchase?

Let me know if this is a direction that this venture may possibly shift into.

Roger- would you happen to have vehicles available that you would need sold? I have a great deal of connections in the international car sales market. I am currently consulting for a company that sells vehicles in the countries of the Former Soviet Union, including Russia, Belarus, Ukraine, Moldova, and others. The difference in price is astounding... For example, a 2007 Nissan Sentra bought in the US on a dealer auction can run for around $10k. Sold in a Market in Eastern Europe, it can draw in over $20k. Shipping and Customs fees aside, there is a good profit to be made from these cars.

[elmerbinder]

You should also look into the possibility of grant funding. There may be government or private funds avalible for your project

[The_auto_God]

Does anyone have any good websites that list Angel Investors by state or by area of interest?

[Woodcs82]

CommonAngels.com is was recommened toi me by the CEO of Kayak.com

[bucnutz19]

I am definitely in on this project as I have a good feeling about the potential for this. I have a strong background in marketing and business in general. I am sure I can be of help.

[OneLimitedClothing]

How much funds are anticipated?

How long until investor can seek a return?

I have someone who has money but is a control freak.