How to pitch your startup idea: a step-by-step guide to raising funding
Learn to speak the "love language" of the investor by answering fundamental questions
Investors will try to expose your vulnerabilities, be prepared and learn to answer those doubts in your pitch
Share a clear rationale for what you’re doing and give clear expectations
Adopt an investor’s mindset prior to your pitch; present insights and metrics that will impress and motivate
The 3 essential questions
The three vital questions you’re going to answer in your pitch are:
- What: What are the key features and benefits of your product or service?
- Why: Why does it matter? What problem does it solve?
- How: How do you plan to make money?
Investors are always looking for startups with a compelling and well-thought-out business model. Your startup must have a clear idea of: how you plan to make money, what you will offer, and why your product is necessary.
Investor interviews are a great way to find out what the investor is looking for in a company. They also provide insights into what the investor thinks about the current market and how it will change in the future.
Get an investor interview
The best way to get an interview with an investor is to have someone recommend you. If that doesn’t work, you can reach out via email or dedicated channels.
Create an irresistible investment pitch by showing three types of value
Investment pitches are about more than just the numbers. They need to be compelling and they need to show the value of investing in your business. There’s the tangible value: the benefits that investors will receive in exchange for their investment. The intangible value is the potential upside if the company succeeds. And finally, the potential value: what could happen if the company becomes a huge success.
Make sure your investor deck rocks
The key to success is to make sure your presentation will resonate with the audience and convince them of your idea’s merit.
It is also important that the deck be concise and easy to digest. Create a presentation with an introduction, body and conclusion. The introduction should include background information of the company or idea, the body should state how you plan on executing the plan, and the conclusion should wrap up the presentation by summarising the key points. This should be clear for your intended audience to understand and potentially invest in.
