COURSE MATERIAL

Program : BBA ENTREPRENEURSHIP Semester : III

Course : ENTREPRENEURSHIP LAB Course Code : B18BE3040
Unit. No. :2
Unit Title :
Course Presenter: PROF. ABHISHEK DUTTAGUPTA
Course Mentor: PROF. ABHISHEK DUTTAGUPTA
INTELLECTUAL PROPERTY
Intellectual property (IP) is a term referring to creation of the intellect (the term used in studies of the
human mind) for which a monopoly (from greek word monos means single polein to sell) is assigned
to designated owners by law. Some common types of intellectual property rights (IPR), in some
foreign countries intellectual property rights is referred to as industrial property, copyright, patent and
trademarks, trade secrets all these cover music, literature and other artistic works, discoveries and
inventions and words, phrases, symbols and designs. Intellectual Property Rights are themselves a
form of property called intangible property.

Although many of the legal principles governing IP and IPR have evolved over centuries, it was not
until the 19th century that the term intellectual property began to be used and not until the late 20th
century that it became commonplace in the majority of the world.

IP is divided into two categories for ease of understanding:

1. Industrial Property
2. Copyright

Industrial property, which includes inventions (patents), trademarks, industrial designs, and
geographic indications of source; and Copyright, which includes literary and artistic works such as
novels, poems and plays, films, musical works, artistic works such as drawings, paintings,
photographs and sculptures, and architectural designs. Rights related to copyright include those of
performing artists in their performances, producers of phonograms in their recordings, and those of
broadcasters in their radio and television programs.

Intellectual property shall include the right relating to:

i. Literary, artistic and scientific works;
ii. Performance of performing artists;
iii. Inventions in all fields of human endeavour;
iv. Scientific discoveries;
v. Industrial designs;
vi. Trademarks, service marks and etc;
vii. Protection against unfair competition.
What is a property?
Property designates those things that are commonly recognized as being the possessions of An
individual or a group. A right of ownership is associated with property that establishes the good as
being "one's own thing" in relation to other individuals or groups, assuring the owner the right to
dispense with the property in a manner he or she deems fit, whether to use or not use, exclude others
from using, or to transfer ownership.
Properties are of two types - tangible property and intangible property i.e. one that is physically
present and the other which is not in any physical form. Building, land, house, cash, jewellery are few
examples of tangible properties which can be seen and felt physically.
On the other hand there is a kind of valuable property that cannot be felt physically as it does not have
a physical form. Intellectual property is one of the forms of intangible property which commands a
material value which can also be higher than the value of a tangible asset or property Rights protected
under Intellectual Property

The different types of Intellectual Property Rights are:

i. Patents
ii. Copyrights
iii. Trademarks
iv. Industrial designs
v. Protection of Integrated Circuits layout design
vi. Geographical indications of goods
vii. Biological diversity
viii. Plant varieties and farmers rights
ix. Undisclosed information

a. Intellectual Property
1. Inventions
2. Trademarks
3. Industrial design
4. Geographical indications

b. Copyright
1. Writings
2. Paintings
3. Musical works
4. Dramatics works
5. Audiovisual works
6. Sound recordings
7. Photographic works
8. Broadcast
9. Sculpture
10. Drawings
11. Architectural works etc.

The term intellectual property is usually thought of as comprising four separate legal fields:
1. Trademarks
2. Copyrights
3. Patents
4. Trade secrets

