Why do so many tech founders, who are great at building products, find it hard to sell them? This is a common issue. Tech founders often know their product inside and out. But when it comes to selling, they don’t know where to start.
This blog will cover why this happens and how tech founders can get better at sales. Let’s look at the most common reasons why tech founders struggle with sales and how they can improve.
The Difference Between Product and Selling
| Product Building | Sales |
| Focus on features and technology | Focus on solving customer problems |
| Excited about what the product does | Needs to explain how it benefits the customer |
| Tech founders know all the technical details | Customers want to know how it will help them directly |
| Development and innovation | Building relationships and trust |
Tech founders often focus too much on the product’s features. They think if they show off how great it is, people will want to buy it. But most customers don’t care about all the details. They want to know how the product will solve their problems. That’s where many tech founders struggle—they don’t shift their focus from product details to customer benefits.
B2B Sales Take Time
When you sell to businesses, it’s not a quick process. Many tech founders think they can talk to a business once and close the deal fast. But in reality, it’s a long game. Businesses need time to make big decisions. They often have to get approval from several people.
This takes patience, and tech founders often find it hard to wait. They want quick results, but that’s not how B2B sales work. You have to build relationships, follow up regularly, and understand that it’s going to take time. Giving up too soon is one of the biggest mistakes in tech sales.
Hiring the Wrong Sales Team
Many tech founders hire salespeople without fully understanding what they need. They might hire someone who had a good year at another company, or they hire a friend. But tech sales is a specific skill. Not every good salesperson knows how to sell tech products.
Salespeople need to understand the product but, more importantly, they need to know how to sell to businesses. If they don’t, they can waste time chasing the wrong leads or using bad strategies. Tech founders often don’t have the experience to know who the right hire is, which leads to poor results.
No Clear Sales Plan
A common issue tech founders face is not having a clear plan for their sales team. If you don’t tell your team how to sell, who to sell to, and how to follow up, they’ll all do something different. This leads to confusion, missed opportunities, and a lot of wasted effort.
A clear sales plan outlines what steps to take, what to say, and how to close deals. Without one, the team will be all over the place, and results will be unpredictable. Many tech founders expect the sales team to figure it out on their own, but this rarely works.
Poor Marketing and Lead Generation
Marketing and lead generation are also big challenges. Tech founders often think that once they build the product, customers will come to them. But that’s not how it works. You need a strong marketing strategy to get people interested.
Many founders try quick solutions, like buying leads or running a few ads. But these don’t always work. You need real leads—people who are genuinely interested in what you’re selling. That takes time and the right marketing approach. When founders don’t invest in proper marketing, they struggle to find the customers they need.
Recurring Revenue Problems
Many tech companies depend on recurring revenue from maintenance contracts or subscriptions. This steady flow of income is crucial. But tech founders often don’t have systems in place to manage it.
They might use spreadsheets or other manual methods, which can lead to mistakes. When 50% or more of your revenue comes from these contracts, you can’t afford to mess up. You need a reliable system that tracks everything and makes sure nothing gets missed. Without one, your business could suffer big losses.
Building Relationships is Important
Selling tech products isn’t just about having a great product. It’s also about building relationships. Customers need to trust you before they buy, especially when the product is expensive. Tech founders sometimes forget that people buy from people they trust.
Building that trust takes time. It means listening to what the customer needs, understanding their problems, and showing them that your product will help. If you don’t take the time to build relationships, it’s much harder to close deals.
Follow-Up is Key
One of the most common mistakes tech founders make is not following up with potential customers. They might have a great first meeting or send an email, but if they don’t hear back, they stop trying. But B2B sales need follow-ups.
Just because a customer doesn’t reply right away doesn’t mean they’re not interested. They could be busy or need more time to think. Regular follow-ups show that you care and are serious about helping. Without follow-ups, deals often get lost.
Be Honest When Selling Your Business
If you’re planning to sell your tech company, honesty is the best policy. Some founders try to hide problems or make their company look better than it is. But buyers will find out the truth eventually. It’s better to be upfront from the start.
For example, if one customer makes up 70% of your revenue, tell the buyer. If your profit margins are low, don’t hide it. Being honest builds trust and makes the sale smoother. Buyers don’t want surprises, and being upfront will save you trouble later.
Selling vs. Growing: What’s Right for You?
Some tech founders get tired and want to sell their company. But selling might not always be the best move. In many cases, it’s better to grow the business first. If you can increase your revenue and improve your sales process, you’ll get a much better price when you sell.
Think about your options. Are you ready to move on, or do you want to keep building? If you’re tired and want out, selling might make sense. But if you have the energy, growing your company can lead to a bigger payout in the future.
Preparing to Sell Your Tech Company
If you decide to sell, it’s important to prepare. Buyers want to see that your business is in good shape. If your finances are a mess, your team isn’t performing, or you rely too much on one customer, you’ll have a hard time selling.
Start by cleaning up your financials. Make sure your sales team is strong, and that your revenue is stable. The better prepared you are, the easier it will be to sell your company. It’s all about making your business look as appealing as possible to buyers.
Wrapping Up
Sales can be hard for tech founders, but it’s not impossible. With the right team, a clear plan, and a focus on building relationships, tech founders can succeed in sales. If you’re looking to grow your business or sell it, understanding sales is key.
Watch this video discussion for more on how tech founders can improve their sales process.
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