To successfully launch a new business, it is often necessary to obtain funding, usually in the form of investment. This initial capital helps give the business a strong start and sustain it until it becomes financially self-sufficient. To secure investment, it is important to convince potential investors that your business is a worthwhile opportunity.
To create a successful pitch, it is important to research the investor and tailor your pitch to their values. Have a thorough business plan that highlights the value of your business and keep it concise, as you will only have a limited amount of time to make an impression.
Craft an interesting story with a compelling vision that demonstrates your solid understanding of the business. This will make it easier for investors to believe in your abilities and see the potential of your company. Describe what makes your product unique and how it will improve people's lives, including any positive environmental impacts. Outline your future goals and explain how you have overcome any challenges thus far. Create a memorable story that will stay with the investor after your pitch is over.
While it is important to have your figures ready and fully understand them, avoid simply reciting a list of facts. Instead, use your figures to support your story and demonstrate the value of your business.
What is a pitch deck?
A pitch deck is a presentation of slides that outlines the important aspects of your business. These slides should include a brief overview of what your business offers to customers, the problems it solves, your target market, business model and plan, existing sales and customers, marketing plan, team, financial data, competitors, and use of funds. Keep it simple and use plenty of visuals to make it easier to absorb.
Use your slides to create excitement and generate interest, but make sure to convey all important information so that investors understand exactly what they are taking on. Include figures that demonstrate existing sales, current customers, and your marketing plan, as well as financial data and information about your team and competitors. Finally, explain how you will use the funds.
Ideas for what to include in your pitch deck:
1. Define your target audience
To help investors better understand your market, create a profile of your ideal customer and explain how they will benefit from your product.
2. Present your financials
This will likely be of high interest to investors, so be prepared to discuss pricing, profit projections, and your plan for achieving financial success.
3. Share your achievements
To build credibility with your audience, outline your progress to date and your vision for the future. Explain how the funding you are seeking fits into this plan.
4. Outline your marketing and sales strategy
To show investors that you know how to reach your target audience, describe your marketing and sales approach and the associated costs. Explain why you believe this strategy will be effective.
5. Introduce your team
Describe the composition and roles of your team, including any employees or outsourced expertise. Demonstrate your awareness of the importance of delegation and your ability to effectively manage a team.
6. Provide financial projections
To ensure that your pitch is financially sound, present realistic projections for the coming years. Be prepared to address any questions or concerns about these numbers.
7. Understand your competition
To differentiate yourself in the market, explain how you are different from your competitors and what your competitive edge is.
8. Discuss your funding needs
Clearly outline the amount of funding you have already secured and the amount you are seeking, as well as any future funding needs. Explain how you will be trusted to effectively manage the investment
Rehearse your pitch and practice presenting it in front of an audience to build confidence and minimise the risk of appearing unprepared. Familiarity with your pitch will help you to stay on track and to deliver it smoothly.