1. Trademarks and Service Marks: A trademark or service mark is a word, name, symbol, or device
used to indicate the source, quality and ownership of a product or service. A trademark is used in the
marketing is recognizable sign, design or expression which identifies products or service of a
particular source from those of others. The trademark owner can be an individual, business
organization, or any legal entity. A trademark may be located on a package, a label, a voucher or on
the product itself. For the sake of corporate identity trademarks are also being.
In addition to words, trademarks can also consist of slogans, design, or sounds. Trademark provides
guarantee of quality and consistency of the product or service they identify. Companies expend a
great deal of time, effort and money/ in establishing consumer recognition of and confidence in their
marks.
2. Copyrights: Copyright is a form of protection provided by Law to the authors of "original works of
authorship" fixed in any tangible medium of expression. The manner and medium of fixation are
virtually unlimited. Creative expression may be captured in words, numbers, notes, sounds, pictures,
or any other graphic or symbolic media. The subject matter of copyright is extremely broad, including
literary, dramatic, musical, artistic, audiovisual, and architectural works. Copyright protection is
available to both published and unpublished works.
Copyright protection is available for more than merely serious works of fiction or art. Marketing
materials, advertising copy and cartoons are also protectable. Copyright is available for original
working protectable by copyright, such as titles, names, short phrases, or lists of ingredients.
Similarly, ideas methods and processes are not protectable by copyright, although the expression of
those ideas is. Copyright protection exists automatically from the time a work is created in fixed form.
The owner of a copyright has the right to reproduce the work, prepare derivative works based on the
original work (such as a sequel to the original), distribute copies of the work, and to perform and
display the work. Violations of such rights are protectable by infringement actions. Nevertheless,
some uses of copyrighted works are considered “fair use” and do not constitute infringement, such as
use of an insignificant portion of a work for noncommercial purposes or parody of a copyrighted
work.
3. Patents: A patent for an invention is the grant of a property right to the inventor, issued by the
Patent and Trademark Office. Generally, the term of a new patent is 20 years from the date on which
the application for the patent was filed, in special cases, from the date an earlier related application
was filed, subject to the payment of maintenance fees. Patent grants are effective only within the that
country. Under certain circumstances, patent term extensions or adjustments may be available. The
right conferred by the patent grant is, in the language of the statute and of the grant itself, “the right to
exclude others from making, using, offering for sale, or selling” the invention in the country or
Importing the invention into the country. What is granted is not the right to make, use,offer,forsale,
sell or import, but the right to exclude others from making, using, offering for sale, selling or
importing the invention. Once a patent is issued, the patentee must enforce the patent without aid of
the Patent office.
There are three types of patents:
Utility patents may be granted to anyone who invents or discovers any new and
useful process, machine, article of manufacture, or composition of matter, or any
new and useful improvement thereof;
Design patents may be granted to anyone who invents a new, original, and
ornamental design for an article of manufacture; and
Plant patents may be granted to anyone who invents or discovers and asexually
reproduces any distinct and new variety of plant.

4. Trade Secrets: A trade secret consists of any valuable business information. The business secrets
are not to be known by the competitor. There is no limit to the type of information that can be
protected as trade secrets; For Example: Recipes, Marketing plans, financial projections, and methods
of conducting business can all constitute trade secrets. There is no requirement that a trade secret be
unique or complex; thus, even something as simple and nontechnical as a list of customers can qualify
as a trade secret as long as it affords its owner a competitive advantage and is not common
knowledge. If trade secrets were not protectable, companies would no incentive to invest time, money
and effort in research and development that ultimately benefits the public. Trade secret law thus
promotes the development of new methods and processes for doing business in the marketplace.

Intellectual Property Rights in India

To protect the intellectual property rights in the Indian territory, India has defined the formation of
constitutional, administrative and jurisdictive outline whether they imply the copyright, patent,
trademark, industrial designs, or any other parts of the intellectual property rights.
The history of Patents in India:
1856 - The Act Vi Of 1856 On Protection Of Inventions Based On The British Patent Law Of 1852.
Certain Exclusive Privileges Granted To Inventors Of New Manufacturers For A Period Of 14 Years.
1859 - The Act Modified As Act Xv; Patent Monopolies Called Exclusive Privileges (Making. Selling
And Using Inventions In India And Authorizing Others To Do So For 14 Years From Date Of Filing
Specification).
1872 - The Patents & Designs Protection Act.
1883 - The Protection Of Inventions Act.
1888 - Consolidated As The Inventions & Designs Act.
1911 - The Indian Patents & Designs Act.
1972 - The Patents Act (Act 39 Of 1970) Came Into Force On 20th April, 1972.
1999 - On March 26, 1999 Patents (Amendment) Act, (1999) Came Into Force From 01-01-1995.
2002 - The Patents (Amendment) Act 2002 Came Into Force From 20th May 2003
2005 - The Patents (Amendment) Act 2005 Effective From 1st January 2005

