Products & Services: Selling the Solution, Not the Feature
How to describe what you sell in a way that makes funders instantly understand your value.
Why This Section Gets Founders in Trouble
Most founders describe their product the way they built it — from the inside out. Funders need you to describe it from the outside in: what does the customer experience, and why does it matter to them?
The One-Sentence Test
Before you write anything, try to describe your product in one sentence to someone who has never heard of your industry. If they do not understand what problem you solve, your description needs work.
Too technical: "A SaaS-enabled inventory management platform with real-time FIFO logic and supplier API integrations."
Too vague: "A business management tool."
Right: "Software that tells township spaza shops exactly when to reorder stock so they never run out of their top 20 products."
Pricing: Show Your Work
Funders do not just want a price — they want to understand how you set it. The two most credible approaches:
- Cost-plus: What does it cost to deliver, and what margin are you adding? (e.g., "Cost to produce: R45. Sell price: R95. 52% gross margin.")
- Market comparison: What are competitors charging, and where do you position against them?
The USP Frame That Works
Use this structure: "Unlike [specific competitor], we [specific difference], which means [specific benefit for the customer]."
This forces specificity. "Better quality" is not a USP. "Unlike [Competitor], we use locally sourced ingredients, which means our product is fresher and supports local suppliers" is.
Checklist
- [ ] Product description leads with the problem solved, not the features
- [ ] Price is stated with a cost basis or market comparison
- [ ] USP names a specific competitor and a specific advantage