Most often, entrepreneurs go into a pitch meeting and follow a standard pitch deck that they feel checks all the boxes. In such a situation, while the basic business idea may be conveyed, the essence is lost.
In a bid to impress investors, entrepreneurs tend to forget stressing upon the features that impressed them about the idea in the first place.
What entrepreneurs should focus on, instead, is putting forward why they believe in the proposition, what problem(s) does it solve and how it will create value for the long run. Raising funds in any scenario is quite the feat.
Especially when you have an established business, you must plan your pitch strategy for investors after careful research about them and their preferences.
In addition to the passion and drive of your team, here is the checklist you should focus on while trying to secure funds from investors:
Personalise Your Communication Within The Relevant Context
When you’re contacting an investor, it is important for them to have some context for your email or message in order for them to make the effort to go through the rest of it. Investors are bound to be busy, and if you send them your pitch with no prior meeting, there are high chances that they won’t consider it.
Instead, it is better to pitch to someone who you have met or spoken to in the past or find a way to be introduced to the investor by someone you both have in common.
A Good Cover Letter Is King
In addition to details about yourself, you must outline what your business is all about and what you can bring to the table for an investor. A cover letter is amongst the first things the investor is likely to see, so make sure yours is a strong one.
It should include all the information that summarises your business and makes them want to take a look at the exciting opportunity you are presenting. Ensure that the content is crisp and to the point, so it makes for an easy read.
Structure Your Pitch Deck
Investors invest when they believe your business possesses the ability to get them high returns in the future. You must present it in a way that highlights a big problem, and exactly how your business model is working towards closing this gap.
You should also be able to show how you have a unique approach to the problem and how you plan to sustain the value in the long run. Each scenario is likely to vary, as some business ideas may be more familiar to investors than others. So, you must tailor your pitch according to dynamics and circumstances pertaining to your specific business.
Keep Potential Investors In The Loop
It is a good idea to build relationships with potential investors wherever you go, and keep them in the loop through the course of your journey. You can do this by networking at conferences and other business events. It will help them have your business at the top of their minds.
This way, even if they cannot invest at the moment, it may come up in their conversations with other potential investors and business partners who they can refer you to.
Continuously Revise And Update Your Pitch Deck
You are bound to take back some feedback and points after every pitch. There will be questions from investors that you hoped to answer better, and parts of your deck that you feel you can make clearer.
Thus, your pitch deck should evolve with every pitch that you carry out. It is good to learn and implement as you go so that your vision is clear to investors and you leave no page unturned.