Launching a small business isn’t easy. Whether you dream of one local shop or a global corporate empire, you’re going to need help financing your business efforts. Now, this could mean friends and family, and it could mean venture capitalists and angel investors. Regardless, the only way to seal the deal is with a great pitch. Check out these six tips for fine tuning your startup pitch and get your business off the ground.
1. Set Yourself Apart
It’s essential that you set yourself apart from your competition. Investors are going to ask why they should sink money into your operation as opposed to another one that offers a similar product or service. This differentiation has to be an integral part of your pitch. Highlight the characteristics that make your business better than the rest.
2. Include Solutions
In addition to featuring your company’s unique characteristics, you also need to include the solutions it can provide for customers. Identify problems in the marketplace that need to be solved and detail exactly how you are going to solve them.
3. Prudently Include Creativity and Humor
You never want your pitch to be dry, just be sure to use your senses of creativity and humor effectively. Don’t cross the line and say something offensive or off the mark, but by all means, make your pitch seem human. Be yourself – you are your company, after all. Tell a humorous or intriguing anecdote about something that occurred while developing your business idea, for example. And, forget about Power Point presentations – they’re generally recognized as death knells for pitches.
4. Be Specific and Open About How Much You Need
If you need $50,000, ask for it. The people you’re pitching to know that you want money, so there’s no point in being bashful. Plus, this way they’re instantly going to know whether or not they can handle such an investment, which can save everyone a lot of time. The key here is not just knowing how much you need, but knowing why you need it and when you should raise it.
5. Be Prepared and Practice
Never deliver a pitch off the cuff – practice and tweak it as much as necessary. Instead of just rehearsing in front of a mirror, though, assemble a group of friends or fellow entrepreneurs and recreate the actual environment you’re going to find yourself in.
6. Keep it Concise
There’s no standard time limit when it comes to delivering your pitch, just make sure it’s as concise as it can be. If you can get your point across fully in three minutes, do so. If you need 10, take it. Just be sure to edit your pitch down so there’s no fluff. As long as it’s packed full of pertinent information, it can take a bit longer.
No matter what you’re talking about, you need to exude passion in every aspect of your pitch. Investors know that if a company is going to be successful, its owner must live and breathe it 24 hours a day. Small businesses are incredibly difficult to get off the ground, and are ultimately successful only if the people at the helm love what they’re doing. Communicate this in your pitch and your chances of success skyrocket.
What was your best investor pitch? What advice do you have for entrepreneurs pitching for the first time? If you’re interested in perfecting your pitch at Verge, let us know!