INTELLECTUAL PROPERTY LEGISLATIONS IN INDIA

1. The Patents (Amendment) Act, 1999 to amend the patents act of 1970 that provides for
establishment of a mailbox system to file patents and accords exclusive marketing rights for five
years.
2. The Trade marks Act, 1999 which repealed the Trade and Merchandise Act, 1958
3. The Copyrights (Amendment) Act, 1999.
4. A sui generis legislation for the protection of geographical indications called the Geographical
Indications of Goods (Registration and protection) Act, 1999.
5. The Industrial Designs Act, 2000 which replaced the Designs act, 1911.
6. The patents (Second Amendment), 1999 further to amend the Patents Act, 1970.
GLOBAL INTELLECTUAL PROPERTY TRENDS
With over 3 million applications filed per year, trademark protection is the most sought after form of
IP worldwide with growth rates of a similar magnitude as those for patents.
In 2017, one quarter of all trademark applications were filed at the China Trademark Office.
In 2017, China accounted for 50 percent of total industrial design filing activity while growing by
12.3 percent from 2016 to 2017. India was in the 9th place.
In 2017, 1,41,943 trademark applications were filed, 34,287 patent applications were filed and 6,092
Industrial designs applications were filed.

GROWING IMPORTANCE OF IPR

Technology has led to increase awareness about the IP. More than fifty percent of worldwide exports
now depend on some form of intellectual property protection.
The rapidity with which information can be communicated through the Internet has led to increasing
challenges in the field of intellectual property.
The most valuable assets a company owns are its Intellectual property assets. Companies must act
aggressively to protect these valuable assets from infringement (breaching, violation of law) or misuse
by others

INVESTOR EXPECTATIONS
These are some of the skills that an investor can expect from an entrepreneur before and after the
project launch. However, depending on the profile of the investors their expectations may vary, for
this reason, the answer is more complex. As a matter of fact, there are so many profiles of investor as
investors you can meet. All of them may have different goals, concerns and expectations depending
on their backgrounds. The mutual engagement to achieve a common goal is a necessary precondition
for a successful partnership. In this way, it is possible to establish a professional relationship where
both partners can achieve their shared objectives.
As an investor you can only expect entrepreneur’s work and commitment, which means the
entrepreneur is also concerned about his or her own investment, in this case an investment of time,
knowledge and ideas. An investor may also expect that the project brings him or her good image and
professional recognition. Investors may expect that the entrepreneurs are flexible, efficient and
creative. To summarize, the investors’ expectations from an entrepreneur include strong efforts,
commitment, concern about their investment and the necessary passion to defend projects from
unforeseen circumstances and unexpected situations, having the capacity to reach demands and face
problems when they arise.

There are few things we need to keep in mind regarding any investor meets. Few of them are:

1. A pitch deck is a brief presentation, often created using PowerPoint, Keynote or Prezi, used to
provide your audience with a quick overview of your business plan. You will usually use your pitch
deck during face-to-face or online meetings with potential investors, customers, partners, and co-
founders.
2. Passionate Founders with Skin in the Game
Having a passion for their startup is pretty easy to come by for business founders. They believe in the
product/service they want to provide. They are confident that it is an improvement over existing
products or is a new way to address an old problem—in other words, the better mousetrap. But how
deep is their passion? Are they willing to be told “No” over and over and over again and keep going?
However, while most investors want and appreciate passionate entrepreneurs, they are also looking
for someone willing to invest their own money. As a founder, you will have to raise the initial capital
yourself. You can do this from your own savings, borrowings, family, friends, etc. But you must be
willing to demonstrate you believe in product/service enough to invest your own money. You will
have to get the business off the ground on your own.
3. Traction
Most of the time, a new venture will have to demonstrate that it has a marketable product or service—
typically, having begun operations and demonstrated significant ability to sell the product or service.
In some way, the venture must have a “proof of concept” to show investors.
4. Significant Market Size
Most investors are looking for a business opportunity with growth potential. Accordingly, if your
market is only the 25 miles around your headquarters, your growth is limited. You need to have a
market with significant reach, at least regionally depending upon the nature of your product. Not
every product is going to have a worldwide market like the iPhone. However, a large enough market
where the economies of scale can be incorporated into your operations to increase margins and profits
will be needed to attract investors. If the product is not new but a new entrant to an existing market,
the same issues hold. However, it is assumed that any market share you attain is coming from some
other competitor; thus, your competitive advantage must be demonstrable.
5. Product Differentiation/Competitive Advantage
This is going to be a critical issue for investors. What makes your product/service unique? There has
to be something about your product that sets it apart. If you have a never before seen product and
you’re the first to the market, that may be it. However, most startups are entering existing
marketplaces. What then makes you different?
6. Team Members and Delegation
In an effort to save cost, most startups have very limited staffing: often only one or two founders of
the operation. Whether a business has one or ten employees isn’t so much the issue—it’s whether or
not the business has sufficient key employees covering the most important areas. For example, if your
business is developing the next use for blockchain technology, do you have someone on staff that is
an expert in blockchain? You must have an expert in the technology or market you are entering.
Another area is operating control. Investors want to know that you (or your staff) have developed
operating policies and procedures to control the business and ensure their investment is not wasted.
Your business has to have moved beyond the “fake it before you make it” phase or investors will not
have confidence that your company is “a real business.” And as the founder, have you delegated
authority to the experts? No person has all of the skills necessary to run a business successfully.
However, founders of businesses are more like parents when it comes to their business (i.e., it’s their
baby). The founder(s) too often try to wear all the hats and centralize the control with themselves.
Investors find comfort in a business that has a team in place, where team members have expertise and
have been given enough authority to oversee their area of operation.
7. Exit Strategy
Investors have two primary financial questions about projects: How much do I need to invest, and
when do I have to invest it? How much will I get back, and when will I get it? Both of these questions
can be answered by a thorough financial projection. The type of projection that investors want to see
includes:

