28 July 2023
Authored by AJE
Singapore- To state the obvious, if you're contemplating starting a drone company relying on an unproven technology or a mix of (un)proven technologies, you face a high risk of failure. Having said that, many drone entrepreneurs are ripping the benefit of all the hard work and having profitable drone (delivery) businesses. A recent publication in CrunchBase News is indicating that the interest in the investment world is still running high compared to other cutting-edge industries, while the investment peaked in 2021, with 160 deals worth USD 2 billion.
In 2023 alone, the giant drone delivery company, Zipline, valued USD 4.5 billion raised an impressive USD 813 million followed by drone manufacturer Skydio USD 570 million. While Europe’s largest drone delivery company the German WingCopter raised over USD 66 million, followed by the UK-based Skyports USD 34 million and the Irish frontrunner Manna Drone Delivery raised ca. USD30 million.
While there is no definitive formula for entrepreneurial success in the drone industry, we have compiled essential suggestions to help navigate the challenges and risks associated with drone delivery innovation.
Be honest with yourself and others. Don't pitch ideas you're not convinced will work. be real until you make it.
Love what you do. If money is your sole motivation, you'll likely never succeed. Commit fully and passionately, ready to learn and work hard. Your dedication and character can convince investors even if they doubt the technology you're promoting – remember how Elon Musk secured investments despite scepticism towards Tesla.
Believe in yourself. Be prepared to work hard without immediate rewards or appreciation from others. Don't rely on empty words from people to shape your confidence.
Impressing yourself is key to impressing others. Be genuine in your pursuits, and you'll win not just battles but the overall war. Walk fast, walk alone – walk far, walk together. Build a strong team of co-founders or employees. Dialogue and collaboration create magic, so avoid being a solitary monologue.
Drone delivery is an emerging industry with mature technology but lagging regulations. Connect with experts in regulatory and civil aviation to ensure your concept can be certified without major hurdles.
Engage with the investment community early on. The process takes time, from networking and pitching to due diligence and term sheets. Honesty and transparency are vital during these interactions.
Mind your sourcing for components when building your platform. Having at least three suppliers for primary components is crucial to avoid potential geopolitical complications. In-house manufacturing is the best approach to reduce reliance on outsourcing.
Remember, life is too short to overthink. Act, as actions speak louder than words. If you have a deep passion for the aerospace industry, especially drone delivery, seek the inner power to start a company that can make a real impact in this field.