We talk to startups and investors, you get the value.
We talk to startups and investors, you get the value.
One of the first questions that come to the entrepreneur's head is how to create the presentation of an idea in a way to receive the desired (it may be investor’s money or sales to the first client). In today's article, we will have a look not only at classic pitch-decks but also those that are used by companies nowadays.
Let’s start with a question from our cross heading. Is it possible not to do a startup pitch? Yes, there is a slight possibility but sooner or later, the entrepreneur understands the need to create a few slides to describe the product’s idea to an investor or a potential client (after all, the only reason that 100% of startups liquidate is that they ran out of money).
Often, the first startup presentation is made by the founder himself based on a template that can be easily found in any office suite. Later, there comes an understanding that the creation of such a document is a separate task, which is better to entrust to professionals. Today, you can find enough offers from designers for the design of startup presentations, but it won’t be possible to completely shift this task on them, since "filling" the design is a task for the entrepreneur himself.
There is a classic rule of 30/20/10, which is still actual. 30 is font size, 20 minutes of the presentation and 10 slides. One slide is for one piece of information: team, idea, solutions but don’t mix up several topics as you will not only get confused but will also confuse the people, who will be watching your presentation.
We can highlight 4 main parts of a decent presentation:
In the introduction, tell a personal story that underlies your project. Remember, the best projects are those where the founder solves his personal problem. Here, you can tell about the situation in general: is there a market for your idea or whether it is only you, who’s bothering.
In the second part, explain everything related to the problem that you are going to solve with your business idea. Use the classic villain versus hero opposition to talk about what's wrong now and what will change after you turn your idea into reality. Don’t forget about the importance and criticality of the decision: remember that there is a "startup vitamin" or "startup painkiller". If we can easily forget to take vitamins, then we are ready to give any money for the painkiller to get it here and now.
Problem solution is the next important part of a startup presentation. In this section, tell not only about your know-how but also about direct and indirect competitors of your idea. Reveal the benefits of implementing your solution and, if possible, prove your words.
Conclusions is a summation part, which requires a lot of attention since it is a well-known fact that we better remember the first and the last thing we experience. At the end of the presentation, don’t forget about the appeal or morality, because everyone wants to be involved in something big.
This year, special emphasis should be placed on the team and the experience of the company. This is what a potential investor is primarily interested in. It doesn't matter if this is your first presentation and you are looking for money just to create your first project, or you have several years of experience behind you and you need another round of financing in order to grow and capture new markets.
Markets are the second significant aspect today, especially for those investing in startups. You need to tell both about the global market where your company will operate and about the achievable one, which you plan to capture in the near future. When you talk about markets, remember that this is, primarily, about money, and not about the number of people.
Intellectual property is the next important aspect that you have to include in your presentation. Show how the available patents are interconnected, what influences the final product and how are you protected from competitors entering your market
Money. It is the next vital question which any investor will ask: what about the money. If you are a mature company, show sales dynamics and the user database growth; if you are making your first steps, then share some information on the unit economy.
Team. Behind any successful product, there is a team of people who believed in it and created it. Tell about your people in a way that people, who make financing decisions, will believe in them and want to invest money.
Finance is a section where you have to answer two questions: how much money do you need and how will you use the finances. Show the distribution of money in percentages, depending on the importance.
We can surely say that a startup's presentation is a fairly conservative form that is not subject to dramatic changes under the influence of fashion. Investors, first of all, are always interested and will be principally interested in money, so, show this kind of information as much as possible. Information about the markets can also be attributed to money. Don’t try to exaggerate your achievements or market opportunities since the investor's job is not just to take the entrepreneur's word for it, but to know as much as possible about these aspects. But considering the team that develops the product, here the investor can take your word for that. By your presentation, you should always inspire people to believe in you and your team. After all, any startup consists of an idea and its implementation, and specific people are always behind the implementation.
Eazy pitches and large investments to all!