This is a snippet taken from a guest post I did for the awesome people at Startup Smart… Click here to read the full article!
Pitching your startup to investors isn’t everyone’s idea of an easy sell.
Pitching can be nerve wracking, and it’s heartbreaking to watch an entrepreneur with a fantastic business absolutely bomb in their pitch.
I’ve worked with clients who have collectively raised over $10 million in funding, and I can assure you it’s not a gift that you’re born with and there is no right or wrong way to pitch.
But the biggest weapon you have in delivering a knockout pitch is selling your startup as a huge business opportunity for the investor.
Here are the 10 most important things you need to include in giving pitches to investors:
Start strong by selling your grandiose vision for the company in 30 seconds or less.
This isn’t small fry stuff – this is your big, audacious goal for where you want to take your startup in the next 50 years.
Do you want to completely disrupt a stagnant industry? Make the current market leader irrelevant? Expand to have a presence in every country?
Don’t worry if you seem overly ambitious or unrealistic – if your vision doesn’t make you feel nervous, it isn’t big enough yet.
This will grab investors’ attention and inevitably ready to hear the answer to “how will you do this?”
2. The problem
Every sustainable business idea fills a gap in the market.
By persuasively framing the problem you are showing investors that there is massive untapped demand that your business caters for.
Use free resources like government and industry data, self-conducted surveys with your target market and web tools like Google Trends to demonstrate how big the problem is, and more importantly, that the market is growing.
Make reference to the current solutions and alternatives to the problem – this will demonstrate you understand your market.
Using this information, estimate the total available market by multiplying the number of available customers by the value of each customer – this will show the scale of the opportunity to investors in hard terms they understand.
3. The solution
This is where the art of the sell comes in.
Draw directly from the problem you just stated and justify your tech startup as the best possible solution.
Break down your product into three to four bite-sized chunks of core features and functionality.
At this stage, you should only be communicating Minimum Viable Product and appealing to investors’ emotions to tell a story of the customer and how they will use your product.
Itching to find out the other 6 things to include in your pitch? Click here to read the full article.
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