 A complete description of the assumptions behind the model

 A complete set of pro forma financials: income statement, balance sheet, and statement of
cash flow
 A return on investment analysis using capital budgeting techniques and various ROI
calculations
 Sensitivity analysis around key variables
 Cash sources and uses report
It is recommended that such a model be prepared with monthly level detail, as this allows for monthly
cash shortfalls to be identified. I have prepared models where the business had positive cash flow for
the year but negative cash flow for the first several months. Preparing models with annual integrity
can mask these details and potentially underestimate the cash investment required. Investors do not
like it when you have to come back for more money because you underestimated the need in your
modeling. Essentially, investors want to know when they will begin to see a return and how large a
return they can expect. Including a capital budgeting analysis and a full ROI analysis will address
these concerns. Often, it’s not prudent for a startup to hire a full-time financial analyst in its early
stages. It’s far more effective to bring in de-facto experts who can assist with building out a financial
model and pass on best practices to the founding team.
8. The X-factor
Have you ever sat next to someone on a plane, and when the conversation starts you find you have
very little in common professionally or socially, but for some reason, you just seem to connect?
That’s the X-factor. Sometimes when you meet with investors, there’s a connection that you cannot
explain. Maybe it’s personal chemistry. Maybe it’s finding a common connection like you are in the
same fraternity or know the same people. You cannot plan for the X-factor, and you can’t seek it out.
However, if you find it exists, it will benefit you. The best way to find out if the X-factor exists is to
be authentic in your presentation. Don’t be uber-professional. Be you. Be the entrepreneur who has an
idea—an idea that can be socially beneficial and/or financially beneficial. Talk with the investors, not
to them. And listen to them. The questions they ask and the comments they make will tell you what
they find important. Listening will also lead to the identification of those things that signal whether or
not the X-factor exists.

ELEVATOR PITCH
An elevator pitch – also known as an elevator speech or elevator statement – is a quick synopsis of
your startup, background and experience. The reason it's called an elevator pitch is that it should be
short enough to present during a brief elevator ride. This speech is all about you: who you are, what
you do, and what you want to do. Your elevator pitch is a way to share your expertise and credentials
quickly and effectively with people who don't know you.
You've just bumped into a former client at the airport. After exchanging pleasantries, he asks you
what your new company does. You open your mouth, and then pause. Where on earth do you start?
Then, as you try to organize your thoughts, his flight is called, and he's on his way. If you'd been
better prepared, you're sure that he'd have stayed long enough to schedule a meeting. This is one
situation where it helps to have an "elevator pitch." This is a short, pre-prepared speech that explains
what your organization does, clearly and succinctly. An elevator pitch is a brief, persuasive speech
that you use to spark interest in what your organization does. You can also use them to create interest
in a project, idea, or product – or in yourself. A good elevator pitch should last no longer than a short
elevator ride of 20 to 30 seconds, hence the name.
They should be interesting, memorable, and succinct. They also need to explain what makes you – or
your organization, product, or idea – unique.

WHEN TO USE AN ELEVATOR PITCH

Some people think that this kind of thing is only useful for salespeople who need to pitch their
products and services. But you can also use them in other situations. For example, you can use one to
introduce your organization to potential clients or customers. You could use them in your organization
to sell a new idea to your CEO, or to tell people about the change initiative that you're leading. You
can even craft one to tell people what you do for a living.

