How is the future of Startups in Aerospace & Defense ? Can any one share their experiences of how can one scale in as a Startup in this industry ? Without considering the common factors as Government Regulations etc , what are the challenges one may face in Aerospace & Defense ?
No experience with defense startups, but I'd guess that the process would be different depending on whether your startup builds a product or a service. A defense-targeted product would need to be very specific to attract early interest. Long-term product development without much upfront interest would be very risky.
A software or service (SaaS) startup is not much different from a civil/public SaaS, except that you need to understand that it would need to get certified (FedRAMP et al), which will cost you a pretty penny and add significant operational overhead. There is a way to offset those expenses through agency sponsorship. FedRAMP allows for it and it also expedites the certification process. Connect with agencies' decision-makers or their major contractors/consultants, for example, people who manage federal government practice for the big 4 to learn more.
Primarily you need to be government (whichever country) approved to sell to the buyers in these industries, and that regulatory factor which you want us to ignore, is the biggest hurdle.
A huge chunk of this business is done at a trade shows. You also typically need to be able to demonstrate financial stability and resources.
Scale isn't as much of an issue as regulation and price. Products tend to be unique. And price is a major factor. The sales cycle is very long.
I'd expect these are things of which you are already aware.