Founders in Iraq are usually offered one of two things: money from someone who cannot help them build, or building help from someone with no stake in the outcome. The two arrangements fail in different ways.
Why a cheque alone is not enough
Money buys a team. It does not buy judgement about what that team should build. A founder raising their first round often spends it discovering — expensively — which technical decisions were wrong. By the time that becomes obvious, the runway is gone.
What changes when the investor also builds
When the same partner holds equity and writes the code, three things change:
- Scope arguments end. Nobody bills for a feature nobody needs, because nobody profits from building it.
- Technical debt becomes the investor's problem too. A shortcut taken this quarter is a shortcut they will maintain next quarter.
- The product keeps moving after launch. Agencies deliver and leave. A shareholder stays.
What this does not solve
It is not the right structure for every venture. If the hard part of your business is licensing, logistics or distribution rather than software, a technology partner brings less to the table than a strategic one. Be honest about which problem is actually yours.
What to ask a prospective partner
Ask who specifically will build it, whether they have shipped in your sector, what happens if you want to part ways, and how their equity is affected if the product underperforms. The answers tell you whether you are getting a partner or a supplier with better paperwork.
Frequently asked
The follow-up questions we get most often on this topic.
How much equity does a technology investor usually take?
It varies with how much of the product they build. When the partner delivers the entire platform and funds the launch, a minority stake in the 15–35% range is common. The figure should reflect capital plus delivered engineering, and it should be written down before work starts.
Can I keep control of my company?
Yes, if the stake stays a minority and the shareholders agreement is written properly. Look closely at board composition, veto rights and what triggers a forced sale — those clauses decide control far more than the percentage does.
What happens if the product fails?
The investor loses with you — that is the point of equity rather than fees. Agree in advance what happens to the code, the accounts and the brand if the venture winds down, so a failure does not turn into a dispute on top of a loss.