Pitching is crucial if you have to get past the funding barrier. Even if you do not need funding and are bootstrapping, you may still need to pitch your idea to potential partners, employees, customers etc. Most successful entrepreneurs have delivered lots of pitches in the past to get to where they are now.
These are actionable tips to clearly communicate your business idea in your next pitch.
Hardware failures are not uncommon, they happen all the time. Be prepared for technical hitches and make plans deliver a perfect pitch even in the midst of technical malfunction. Prepare hard copies of the pitch.
To deliver a perfect pitch, you need to tell a good, clear, easy-to repeat story at all times. You can provide use cases from the perspective of a customer. Showing what you have could be better than telling.
The bottom line is to sell but not to explain.
Define the company, business, service or product in a single concise sentence. Identify and hire the smartest talent to execute on the next set of milestones. Communicate how your perfect team will execute on your promises. Make mention of their prior companies/startups, educational backgrounds, prior exits & IPOs, board of directors, board of advisors (if applicable), key future hires if you have the time. You can strengthen your position with a strong team.
There always a reason for a new business. If you are passionate enough about your service or product, establish the need for your company’s solution. State the problem; describe the pain. You may have to answer why the problem persists and why your solution can solve it. What are the most promising trends that make your solution possible? How is it currently being addressed and who is addressing them?
You have identified a problem and it needs to be fixed. If you have the perfect solution like you claim, demonstrate how you will solve the problem and validate your differentiation. With your competitors in mind, validate your differentiator. Explain how your new solution is better. If you have a breakthrough technology, explain it. Is it protected?
You will have to address how you intend to make money. Every business needs to survive. Explain how you will generate revenue to survive. Show your audience what you’ve accomplished to date, and make future forecasts.
Do not forget the size of the market. The market has to be big enough to make the kind of entry you expect. And your audience must be convinced about that. Prove it with facts.
Now you need to show the real numbers if you are making an investor pitch. Communicate previous investors, dates, and amount of investments. How much are you looking to raise, milestones you will hit with the new capital, your burn rate, how much runway will the new money buy, post-money of the last round.
Your closing statement in your next investor pitch must be compelling. Make it count!