Entrepreneaurs who are seeking financial assistance via a potential investor should both prepare and practice their plan in advance of any meeting.
Here are some tips that will improve your chances of success.
1. Who Is Your Investor?
Understand what the potential investors will need to get from you.Bullet point items of most interest to them, and learn those points.
They will be seeking the expected return on investment and its timing to fruition.
2. know The Product
It’s vital to know the product or service features and benefits and to be able to describe it in laymans terms. Be clear an succinct so the investors understand fully what the product or service really does for the customer. Think about why the potential customer would want to buy or would need it.
3. What’s The Competition?
It’s imperative that the market for competition is thoroughly researched. What is the unique selling point? How does it differ from the competition?
4. Team Management
What are the skills and experience that all of the people involved in the product or service? Investors like to know that there are some leadership skills and some business passion.
5. Don’t Avoid The Risks
It is perhaps natural to try and avoid talking about the risks, but investors are aware of risk, and it is always better to be upfront and to demonstrate that they can be dealt with over the term of the investment.
6. Where’s The Money?
Thoroughly understand and be able to communicate the numbers of the financial picture for the venture. Financial projections are essential and show investors the real facts. Timing is also cruicial- when will the investor see the return, and what is the exit strategy for them?
7. Do Not Fear Questions
Questions about your venture are inevitable, leave time for this in the pitch. Write a list of potential questions may arise and be prepared to answer them during and after the presentation.
8. Use Visual Aids
Computers, projectosr, flipcharts, videos, etc can all help to get the critical points across to investors. Whilst useful, keep them to the essential ones only and not as a distraction to the main content.
9. Presentation Skills Are Important
Not everyone is comfortable presenting practicing the content will help the meeting flow. If you are nervous remember your purpose. Communicating what you believe about your business and turning your audience into believers is the end goal.
10. Practice, practice, practice.
Practice your presentation with your team to be sure it fits in the timescale given. Get feedback from non involved third parties, and work on any bad points.