WHAT TO SAY
Your elevator speech should be brief. Restrict the speech to 30-60 seconds. You don't need to include
your entire work history and career objectives. Your pitch should be a short recap of who you are and
what you are doing.
You need to be persuasive. Even though it's a short pitch, your elevator speech should be compelling
enough to spark the listener's interest in your idea, organization, or background.
Share your skills. Your elevator pitch should explain who you are and what qualifications and skills
you have and what your startup is meant to do. Try to focus on assets that add value in many
situations. This is your chance to brag a bit — avoid sounding boastful, but do share what your startup
brings to the world.
Practice, practice, practice. The best way to feel comfortable about giving an elevator speech is to
practice it until the speed and “pitch” come naturally, without sounding robotic. You will get used to
varying the conversation as you practice doing so. The more you practice, the easier it will be to
deliver it when you’re at an actual investor meet.
Mention your goals. You don't need to get too specific. An overly targeted goal isn't helpful since
your pitch will be used in many circumstances, and with many different types of people. But do
remember to say what you're looking for.
Know your audience, and speak to them. In some cases, using jargon can be a powerful move — it
demonstrates your industry knowledge. But be wary of using jargon during an elevator pitch,
particularly if you're speaking to investors from varied industries, who may find the terms unfamiliar
and off-putting. Keep it simple and focused.
Have a business card ready. If you have a business card, offer it at the end of the conversation as a
way to continue the dialog. If you don’t, you could offer to use your smartphone to share your contact
information.
What Not to Say and Do During Your Elevator Speech
Don't speak too fast. Yes, you only have a short time to convey a lot of information. But don't try to
fix this dilemma by speaking quickly. This will only make it hard for listeners to absorb your
message.
Avoid rambling. This is why it's so important to practice your elevator speech. While you don't want
to over-rehearse, and subsequently sound stilted, you also don't want to have unfocused or unclear
sentences in your pitch, or get off-track. Give the person you’re talking to an opportunity to interject
or respond.
Don't frown, or speak in a monotone way. Here's one of the downsides to rehearsing: it can leave you
more focused on remembering the exact words you want to use, and less on how you're carrying
yourself. Keep your energy level high, confident, and enthusiastic. Modulate your voice to keep
listeners interested, keep your facial expression friendly, and smile.
Don't restrict yourself to a single elevator pitch. Maybe you're interested in pursuing different types of
investments. Many of your communication skills will still apply, but you'll want to tailor your pitch
depending on who you are speaking to. You may also want to have a more casual, personal pitch
prepared for social settings.

KEY TAKEAWAYS FOR ELEVATOR PITCH

KEEP IT SHORT AND SWEET: Your elevator speech is similar to a sales pitch. Be sure you can
deliver your message in 60 seconds or less.
FOCUS ON THE ESSENTIALS: Say who you are, what you do, and what you want to achieve.
BE POSITIVE AND PERSUASIVE: Your time is limited. Focus on what you want to do, not what
you don’t want to do. Be upbeat and flexible.
PRACTICE, PRACTICE, PRACTICE: Deliver your speech to a friend or record it, so that you can be
sure that your message is clear.

