How To Work With Design Partners

1. Introduction
   • Launch of standard Design Partner Agreement to solidify early customer relationships.
   • Emphasis on the importance of customer development in the early stages of a startup.
2. Understanding Design Partnerships
   • Design partners are early supporters who are willing to collaborate with your startup before achieving product-market fit.
   • They provide critical feedback and gain access to the product on favorable terms.
   • The collaboration is centered on co-creation rather than a mere transaction or exchange of goods​¹​.
3. Distinctiveness from Pilots and Betas
   • Design partnerships differ from pilots and beta testing, with a focus on the earliest stages of the company.
   • Pilots: Customers try a limited version of the built product, aiming to solve their problem, potentially leading to a long-term deal.
   • Beta features: New additions to an existing product ready for user testing and feedback.
   • Design partnerships aim to answer essential questions about product-market fit through in-depth, high-touch relationships​¹​.
4. Selection of Design Partners
   • Ideal design partners are the customers you genuinely desire, not just the early leads from product signups or early access forms.
   • They play a pivotal role in shaping your product and strategy, serving as valuable social proof for investors and potential customers.
   • Encourages considering ideal customer profiles and valuable inputs​¹​.
5. Formalizing Partnerships with Contracts
   • Despite potential hesitations, forming a contract can establish a clear understanding and commitment from both parties.
   • Contracts can prevent conflicts and disappointments by setting clear expectations, with a focus on feedback.
   • Suggested implementation of a meeting cadence to ensure regular feedback and nurture the relationship​¹​.
6. Attributes of the Design Partner Agreement
   • Allows either party to terminate the agreement at any time, adapting to the uncertainties of early startup stages.
   • The agreement is notably shorter compared to contracts used for selling production-ready applications​¹​.
7. Concerns Regarding Letters of Intent (LOI)
   • Highlights the risk of using LOIs due to potential issues with intellectual property (IP) ownership.
   • The necessity for startups to assure ownership or valid licenses to the IP in the product during due diligence processes.
   • Advocates for agreements assigning IP ownership to the company to avoid complications​.

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