12 Tips to make Your Entrepreneurial Pitch leave a lasting impression
Sep 24, 2017
As we all know, for any new business, an entrepreneurial pitch is perhaps the most critical component that would determine whether the business would soar or fall to the dumps. Want to know how to make the pitch work? Here are a few tips:
Do your homework. Know well about your investors. Know their investment history, their interest areas. Practice your pitch in front of real people. Make sure you know the questions that are coming your way.
Open your pitch with a story, about a real customer, or an instance. Investors can get the numbers themselves. What they want is the emotion behind the pitch. So, grab that chance and turn your pitch into a story.
Strip your pitch down to the basic minimal. Don't garble it down with too many numbers or technical terms.
In this regard, timing is critical. So don't take up too much of the time of the investors and don't fumble around with the time. Be crystal clear in your division of timing while pitching. If you say the pitch will take five minutes, then it should take five minutes. End.
Establish the need. Why would the investors invest in your idea? Show them your model; show them where financing is needed. Show them the numbers as they are, and do not hypothesize. Don't show them absurd, fictional, probable figures.
Talk about yourself. Investors want to invest in the person more and an idea less. If you can present yourself as a business-driven, revenue-savvy person, then even if the investors are not down with this particular idea, they would be impressed enough to hear out the next idea you have
Explain in exact terms what your product is. Explain what is so unique about your product. Bring out your product if you can. Have the investors try out the product. Chances are, if they are impressed with your product then, they would put money behind it.
Explain your revenue model. Investors want to know how exactly you are going to use their money. So, don't just tell them you need ten crores. Show them how you plan to break-up the ten crores.
Tell the investors about the sales your company has done. If you can show the investors that your company had a substantial growth under you, they would be down with the idea. They want to invest in something that is potentially revenue-generating.
Address competition head on. Investors want to see that you are aware of the competition that exists against your product, and they want to hear what you are going to do about it.
Ensure that your company is clear on the due diligence front. Investors always do their due diligence before investing. Make sure that they do not dig up something murky.
Always have an exit plan. The investors would want to know what you would do if the business does not thrive as promised, or you get bored. Merger? Licensing? Have an answer ready.