Pitching to investors is critical.
Our investor pitch has to be top-notch with no excuses if you want to successfully rope in good investors. This is generally a challenge for startups because they don’t know how to proceed and what exactly to portray.
Here are a few tips to help you:
Prove that your business is good enough and that it will work. Think about everything that makes your company standout and plan how you would like to convey that to your potential investors. They need to believe in your company in order to invest.
Some startups get too excited in their quest to show investors that they will grow to be big. In that excitement they list out numerous revenue streams and it backfires. Experts say that showing only one revenue stream will do the trick for you.
Anchor to Another Established Business
When you can showcase that you are anchored to another business, which is already established, investors will mostly be confident that even you can become established in the near future. Thus, the likelihood of them investing in your business will increase.
Identify your Risks
Yes, identify your risks before it is too late. Also, don’t wait for them to ask you about the risks. Come forward and let them know during your pitch itself. This is extremely important. Investors have to know that you are well aware of the risks involved and that you are prepared for them.
IMPORTANT: Remember that You Can’t Pick the First Investor you Meet
You desperately need an investor, may be, but that doesn’t mean you pick just any investor. You have to be very careful about your choice so that the investor you choose actually adds value to your business. Assess whether the investor is being helpful and constructive while dealing with you.
These are five tips to successful investor pitching.
A lot rides on investor pitching, which is why you have to pay attention to it. Don’t be too enthusiastic about it. Take it slow. Show that your company has the potential to be established soon. Also, show only one revenue stream.