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How To Pitch

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Each partner has its own
expectation and its own
requirements and
evaluation criteria

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• Who is your listener and what is important to him/her?

• How to pitch: Tips for successfully presenting your business


idea

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Different types of
investors

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www.ebn.eu
Example: Early stage investors -
evaluation approach

Crowdfunders
• Not specialized

• Appetite for consumer products/ services or societal issues

• First motivation is not the return

• Need to generate a social media momentum

• Important to choose the right crowdfunding platform

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Example: Early stage investors –
evaluation approach

Business Angels
• Specialised: sector or investment size

• Often invest collectively with other BAs

• Atmosphere of trust between individuals and positive feeling, confidence (+)

• Possibility of hands on intervention

• Credible business plan in the eyes of the Business Angel

• Availability of exit route

• Return on investment (capital gain)

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Example: Early stage investors –
evaluation approach
Seed capital fund
• Team (+)

• Clear, defendable Business model


• Intellectual capital
• Growth potential (High)
• Availability of exit route
• Return on investment (capital gain)

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Example: Early stage investors –
evaluation approach
Venture Capitalist
• A young, small venture, still needing money
• A well run-in team
• Fast growing markets
• Scalable products
• Client list & track record (+)
• Return on investment (capital gain)
• Minority shareholding position Team (+)

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Example: Early stage investors –
evaluation approach
Buy-out
• Consolidated companies with a well defined portfolio of
clients and products
• Assets (+)
• Well known sectors
• ROI: 2-3X
• Control position
Mainly debt capital

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How to pitch

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www.ebn.eu
General key elements

• You need to be entrepreneurial


• You need to have a business not an invention
• You need to have a core team
• You need to have a clear view of resources
needed

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Common “weaknesses” when
presenting a project

• Too little market ambition


(no willingness to go global from day 1)
• People think too small
(be ambitious but do it by milestones)
• A Business is different from an R&D
project

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Key presentations/documents

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How To Pitch

Tips for successfully presenting the business idea

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PITCHING:
to clearly and
convincingly
present your
business
proposition in a
few minutes
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www.ebn.eu
Entrepreneurs and investors have
different points of view and interests

Presenter: Listener:
Loves his business idea Looks at the business
(“The best business ideas idea as “a project”
in the world”)
Aims at developing a Does not care about the
successful product product/technology but
Knows the product very about creating a
well but not the investors’ successful business!
expectations Wants to get a 10x profit
«There are not enough «There are not enough
partners/investors willing “business/investment
to finance businesses”»
ready projects”»

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a) Message
b) Visual story and delivery

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Structure

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A good “composition”
(presentation) contains:

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Message - Get Prepared

• Why are you


pitching
• What is your
objective?

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Message - Get Prepared

• Who is the audience?

• Who are they ?


• Why are they here?
• What do they look for
(screening criteria)?
• How can you best “reach”
them?

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Message - Get Prepared

What are you looking for?

Type of business relationship


to do what
Funds: how much
to do what

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PITCHING Structure

Max 10 slides (10 minutes pitch) containing


all is needed to:

• Let a third person understand the business


• (no science: what, not why)

• Convince the audience that what is offered is


what is asked for

• Explain the business model and exit strategy


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PITCHING Structure

• Introduction to the business opportunity


• Achievement to date
• Team
• Product / Service
• Target Market
• Business Model
• Economic and Financial objectives
• Engagement/Investment plan
• Why partnering/investing in us?

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PITCHING Structure

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Visual story and Delivery

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Need to know

• What problem you are


going to solve
• Your value proposition (how
do you solve the problem?)
• Why you are the right team
to achieve the result
• Why your company is the
best deal

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Need to know

Listeners want

Passion
Perseverance
Benefits (profit)
Ability to deliver
Ambitions
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Need to know

An effective communication is based on:

• 7% What you say (Content)

• 38% How you say it

(Style+Voice+Attitude)

• 55% Body Language

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Key elements

• Voice
• Body language
• Eye contact
• Attitude
• Presence
• Use of the space

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Some tips

Avoid a slow start (first


30 seconds are crucial)
Say only key things
Do not speak too fast
Use short clear
sentences
Use pauses
Talk to the audience
Respect time
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Practice!!!

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An example of pitch

• http://www.youtube.c
om/watch?v=kzcQtXA5
Gc8

• http://www.youtube.c
om/watch?v=MhKxPn_
g_40

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