4 Useful Tips to Create a Great Investor Pitch

Every startup founder seeking funding must be wondering, how to ‘wow’ potential investors? 

Tech startups in Southeast Asia remain strong during the pandemic, report shows. As the startup environment evidences rapid growth, the competition climate is inevitably rising too. Many founders initially fund their business projects with their personal savings or loans. But when the venture makes traction and gains recognition among consumers, founders have to look for another way to find alternative funding sources. 

Reaching out to outside investors is a good way to get the capital you needed. With the competition among startups ramps up, however, it becomes more challenging in attracting investors. As an aspiring entrepreneur, you need to know how to create a great investor pitch. Here is how you can do that.

 

Set the tone

A pitch deck is a brief slide presentation that explains your company’s business plan. It covers the most important aspects of your project, such as your core services, business structure, and business plan. Here, you need to describe an existing issue and how you intend to address it. A well-crafted pitch deck will assist in setting the tone for your company pitch. In many situations, your pitch deck will serve as your calling card: it will be what investors view before agreeing to meet with you. 

Constructing a pitch deck is a communication exercise, therefore you must tell a tale that reaches all the essential points. Every year, a typical VC or angel investor may examine hundreds of pitch decks. They might read it for two to five minutes before determining whether or not to meet with the startup. Therefore, it is advised to keep your pitch deck straightforward, short, and concise.

 

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Set the visual

Captivating visuals are an excellent approach to attract investors. Compelling visuals help people remember more information. Displaying photos of the main parts of your pitch that are streamlined, clean, and vivid will create a lasting impact. Bloomberg suggests that decks featuring visuals enable investors to virtually see themselves in your perspective. 

One of the best examples of a pitch deck that utilizes visuals is Facebook. In its initial pitch deck, Facebook displayed an image of a profile page, the fundamental aspect of the social network’s experience at the time, to demonstrate the essence of the platform. The following material highlighted are key components: photo, contact information, personal information, and course information, because Facebook debuted in universities.

 

Set your market

Let investors know the impact of your startup and this means you need to explain your target market in your pitch. The most important tip for determining the target market is to be specific. Avoid being too broad, as this can translate to you not knowing what your startup is about. Make certain that your product or service can meet an industry’s entire range of needs. Give a full description of your target market, including age, lifestyle, and behavior. Regardless of how huge your market is, show investors that you have given this a lot of attention. 

It will also be beneficial to come up with a marketing strategy after showcasing your target market. Investors will be interested in how you intend to increase engagement. In today’s market, most startups make the most of digital marketing. You can also come up with a hybrid of traditional and digital advertising. The objective is to have a clear approach that will effectively improve your startup’s prominence.

 

Set your team

A solid team fuels business performance. When delivering a pitch, you can mention all of your existing team’s unique characteristics and skills, as well as the tasks they carry out. Involving the visibility of people in your startup will add a ‘human touch’ to your pitch. It is less about their qualifications and whether or not they have the generic talents to do this, and more about why they are important to this specific business. With the ongoing dynamic of inclusivity, you can also emphasize how your team is not made up of only a specific gender or race.

 

On top of all the tips above, always prepare a spoken practice for the presentation. A well-crafted investor pitch should be well-presented to persuade investors. A strong investor pitch deck can increase the likelihood of your startup receiving funding. Make sure your pitch is interesting and appealing by highlighting issues investors are expecting to see. Show investors that you truly believe in your startup and can guide it to success. Good luck!

 

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