You’re ready to grow your startup and have identified your ideal investor. Give yourself the best chance of success by following these 10 top tips
You’re ready to grow your startup and have identified your ideal investor. Give yourself the best chance of success by following these 10 top tips
VC and angel investors, like any business, have a clear idea of what they are looking for. What is their back story? Which startups have they backed in the past? What can they offer your business? And what is their exit strategy likely to be?
Know your business inside-out. Investors may ask for details you don’t expect and won’t be impressed by ‘I’ll get back to you’. Swot up on the numbers, the tech and the addressable market – and your belief in the business will shine through.
Engage with even the most cynical investor by telling a story. Who are you? Why did you found the business? What have you learned along the way – and how have you adapted your proposition? To reach a happy ending, your journey must flow naturally.
Investors don’t get out of bed in a morning itching to watch a robot presenting facts and figures. By injecting your personality into the story, you can entertain them – and maximise your chances of building a relationship. But remember to keep it relevant!
Find out how long you have to pitch and make sure you don’t run over. A general rule of thumb is to keep your presentation to 20 minutes and no more than 10 slides unless absolutely necessary. It is important to go into depth; but don’t stray from the core story.
If you rock up on the day expecting to nail your pitch first time, you’re in for a nasty surprise. Memorise the key points in your pitch and deliver it to the shower wall; to family and friends; to colleagues. Encourage questions and avoid a surprise on the day.
The days of mandatory corporate dress codes are long gone, but that doesn’t mean you can roll out of bed 10 minutes before the train is due to leave. Scrubbing up will also make you feel more professional. You may be a tech entrepreneur, but think twice about that hoodie!
Investors are looking for someone capable of running a successful business – not a TV presenter. If your delivery of a well-crafted pitch isn’t as spot-on as you imagined, put it behind you and move on – you’re a human speaking to other humans.
As with job interviews, you are unlikely to succeed the first time – but your chances will improve with experience as you refine your pitch. Accepting that the success of your startup does not begin and end with this particular pitch will help you relax.
Where can you add value? If investors learn something they don’t already know, they’ll see you in a different light – as a partner rather than just a supplier.