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10-Day Startup Series 🔥 24th June 2025 🧵 Post 8️⃣ : This is the last part of, "Terms Every Founders Must know". So we have now learnt 20 most important terms and we will learn few more gradually. For that you can follow me and keep getting my latest post. 🧮 16. TAM / SAM / SOM : These are the terms to understand the markets like : -> TAM stands for total Available Market, which defines the overall market spread of your business.( If a market size of Milk Supply is 500cr, then your Milk Supply Startup TAM will be 500cr whole world ) More info at : https://en.wikipedia.org/wiki/Total_addressable_market -> SAM stands for Serviceable Available Market, which defines that how much market spread ( part of TAM ) can be reached by you using your sales channel.( Example., you think you can capture 200cr market of Milk supply in India as India is your main serviceable area) More info at : https://en.wikipedia.org/wiki/Serviceable_available_market -> SOM: Serviceable Obtainable Market or also known as target market, which defines a market size saying who will be your actual buyers, who you can sell to using your product, offerings, service etc.. ( Example,. you have a good product and be a good seller than you can imagine atleast 20cr as your Initial target for initial stage, so your SOM would be 50cr ( part of 200cr ) can be increased if you are veru sure of your product and offerings ) More info at : https://en.wikipedia.org/wiki/Target_market 🧠 Remember never hype up the values of these, investors are not brainless they do verify and they do research about these. So be honest not very confident. Investors do ask this at the very first day. 🧲 17. Traction : This can be financial too, user wise too, growth of the product too, could be revenue, could be retentin of your customers. Most of them think traction is only financial but no traction is something that investors will know that this idea can be backed by, people trust this idea or may use this product that is what traction is. ( Investors wanna see is your idea might work or no ). More info at : https://www.sturppy.com/startup-dictionary/traction 🧾 18. Due Diligence : This is process where you carefully have to check the information of your startuo like financials, team, legal documents, etc.. everything are correct or no before the investor signs the deal. This is the most important part if you miss it better be ready to deal with legal hurdles in the future. Always research and evaluate the details before investor signs the deal. More info at : https://www.investopedia.com/terms/d/duediligence.asp 🧾 19. Moat : The most important and a cool term, Moat is a term which basically is what speciality are you introducing that none of your competitors have it. It is mainly like how can you maintain in the market with competitors. Like Zomato & Swiggy have different Moat's like if we talk about recent stuff, Zomato is focusing on customer loyalty offers and trying to increase the order value and frequency where as Swiggy is now doubling its grocery service and also they are experimenting with cloud kitchens in urban cities. This is how both company run on different MOAT. But usually it is better to have a MOAT which cannot be easily copied or illustrated by your competitors to maintain your ability to rule the market and maintain competitive edge. More info at : https://www.investopedia.com/terms/w/wide-economic-moat.asp 📃 20. NDA (Non-Disclosure Agreement) : It is a Legal contract to protect confidential information during the early-stage talks and also few people use it in every stage. It is like investors are not supposed to share your company information or company MOAT or whatever internal information, to prevent these you can use NDA. More info at : https://www.investopedia.com/terms/n/nda.asp If y'all have any kind of doubts, drop it in the comments and let us all engage and understand it more deeply. 😄 *This Post adhers to all community guidelines* *The image used below is sourced from Google images* * The content is based on personal knowledge and have attached links for each terms, the webpages attached are property of each webpage mentioned*