CREATING AN ELEVATOR PITCH

It can take some time to get your pitch right. You'll likely go through several versions before finding
one that is compelling, and that sounds natural in conversation. Follow these steps to create a great
pitch, but bear in mind that you'll need to vary your approach depending on what your pitch is about.
1. Identify Your Goal
Start by thinking about the objective of your pitch.
For instance, do you want to tell potential investors about your startup? Do you have a great new
product idea that you want to pitch to an angel investor? Or do you want a simple and engaging
speech to explain what you do for a living?
2. Explain What You Do
Start your pitch by describing what your organization does. Focus on the problems that you solve and
how you help people. If you can, add information or a statistic that shows the value in what you do.
Ask yourself this question as you start writing: what do you want your audience to remember most
about you? Keep in mind that your pitch should excite you first; after all, if you don't get excited
about what you're saying, neither will your audience. Your pitch should bring a smile to your face and
quicken your heartbeat. People may not remember everything that you say, but they will likely
remember your enthusiasm.
3. Communicate Your USP
Your elevator pitch also needs to communicate your unique selling proposition , or USP. Identify
what makes you, your organization, or your idea, unique. You'll want to communicate your USP after
you've talked about what you do.
4. Engage With a Question
After you communicate your USP, you need to engage your audience. To do this, prepare open-ended
questions (questions that can't be answered with a "yes" or "no" answer) to involve them in the
conversation. Make sure that you're able to answer any questions that he or she may have. Also, be
honest to the investors if you don’t have any answer at that moment; Investors mostly will be able to
tell when you are bluffing your way through.
5. Put It All Together
When you've completed each section of your pitch, put it all together. Then, read it aloud and use a
stopwatch to time how long it takes. It should be no longer than 20-30 seconds. Otherwise, you risk
losing the person's interest, or monopolizing the conversation. Then, try to cut out anything doesn't
absolutely need to be there. Remember, your pitch needs to be snappy and compelling, so the shorter
it is, the better!
6. Practice
Like anything else, practice makes perfect. Remember, how you say it is just as important as what you
say. If you don't practice, it's likely that you'll talk too fast, sound unnatural, or forget important
elements of your pitch. Set a goal to practice your pitch regularly. The more you practice, the more
natural your pitch will become. You want it to sound like a smooth conversation, not an aggressive
sales pitch. Make sure that you're aware of your body language as you talk, which conveys just as
much information to the listener as your words do. Practice in front of a mirror or, better yet, in front
of colleagues until the pitch feels natural. As you get used to delivering your pitch, it's fine to vary it a
little – the idea is that it doesn't sound too formulaic or like it's pre-prepared, even though it is!

PITCH DECK
A pitch deck is a brief presentation, often created using PowerPoint, Keynote or Prezi, used to provide
your audience with a quick overview of your business plan. You will usually use your pitch deck
during face-to-face or online meetings with potential investors, customers, partners, and co-founders.
Startups usually need a pitch deck to impactfully present their business to investors. This efficient set
of slides can help you support your company reputation and get an outside funding convincing the
investors that your business is reliable and they will not lose their money investing into it. Without
saying, the pitch deck is a powerful weapon to get the startup projects to a new financial level. A pitch
deck, also known as a start-up or investor pitch deck, is a presentation that helps potential investors
learn more about your business. As strange as it sounds, the primary goal of a pitch desk is not to
secure funding—it’s to make it to the next meeting. Securing funding is a multi-step process. A good,
informative pitch deck is the first rung on the ladder. You’ll want to present investors with an idea
that intrigues them and gets them to engage with you. A pitch deck presentation usually consists of
several slides that help you tell a compelling story about your business. You can put one together
using a generic software like PowerPoint, or use any modern tool to create an out-of-the-box
presentation.

WHAT’S INCLUDED IN A PITCH DECK PRESENTATION?

It’s tempting to dump information onto investors. As a founder, every part of your business is
important to you. But the best pitch decks are ones that are short and easy to follow. A good rule of
thumb is to include no more than 19 slides in a pitch deck. There are many different opinions about
what a pitch deck must absolutely contain. But when you look at some successful start-up pitch decks
out there, you will notice 10 key slides included in most of the presentations.

Slide 1: Introduction
The first slide of your pitch deck is also the most important one. It’s your chance to make a great first
impression, so make sure you don’t let this opportunity go. Keep the introduction slide short and
sweet—tell people who you are and why you’re here. You can also use this slide to communicate the
value proposition of your business. Try to articulate it in a single phrase or sentence, like:
“We make video games for doctors.”
“We make Happy Meals for adults.”
A good value proposition will make your audience sit up straight and want to listen to the rest of your
presentation.
Slide 2 Problem
If your business idea doesn’t solve an actual problem, what are you doing? You should identify a
problem your target audience faces, a gap that the market is currently not addressing. A good problem
slide will identify two or three problems that your product will tackle, without being long-winding.
Keep the text focused, so that investors will have an easy time following. Airbnb’s ‘problem slide’
from their original pitch desk is a great example.

In this slide, Airbnb clearly points out three key problems that their business aims to solve. They’ve
kept it short, yet added just enough explanation to relate to their idea and target audience.
Slide 3 Solution
In this slide, identify a concise and clear solution that investors can easily follow. Airbnb’s solution
slide highlights how they aim to solve each of three problems they pointed out earlier in big and bold
letters.

