Investment for start-up business
Pitching for investment for a start-up business is a very competitive process and often gaining an investor’s attention in a short period of time is crucial. Here are a few pointers to create a winning pitch deck.
- Often pitches are done on a powerpoint presentation but you don’t have a lot of time to engage so keep the number of slides to no more than 10.
- Summarise your business idea in a few words and explain how it solves a real need or pain point for a user.
- How big is the market, who are the competitors and how will your business succeed? Research your market and have strong facts and figures.
- Route to market – how will you communicate? What’s your marketing plan?
- Sales, sales, sales – how quickly can you reach revenue and profit? An investor wants to know you can get traction quickly.
- How much do you need and what will you spend it on? Be precise and show you are going to be very careful with their money.
- When’s the expected exit for the investor? Investors are professionals and want to get their investment back with a handsome return within 2-3 years.
- What do you expect to sell the business for on exit? How much return can an investor expect?
- Who else is taking a risk? How much money have you invested personally in the business?
- The management team – have you got a top team that can deliver the growth and results that will give a major return? What’s your track record and do you have an advisor on the team who can help with the growth?
Use images to engage investors – they are human and don’t want to read long lists.
Investors want to support startups because they are exciting and offer potentially high rewards, but they are by nature risky endeavours so make sure you convince an investor you can deliver.
If you’re looking to enhance your new business investor pitch, Corporate Counsel can help. Contact us for an initial conversation and discover how we can assist you.