How to Prepare Before Pitching Your Business to Investors
We are bound to make some mistakes while pitching our startup business to investors . We cannot choose Investors in a way, but at least be prepared for one. Hence we have chalked out some ways to prepare before pitching your business to Investors:
Go with Various Permutations & Combinations :
Investors want to know you’ll make it without them. Investors don’t want your startup’s very existence to depend on their funding only . Hence show the Investors various scenarios of Funding . How can you perform without them investing in your startup. Also show them a scene where not all what is required is obtained from Investors. In this case, what if only partial funding is obtained. How firm is your Startup base to withstand the balance non-funded areas of operation.
Don't Wait for The End Product :
It's not that only when you are done with your final product, should you pitch to the Investors . Investors are not just interested in concepts, but also in prototype of products along with its market validation to a certain extent. If you get early customers, it speaks more than the pitch which you may prepare.
Conversation vs Speech :
Your Investors get bored when they just have to listen to your speech / pitch. Involve them in your pitch . Converse with them. If possible see that you get useful insights while pitching . Ask Questions to Investors as to how can you get better in your idea/ concept & get some sort of feedback then & there. Mere making Investors to listen to your Pitch is not a great sign of getting into a deal.
Justify the Facts :
Show your work. Let investors know why you chose a certain amount of valuation or why you’re seeking a certain amount for their investment. Reasoning is the way to gain their trust.
Learn From Your Critics :
Not every Investor may give you feedback which may please you after your pitch. Yea, you may have worked hard to get this meeting with the Investor, your idea , your product may be your only thing in life since few months, you may have sacrificed most of the time & things for this day. But its normal to get into an investor who may altogether criticize every bit of your pitch . Don’t feel offended by criticism. Always stay professional and keep the lines of honest communication open. If you feel genuinely disrespected by the investor, you do have the power to politely end the pitch. Remember their criticism & take it in a positive way to move forward in your success journey.