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Think Like an Investor the Pitch How To
Think Like an Investor
the PitchHow To
Raising money from investors for your startup is challenging at
any stage and requires a great pitch, even for experienced
founders with significant traction for their company.
The good news is that there’s a formula for pitching your deal
that has helped startup founders raise millions.
Read on to learn how to
THINK LIKE AN INVESTOR
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HOW TO PITCH YOUR IDEA & WIN.You Will Learn
LET’S GO!Welcome
01Thinking Like an Investor
02Calculating Your Valuation
03What Investors Need to Hear
04Closing Like A Pro
GREAT STARTUPS DON’T FUND THEMSELVES.
Lesson Number One
BANKROLL YOURS
LET’S ROCK
Getting others involved in your success is a sure-fire way to
begin building traction and popularity for your product.
Investing in your own dream shows dedication, but to be a real
market competitor, you need to be able to move quickly and
market across multiple, suitable channels. Getting others to “buy
into” your idea also serves as proof that your idea has some
validity which can really jumpstart your marketing creativity.
The first step is making sure you’ve got on the
right thinking cap: the investor’s cap.
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L I K E A N I N V E S T O RTHINK
01Thinking Like an Investor
EMOTIONALLY INTELLECTUALLYLOGISTICALLY ENERGETICALLY
DON’T JUST STAND OUT.MAKE YOUR GOAL CONNECTION.
Go Beyond the Basics…
CONNECT EMOTIONALLY, INSPIRING THEM TO BE PART OF YOUR STORY.
Understand Your Investors’ Interests:
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CONNECT LOGISTICALLY SHOW THE MARKET EXISTS FOR YOUR SOLUTION.
Make Sure Your Idea Is Grounded:
CONNECT INTELLECTUALLY, CONVEY A REALISTIC VISION.
Make Sure Your Idea Is Grounded:
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CONNECT ENERGETICALLY, A MEETING OF THE MINDSTo be a true success, it must be a win-win
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NUMBERS ALWAYS TELL THE TRUE STORY.
Lesson Number Two
EVERY TIME
LEAD WITH THE DIGITS
Valuation is a measurement used to gauge the level of a
company’s potential in regards to a particular investment.
A little research can go a long way…
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It does not show the “true” value of the company. It
identifies the value an investor gets for their
involvement. This number can be based on several
considerations. Following are just a few of them…
N U M B E R S N E V E R L I E . S O M A K E S U R E Y O U R S T E L L T H E T R U T H .
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Y O U R R E A L W O R T HKNOW
02Calculating Your Valuation
THE MARKET FOR YOUR PRODUCTARE THERE ACTUALLY PEOPLE WHO WANT WHAT YOU’VE GOT?
ACTUAL PRESENT VALUESALES TO DATE AND GROSS MARGINS
PRODUCT VIABILITY & PROFIT MARGINHOW MUCH GROWTH POTENTIAL IS THERE?
TOTAL OPERATING COSTSOVERHEAD, INVENTORY, STAFF, MARKETING, ETC.
PERCENTAGE NEEDED TO BE PROFITABLEHOW MUCH MAKES THIS ‘WORTH IT’ FOR THE INVESTOR?
KNOW YOUR VALUE(-ation)AND DON’T INFLATE IT.
IT ALL COMES DOWN TO LIKEABILITY AND TRUST
Lesson Number Three
SURPRISED?
Genuine emotion always shines through
When was the last time you gave some money whom
you did not like? How often do you invite people to
your home who you do not trust? Our lives have never
stopped being a popularity contest and attaining
investors for your idea is no exception to the rule.
Now that business is also personal, don't forget to take care of these “little things”…
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I T ’ S A L L A B O U T
TRUST03What Investors Need to Hear
W H A T M A K E S A G O O D I D E A A G R E A T I N V E S T M E N T
VIABILITYPROPRIETARY PRODUCT FEATURES
SCALABLE BUSINESS MODEL
RATE AND LIKELIHOOD OF RETURN
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THREE FUNDAMENTALS
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YOU UNDERSTAND YOUR BUSINESS, YOUR MARKET, AND YOUR ACTUAL GROWTH POTENTIAL
Show That You Know Your Stuff
M A K E S U R E T H E Y K N O W Y O U A R E I N I T
A N D Y O U ’ R E C O M M I T T E D L O N G T E R M
TO WIN IT
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GIVE THE FULL STORY OF YOUR VISION
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WORD OF MOUTH
Super Power:
I F A T A L L P O S S I B L E , S H A R E R E C O M M E N D A T I O N S A N D
REFERALSF R O M P E O P L E W H O T H E Y A R E
F A M I L I A R W I T H
Their goal is a return on investment
P R O V E Y O U ’ V E T H O U G H T A B O U T H O W T H E Y W I L L G E T T H E I R M O N E Y B A C K
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SHOW YOU HAVE A PLAN FOR THE FUTURE OF YOUR PRODUCT,
BE IT EXIT OR EXPANSION
THEY ACTUALLY WANT TO “YES” TO YOUR PITCH.
Lesson Number Four
HELP THEM
THE CLOSE OF A LIFETIME
Keep in mind that a solid closing is just as important as a strong opening, and you’ll have the tools you need.
These final moments are your opportunity to clear up any confusion, ease any uncertainties, and reiterate why this deal will be the best one they’ve made thus far.
Keep it honest, maintain your focus, use facts and real world data, and let your final words be from a place of confidence and enthusiasm.
Pull out the big guns and help them say, “YES!”
THEY DIDN’T SHOW UP TO SHOOT YOU DOWN...
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T H E A R T O F T H E
CLOSE04Wrapping Up Like A Pro
GIVE THEM A HIGHLIGHTS SUMMARY OF YOUR PRESENTATION
AND AN INITIATION ACTION LIST
MAKE SURE THEY KNOW WHAT’S UP NEXT
WHAT you’re selling, why it’s a great idea, and how it is unique in its market
WHO is looking for what you’ve got to offer and the buying power of that segment
WHERE your financials currently stand and how you plan to prime them in the future
HOW you propose your investors become involved and what they can expect in return
TAKE AWAYS
MAKING A MASTERFUL PITCH
Be sure that your audience gets a clear understanding of
each of these important areas:
BUYERSPRODUCTS
RETURN REVENUE
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CLOSE BY COVERING ALL THE BEST POINTS OF YOUR PITCH AND SHOW THEM, STARTING RIGHT NOW, THAT YOU WILL DELIVER ON YOUR PROMISE.
PAINT THE PICTURE OF THEIR FUTURE
MAKE THEM AN OFFER THEY CAN’T REFUSE.
TELL THEM WHAT THEY NEED TO DO NEXT TO TAKE ADVANTAGE OF THIS
AMAZING OPPORTUNITY!
DON’T WAIT FOR THEM TO RESPOND.
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DON’T IGNORE DESIGNGOOD BRANDING CAN HELP SALES.
Remember, it matters how you look.
Bonus Lesson One
DON’T FORGET THE SAMPLE.TRY IT AAANND LIKE IT.
If at all possible, make sure they try out your idea. Even if it’s just a mockup.
Bonus Lesson Two
GO SHOW ‘EM WHAT YOU’VE GOT!
Ready to get moving?
BRIDGETTEBRYANT
Slides By:
www.Bridgette-Bryant.com
