MVP vs Prototype: What Should You Build First?

MVP vs Prototype: The Essential Difference

Prototype: A visual or interactive mockup to test ideas and get feedback. Not functional—can't process real data or transactions.

MVP (Minimum Viable Product): A working product with just enough features to be used by real customers and generate real feedback.

The simplest distinction:

• Prototype = "Does anyone want this?"
• MVP = "Will anyone pay for this?"

Both are valid approaches, but they serve different purposes at different stages.

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When to Build a Prototype

Ideal Situations for Prototypes

1. Validating a Concept (Pre-Investment) You have an idea but aren't sure if it solves a real problem. A prototype lets you:

• Show potential users what you're thinking
• Get feedback before writing any code
• Test multiple concepts cheaply

2. Raising Seed Funding Investors often want to see something tangible:

• Clickable Figma prototypes show vision
• Demonstrates design thinking
• Costs $2,000-$10,000 vs $15,000+ for MVP

3. Complex UX Validation If your product's value depends heavily on user experience:

• Test navigation patterns
• Validate information architecture
• A/B test different approaches

4. Stakeholder Alignment Getting internal buy-in for a new product:

• Visual artifacts communicate better than specs
• Easier to gather feedback from non-technical stakeholders
• Reduces "that's not what I meant" syndrome

Prototype Types & Costs

Type	Fidelity	Cost	Timeline
Paper sketches	Low	$0	Hours
Wireframes	Low-Medium	$500-$2,000	Days
Clickable mockup	Medium	$2,000-$5,000	1-2 weeks
High-fidelity prototype	High	$5,000-$15,000	2-4 weeks

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When to Build an MVP

Ideal Situations for MVPs

1. Validated Problem, Ready to Test Solution You know people have the problem. Now test if they'll use your solution:

• Real users, real data, real feedback
• Can start generating revenue immediately
• Validates business model, not just concept

2. Post-Seed Funding You have capital and need to move fast:

• Prove traction for Series A
• Start building user base
• Generate data for iterations

3. Competitive Market First-mover advantage matters:

• Ship before competitors
• Start learning from real users
• Iterate based on actual behavior

4. Revenue Validation Need to prove people will pay:

• Functional payment processing
• Real subscriptions or purchases
• Validates pricing model

MVP Types & Costs

Type	Complexity	Cost	Timeline
Landing page + waitlist	Very Low	$500-$2,000	Days
No-code MVP	Low	$2,000-$8,000	1-2 weeks
Simple MVP	Medium	$15,000-$30,000	2-4 weeks
Complex MVP	High	$30,000-$75,000	4-8 weeks

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The Decision Framework

Ask These Questions:

1. What do you need to learn?

• Concept validation → Prototype
• Market validation → MVP

2. What's your budget?

• < $5,000 → Prototype first

• $15,000 → Consider direct MVP

3. How confident are you in the solution?

• Low confidence → Prototype to de-risk
• High confidence → MVP to validate

4. What's your timeline?

• Need feedback in days → Prototype
• Can invest 2-4 weeks → MVP

5. Do you need revenue?

• Not yet → Prototype okay
• Yes → Must build MVP

Decision Matrix

Situation	Build This
Testing a wild new idea	Prototype
Know the problem, testing solution	MVP
Raising pre-seed	Prototype
Raising Series A	MVP with traction
Budget < $5K	Prototype
Budget > $15K	MVP
Need revenue to survive	MVP
Internal tool validation	Prototype

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The Hybrid Approach: Prototype → MVP

The smartest path is often: Prototype first, then MVP.

Phase 1: Prototype (1-2 weeks, $2,000-$5,000)

• Design core user flows
• Test with 10-20 potential users
• Iterate based on feedback
• Finalize feature scope

Phase 2: MVP (2-4 weeks, $15,000-$30,000)

• Build validated features only
• Skip features users didn't care about
• Launch to real users
• Start collecting data

Why this works:

• 50% less development cost (build only validated features)
• Higher success rate (validated before built)
• Faster iterations (design decisions already made)

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Common Mistakes

Mistake 1: Skipping Prototype for Complex Products

Wrong: "We know what users want, let's build the MVP."

Reality: You'll build the wrong thing and waste money.

Fix: Even a 1-week prototype can save months of development.

Mistake 2: Over-Engineering the Prototype

Wrong: 3 months and $50K on a "prototype" that's basically an MVP.

Reality: That's not a prototype, that's a slow MVP.

Fix: Prototypes should take days to weeks, not months.

Mistake 3: MVP Without Clear Success Metrics

Wrong: "Let's build it and see what happens."

Reality: You'll have no idea if it's working.

Fix: Define success metrics before building:

• 100 signups in first month?
• 10 paying customers?
• 80% task completion rate?

Mistake 4: Prototype Without User Testing

Wrong: Beautiful prototype that sits on your computer.

Reality: Prototypes only have value if users see them.

Fix: Schedule user tests BEFORE building the prototype.

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Real Examples

Example 1: Dropbox (Prototype → MVP)

Prototype: A 3-minute video explaining the concept.

• Cost: ~$1,000
• Result: 75,000 signups overnight

MVP: Basic file sync for Mac only.

• Cost: Months of development
• Result: Validated demand before full investment

Lesson: Sometimes a video prototype is enough to validate.

Example 2: Airbnb (MVP First)

MVP: Simple website, founders' own apartment.

• Cost: $20,000 in credit card debt
• Result: 3 bookings in first week

Lesson: When you need revenue, ship the MVP.

Example 3: Zappos (Fake MVP)

MVP: Website with shoe photos, no inventory.

• Bought shoes from store when orders came in
• Validated demand before inventory investment

Lesson: MVPs can be "fake" backends to test demand.

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Prototype vs MVP at GALOR

Prototype Services

Design Sprint — $5,000

• 1-week intensive
• Problem definition
• Solution ideation
• Clickable prototype
• User testing sessions

MVP Services

10-Day MVP — $15,000 fixed

• Full working product
• Real users, real data
• Payment processing
• Admin dashboard
• Source code ownership

Hybrid Package

Prototype + MVP — $18,000

• Week 1: Design sprint and prototype
• Week 2-3: MVP development
• Best of both worlds

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Quick Decision Checklist

Build a Prototype if:

• You're testing a new concept
• Budget is under $5,000
• You need stakeholder buy-in
• UX is critical to validate
• You're pre-seed fundraising

Build an MVP if:

• Problem is validated
• Budget is $15,000+
• You need revenue
• You're in a competitive market
• You're raising Series A

Build Both if:

• You have $18,000+ budget
• Product is complex
• You want highest success rate
• You can invest 4+ weeks

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Next Steps

Still not sure which to build? Here's what to do:

1. Book a free consultation — We'll assess your situation
2. Get a recommendation — Prototype, MVP, or both
3. Start building — With confidence you're building the right thing

Book Your Free Consultation →