It is a competitive world. Competition for investor funding is fierce. There is a lot of talk about how to position your product positively against competition. But how do you compete with the thousands of startup entrepreneurs who want to be part of the same funding pool?
One way to differentiate yourself from the public is to see your pitch as a strong contender. Encourage investors. Here’s how to put one together for use with your pitch deck.
Here are the top 5 pitch deck bugs and what to do instead:
1. Error: Pitch the product – Solution: Pitch the business
Investors do not invest in ideas. They do not invest in products. They invest in business. Investors invest because they want to get a big return on their investment one day. The product does not compensate them. A viable, profitable and sustainable business. If you have traction, lead with it. There is nothing better than proving that you have something the market wants, needs and will buy.
2. Error: Verbose – Solution: Be brief
Too many pitch decks are verbose. They are confused and investors check out instead of writing a check. Provide precise and concise details about the problem you are solving from the beginning, for whom and why your solution is more important than anything else. Resist the conversation. Get to the point quickly with your first slide.
3. Error: Verdi slides – Solution: Visual and bullet points
Lots of pitch deck slides filled with what the presenter is going to say. Entrepreneurs can read – and they can read faster than you speak. Investors expect you to know your content without reading it. Place only the primary points on the slide, only one important point will do. Consider using stunning scenes to create your talk instead of a set of words on a slide. Great visuals communicate a clear message and engage the audience emotionally. And when we are on the topic of slide presentation, skip the animation and transition. They distract from your pitch.
4. Error: Focus on tech (or product features) – Solution: Focus on distribution
Your pitch deck needs to show that you know exactly what it will take to gain, retain and increase customers in a competitive marketplace. This is a crucial slide as investors will see a clear picture of how you plan to bring your wonderful product into the hands of many customers. Comprehensive generalizations like “social media networking” are a trick, not a strategy. Show that you have invested a lot of time and energy in developing an efficient distribution plan and reaping the benefits of your unfair advantage.
5. Error: One size fits all – Solution: Corresponding pitch
Many pitch decks are cookie cutter template based presentations that are presented to all types of audiences, including investors, channel sales partners and strategic partners. Get to know your audience. Adapt your pitch to your specific audience. How does your business fit in with the rest of their portfolio? Do your homework, that’s how smack in the middle of their investment “sweet spot”. Specifically shape your pitch, your business story, the audience where it is presented.
If you want an investor to be serious about your business, be serious about your pitch deck. Look at your pitch from an investor perspective. Make sure each slide gives a compelling answer to “What’s in it for me?” And “Why should I care?” The main thing is to focus on the main thing in the minds of your potential investors. Turn your pitch into a well-told story.