Avoid making grand statements like “we are the only ones doing this.” Most people in the room will
probably know multiple companies trying to address the problem you’ve identified. Another good
strategy is to offer multiple possible solutions to the problem presented, and then move on to the one
you have chosen and why. This shows investors your dedication and research. Instead of uniqueness,
focus your presentation on your research, drive, commitment and capability in solving the problem.
But make sure you don’t put all of that on your slide. Keep it simple and to the point, and let these
guidelines shape your entire presentation.
Slide 4 Market Size and Opportunity
The market will determine if you get your funding or not. If you are operating in a small market,
investors might find that the potential ROI is too small or too risky to fund you. Using sources from
your research, a solid market slide will graph out past market growth and future potential market
growth so that investors can easily see what the potential of your product is.
Slide 5 Product
This is the part where you show off the actual product or service your business is selling. If it’s a
physical product, add professional photos of your product from different angles. You can also include
exploded or cutaway views that highlight the materials and features of your product. If your product is
an app, online tool or service, consider adding screenshots that show off its most unique features.
Slide 6 Traction
This slide should be all about the growth of your business—the numbers of sales you’ve made, the
major goals you’ve achieved till now and the next steps. Most startups include a hockey stick growth
chart in the traction slide of their pitch deck. The traction slide is important as it reduces risk in the
eyes of the investors. They want to see proof that your business idea or solution has what it takes to be
profitable.
This slide in Buffer’s pitch deck is a great example of how you can show off your current
achievements to investors.

Slide 7 Team
This slide will include your core team members. The investor is interested in the drive of these people
and what makes them unique enough to see this project to its success. Under each core team member,
consider including bullets, descriptions or titles that show why they are central to your mission. Keep
the members here limited to your core team. Advisors need not be included.

Slide 8 Competition
Use this slide to show who your competition is, and why you are different from them. Airbnb has a
great slide in this regard.

Notice how they use affordability and ease of access as the driving force setting their business apart
from other travel or listing companies.

Slide 9 Financials
The financials slide in your pitch deck is one that investors spend the most time looking over. It
should contain your company’s projected growth over the next three to five years, along with details
about your business model and finances.
Enlive’s pitch deck does a good job at showcasing their income statement projection in this slide.

The use of colors and a bar chart makes the financials easier to understand and definitely look more
interesting than a boring spreadsheet full of numbers. A lot of this information is not set in stone. No
one can accurately predict where you’ll be in the next three years, but investors expect to see you
outline your plan and show that you have the financial knowledge to reach it. You can also explain
your economic plan here. This includes your operating structure and distribution channels as well as
your plan to make money.
Slide 10 Investment and Use of Funds
Before you wrap up, don’t forget to tell investors what you need from them. But instead of just asking
for a certain amount of funding, also let them know what you plan to do with the money. When you
justify your ask, it helps build trust and lets investors take you seriously. Here’s a no-nonsense
investment slide from Intercom’s original pitch deck as an example.
DO’S & DON’T’S OF THE PITCH DECK
Now that you’re clear on what a pitch deck is and what a good one contains, let’s take a look at some
common dos and don’ts for creating and giving powerful pitch presentations.

When Designing
DO use bullet points on slides - Remember that this is a presentation with a short time span. Don’t
overwhelm your audience with a lot of text. Explain the things you want to explain in detail but don’t
cram them onto your slides.
DON’T stuff your slides with text. - As you can see from the examples above, it’s best to have bullets,
not paragraphs, on slides. Furthermore, use large font sizes, lots of visuals and a readable color
scheme. This will help you put together an engaging and informative presentation.
DO include your contact details. - Make sure you include your contact information at the end of your
presentation to let your audience know who to reach out to for queries.
DON’T add too many team members.
In your Team slide, stick to core members. Too many executives can overwhelm; your investors want
to know who is piloting the ship.

When Presenting
DO tell a story. - Make sure you present your audience with an engaging narrative that allows them to
feel why your business is tackling the problem it is and how this will affect them.
DON’T focus on only the stats. - Without a cohesive narrative and a bigger picture dealing with the
why of your business and what it will bring to your customers, all your stats sound dry and boring.
Make sure a purposeful narrative runs throughout your presentation, not just at the beginning. The
stats are important, especially financial stats, but they aren’t the only important thing.
DO elaborate and minimize as you see fit. - What is on the slides is important, but so is how you
present it. As you’re speaking, gauge your audience, their interests in the particulars of your business,
and what they most care about. Then, tailor your presentation to their needs.
DON’T just read from the slides. - Tailor your presentation to keep your audience engaged and never
just recite what is written on your slides. Remember, investors can read. The reason this is a
presentation and not an email is so you can engage with them.

