166 week ago — 6 min read
Even multinationals operating at the global level started from scratch. What we usually see are the diamonds and not the grind within. Big results come in with incorporating consistency and ideas. Start small to gain big and ace the game. But all the startups require one thing to bring their ideas to life. Wondering what that is? The funds. To get the funds, you need to pitch your startup to the investors.
With massive competition across all industries, over 90% of startups fail. It isn’t always about the failure of ideas, but about due to lack of investments, funds, and consistency. You might have the same idea as some other startup but would not get investors if presented in the wrong way. While raising money for your startup, you have to pitch it to several investors. Pitch deck is the presentation that you give to the investors, which acts as an overview of the idea and the startup or business.
Also read: 15 Lessons from failures: A startup’s guide to becoming investment-ready
Investors cannot afford to spend hours reviewing a startup pitch deck and hence it should be crisp, relevant and present the value proposition clearly. You cannot include anything and everything in the pitch deck. Try summing it up in a presentation of 10-15 slides, not going overboard on the information or details. The pitch deck must include:
Foremost, provide all the company information, the logo, contact information, and details so it is easy for the investor to contact you. Adding a one-sentence overview of the startup is like a cherry on the top, giving a positive first impression. The value proposition is a great way to show the potential of the company.
What is the product for? What benefit does it offer to the market? How is it different? How can it solve the problem that other products can’t? You can tell a story connecting with the problem. If the product cannot solve a problem, it will be tough to attract investors and raise funds.
The solution is your startup or product. How does the product solve the problem? Describe the details of the product along with its benefits. You can continue with the story of providing the solution to the problem. This allows the investors along with the customers to relate to the products and services on a personal level.
It is important to explain the market that your product targets and the target audience. It is also a plus point to explain the market size and the impact the product will have on the market. Show the pitch deck investors attainable and realistic goals.
Healthy competition across all fields does not harm and is equally important. Do proper research and find out who the competitors are. This allows aligning the company goals even better. Also, develop proper strategies for the competitors to stand among the competition.
A business model is the first thing that the investors would be interested to know about. Having a well-planned business model is critical for the analysis of business working by the pitch deck investors.
For the startups having previous work of products and services, showing positive traction acts as a validation of the product. This even allows the company to show its milestones.
From where it all started to how far you’ve come, the brand story allows the investors to connect on an emotional level.
Attracting the audience can be a big challenge for the company. A well-devised marketing and sales strategy help the investors understand where they are giving their funds and develops trust among the individuals, customers, and investors.
Summarise the cash flow management and how you will use them. Use charts to explain the profit diagrams, the customer inflow, and investments among all the other details.
Do not forget to add the name of the core team. The key roles and their areas of expertise.
While presenting the pitch deck for startups, one must bear in mind that the presentation must be self-sufficient. It must have the right combination of details and strategies for growth, without going overboard on the information. Keep it short and simple to give the best first impression to investors.
If you are a startup founder ready for the next level of growth, it is important that you know how to pitch to an investor. In a webinar organised by GlobalLinker, well-known investor Sanjay Mehta shared key tips for startups to pitch to a VC and answered some queries too. Watch the webinar recording below.
Image source: freepik
Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views, official policy or position of GlobalLinker.
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