The U.S. startup ecosystem is highly competitive. Breaking into the market, securing investor interest, and building local connections are all crucial to success.
From our years of experience as an accelerator, we’ve identified three major challenges that startups commonly face when expanding into the U.S.: difficulties in fundraising, lack of localized market strategies, and insufficient local connections.
Even with great technology and strong products, many entrepreneurs still struggle to gain traction in a new market.
This article breaks down the core challenges of entering the U.S. market, shares key insights for mitigating risks, and outlines practical strategies for a successful expansion.
Article Outline
How to Attract U.S. Investors
U.S. vs. Taiwan: Key Differences in Investor Expectations
How to Craft a Pitch
Go-to-Market Strategies
Should You Prioritize Finding Customers or Partners First?
How to Localize Your Market Strategy
How to Build a Local Network from Scratch
How to Attract U.S. Investors: Key Factors for Fundraising Success
U.S. vs. Taiwan: Key Differences in Investor ExpectationsMany Taiwanese entrepreneurs assume that strong technology and innovative products alone will attract U.S. investors.
However, U.S. investors are far more data-driven and expect startups to demonstrate real market traction before investing.
Here are some key factors they prioritize:
Market Size (Total Addressable Market, TAM)
Is the opportunity big enough?
U.S. investors expect billion-dollar market potential, not niche or regional markets.
Scalability
Can the business model scale and be replicated?
This is why referencing successful case studies and proven business models is crucial.
Competitive Advantage & Moat
What makes your company defensible?
Factors such as technological barriers, network effects, and proprietary data can create a sustainable edge.
Team Execution & Market Experience:
U.S. investors favor founders with international experience or projects with globally recognized credentials.
Exit Strategy
How will investors get a return on investment?
IPOs and acquisitions (M&A) are the preferred exit paths for most U.S. investors.
Crafting a Pitch That Appeals to U.S. InvestorsU.S. investors receive hundreds of pitch decks daily. How can yours stand out?
The key: Keep it focused, data-driven, and clearly structured.
Here are some common mistakes to avoid and critical elements to include:
Lead with the market opportunity: Clearly define the pain point, market gap, and commercial potential right from the start.
De-emphasize technology, focus on business value: Avoid overly technical explanations. Instead, highlight revenue models and growth potential.
Show data & traction: Investors want to see real numbers—revenue growth, user engagement, conversion rates, and other key metrics.
Clearly define funding needs & allocation: Explain how the funds will be used to drive the company’s next growth phase.
Go-to-Market Strategies for the U.S.
Should You Prioritize Customers or Strategic Partners?B2C (Direct-to-Consumer)
The U.S. has high marketing costs, and brand trust is essential.
Start with local e-commerce platforms and distribution partners to minimize brand-building expenses.
B2B (Enterprise Customers)
Enterprise sales cycles are long, and credibility is key.
Leverage local industry partners to establish trust and facilitate entry.
Localizing Your Market StrategyAchieving Product-Market Fit (PMF) in the U.S. involves more than just product adaptation—it requires aligning with local branding, marketing strategies, sales approaches, and even regulatory requirements.
Adjusting Brand Positioning
U.S. consumers value storytelling and brand messaging.
Position your product from the customer’s perspective: “real-life problem → product in action → solution” to ensure relevance.
Adapting Marketing Channels & Content
Digital marketing dominates the U.S. market.
Bold, direct, and visually compelling content works best.
Leverage video tutorials, short-form video ads, real-world use cases, and competitive analyses.
Localizing Sales Strategies
B2B: Requires longer sales cycles and strong social proof.
B2C: Heavy ad spending is necessary for brand awareness.
E-commerce is highly competitive, and user-generated content (UGC), micro-influencers, and viral marketing are widely used.
Navigating Legal & Operational Hurdles
Differences in contract laws, taxation, payment systems, and state-specific regulations can impact operations.
Conduct thorough research to avoid unexpected obstacles.
How to Build a Local Network from Scratch
The U.S. market is highly competitive. Without local connections and credibility, startups can struggle to gain traction and miss out on crucial opportunities.
Join local startup ecosystem events
Attend Techstars, Y Combinator, and other startup community meetups to connect with key players.
Leverage professional groups
Use platforms like LinkedIn and Slack communities to expand your network.
Work with accelerators
Get connected to industry experts and investors for valuable mentorship and introductions.
Comments