Please refer to the following link for few case-based do’s and dont’s:
https://visualhackers.com/blog/startup-pitch-deck-examples-dos-donts/
INVESTOR COMMUNICATIONS
Investor Relations (IR) combines finance, communication, and marketing to effectively control the
flow of information between a public company, its investors, and its stakeholders. Investors play a
major and vital role in the success and growth of a company. Because of that fact, it’s of the utmost
importance for companies to maintain strong, transparent relationships with investors. This is where
the investor relations department of a company comes into play. This article is designed to help you
better understand investor relations in the broad sense, as well as to break it down into more
manageable and specific segments.

WHY IS INVESTOR COMMUNICATION IMPORTANT FOR AN ENTREPRENEUR

You worked harder than ever before and you made some initial traction. You are doing great and you
received your first investment. You couldn’t be more proud and we congratulate you! You completed
the first step in creating a successful company. Now, there is a new sheriff in town. It is not only you
and your co-founder anymore. There are some external, experienced people you need to communicate
to. You have never had investors before, you have no idea what they expect from you. Well, we have
spoken with hundreds of investors and have a very good understanding of their mindset and ways of
working. Here are some very simple tips for you on how to communicate well with investors.
First of all, investors are looking for dependable, organized and transparent founders. They need to
trust you. In order to get their trust, you need to communicate well with them. Will you trust a person
you never heard from and serves you some utopian roadmap with a hockey stick growth prediction,
most likely not. When it comes to investor communication, think of the Three C’s; you have to be
clear, concise and consistent in everything you say. Let’s break them down.
Clear: Your Startup isn’t doing great? Pickup the phone and let your investor know sooner rather than
later. They are there to help at such a moment, in fact they are more inclined to help when issues arise
because this is where their true value kicks in.
Concise: Investors don’t need eight page update reports, you aren’t the only startup they are invested
in. They most often give you the topics (and tools but that’s another blog post) on what you have to
provide for them. Be concise, you work in the fast paced startup world, so your communication has to
adapt to that style as well. Learn to say lots in a few words, also if you keep in frequent (and honest)
contact with your investor they already have a good idea what to expect from you.
Consistent: This one should be very straight forward. Consistently be in contact with your investor. If
they tell you to reach out to them bi-weekly with updates, then reach out to them bi-weekly with
updates!
Good investor relations are the key to future funding and developing good investor relations is
attained through effective communication. One investor once told me ‘’the more frequent and
transparent the communication is, the more likely an investor will see challenges ahead of time before
they become disasters’’. In most cases effective communication will make you dependable, organized
and transparent in the eyes of the investor.

SARBANES OXLEY ACT

In 2002, the Sarbanes-Oxley Act, otherwise known as the Public Company Accounting Reform and
Investor Protection Act, was passed, a regulation that drastically increased how much and how often
publicly traded companies were required to report financial and trading information. Since then, there
continues to be a consistent and evolving push for companies to remain more transparent and honest
with investors, making a strong and efficient IR department an absolute necessity.

5 STEPS TO IMPROVE INVESTOR RELATIONS

Go one-on-one—Set up individual investor calls. Allowing time for long-form discussions,
brainstorming, individual inquiries and just shooting the breeze or sweet talking to help make every
investor feel important. This is essential for those unable to attend in-person meetings. Do your best to
schedule interactions outside of the office, too. If you and your investors are able to make time for
lunch or drinks, you can better understand your investors on a social level as well.
Regular conference calls— Follow up on written reports by setting up a call to field questions or any
other particulars that pique an investor’s interest. Share a conversation and you and your investors
will remember why you fell for each other in the first place.
Write monthly reports: Keep it simple. Investors want updates in five key areas: how much cash is in
the bank, how many months until $0, how the team is functioning, how are the KPIs and how they can
help you. Having a hard copy provides your investors with a reference sheet when they need quick
answers about your company.
In-person meetings— Get everyone in a room and let investors pepper you with questions like you’re
facing a firing squad. The physical meeting simply can’t be replaced, even if out-of-town investors
can’t make it. Investors will appreciate the chance to meet face-to-face.
Ask what you’re doing wrong –Vulnerability is a great thing if it strengthens relationships. Open
yourself up to criticism from your investors. Let them take you to task, you’ll be better off for it. And
to improve your communication strategy, ask each investor what else you could do to keep them
properly up-to-date on the company’s health.