STEP 20:
Demonstrate Initial Market Traction

Climate and energy ventures face a three-way Catch-22. Investors are hesitant to invest without customers on board, customers don't want to buy unless the technology is proven, and the technology cannot be built at commercial scale without investor money. The way to resolve this paradox is to get 1-3 anchor customers who are willing to vouch for their firm intent to buy the technology. These customers usually end up being more than just buyers. They will likely wind up being partners in the development and construction of the pilot, lending technical expertise and possibly financing. They will also likely be large institutions at risk of getting bogged down in bureaucracy and inertia, so entrepreneurs must be prepared to dance a tricky dance with them.