Are You Ready to Pitch Real Investors?
Get these twelve issues squared away and you should be ready.
If you are reading this, the answer is probably no — you don’t feel ready yet. So let’s change that. Answering these questions should help.
What’s your big idea? One succinct sentence, please.
What’s in it for your investors?
Specifically, how much money will they get back per dollar they invest with you? (Return On Investment, in other words).
When, specifically, will they get this ROI?
What previous experience or special talents make
your team investment-worthy? Remember, investors don’t invest in business ideas. They invest in company leaders.
What makes your “thing” (product or service) a must-buy to your future customers? What pain are you treating?
Who else is already doing this — or, what do customers with this pain do for relief currently?
What is your very specific plan to drive sales?
How will you turn this investment into growth (more sales)?
What’s your exit plan? (This is a trick question because if you’re already thinking of leaving your new baby, savvy investors will not take you seriously).
What is your plan for investors to be able to exit with a huge win under their belt? That’s the actual exit plan you should address.
Talk about your hustle: How much have you sold so far? No one will invest in a lazy, hesitant, distracted, or unconvinced founder.
If all of this is wrapped up in a clear, engaging origin story, you may just be ready to pitch real investors for real money.
Practice giving your pitch. If you’re okay at your pitch after five attempts, you’re bound to be better after 40. Start on any random human you can get to listen to you. Move on to actual investors only once you’ve got this polished to a shine.
What have I left out of this list? Please let me know in the comments.