Businesses need money to thrive. This is because the availability of funding makes it easier to secure supplies and equipment and also helps cushion the effect of unexpected expenses. For certain, at some point in your entrepreneurial journey, you will need to source for funding in order to enable and maintain business growth. The finances you require to start and run your business may come from a variety of sources which include your savings, loans from banks and funds from interested investors like angel investors, venture capitalists, personal investors (friends and family), etc. Investors are risk averse, therefore, you need to grab their attention with a thorough and convincing description of your business and its prospects. This is where a solid business plan and a good business pitch comes in.
A business pitch is a presentation by one or more people, designed to win over people's interest in a business idea in order to get funding from them. Here, first impressions matter a whole lot. Therefore, it is important that you make a big impact on your prospective investors. The following tips will definitely help you deliver a pitch that will interest them enough to want to know more about you and your company and ultimately invest in your business.
1. Be prepared: Know the details of your business thoroughly. Turn those details into a succinct presentation. It is very important that you practice your presentation in front of people who you can rely on to give you honest feedback. This will also give you the opportunity to commit important details of your business plan to memory and boost your confidence.
2. Be confident: Confidence is the foundation upon which a successful business pitch is built. Fortune favors the brave, therefore, you need to give those at the receiving end of your pitch the impression that you have the courage to see the venture through. Keep calm and project your management expertise.
3. Get to the point: Your pitch should be short and designed to hit home within 20 minutes. Try not waste your limited time by digging into details. Leave that for the Q&A part of the pitch. Make every second count. Things like market potential, the need for your product or service, business opportunity prospects and competitive advantage, team, etc. should come first.
4. Stick to facts: In your attempt to grab the attention of the investors with a vision of how your idea will ensure a better future, it is imperative that you stick to facts. For example, you might need to capture the imagination of the investors by telling a story of how you discovered the problem your business will solve. It is best to provide real life examples of the problem and your proposed solution.
5. Make your presentation tangible by providing visuals. This can be in form of a tangible product or visual images of your concept. Also, talk in specifics using plain English. This will ensure clarity. In case you are making use of slides, make them more understandable by using bullet point lists and fonts large enough for the audience to read. Graphics will help too but avoid an overkill.
6. End your pitch with a call to action. Be very clear about how much you're asking for. This involves stating the amount of money you need, laying out plans of how the money will be used, possible returns, the expected period the profits will come rolling in and the investor's exit strategy.
Believe in yourself. Be bold. Craft your perfect pitch and go for it.