How to Create an Investor Pitch Steve Morris [email_address] Executive Director, OTBC Prepared for Ignite Portland, 2007

Before you Start You need more than just an idea A technology proof? A prototype people have used? Customer references really help

You need more than just an idea

A technology proof?

A prototype people have used?

Customer references really help

Before you Start Tell the big story – but know the detail... ... write a biz plan before pitching investors OEN.ORG: Business Plan Development Seminar Business Plan Review

Tell the big story – but know the detail...

... write a biz plan before pitching investors

OEN.ORG:

Business Plan Development Seminar

Business Plan Review

Things to Remember You are selling ; the investor is buying “ Buy” decisions are emotional Money is not Criteria #1 ! You must tell a good story

You are selling ; the investor is buying

“ Buy” decisions are emotional

Money is not Criteria #1 !

You must tell a good story

Things to Remember The product description is one slide Make it a short, compelling presentation 10 slide example coming up Just one of many approaches! BIG font size !!! (This is 32 point...)‏

The product description is one slide

Make it a short, compelling presentation

10 slide example coming up

Just one of many approaches!

BIG font size !!! (This is 32 point...)‏

Things to Remember No jargon No acronyms Be clear and specific Mention key partners/customers

No jargon

No acronyms

Be clear and specific

Mention key partners/customers

<your company name> <your name> <your tag line> <phone number; web URL; email> Slide 1

Problem / Need What problem are you solving (or what new opportunity are you addressing? Who has the problem? (i.e., who is your customer?)‏ Why is finding a solution compelling ? Slide 2

What problem are you solving (or what new opportunity are you addressing?

Who has the problem? (i.e., who is your customer?)‏

Why is finding a solution compelling ?

Your Solution What product or service will you deliver? What value will it deliver? Is it a “must have” or a “nice to have”? Slide 3

What product or service will you deliver?

What value will it deliver?

Is it a “must have” or a “nice to have”?

Business Model How do you make money? Who pays and how? Price? (And how did you determine it.)‏ Costs? (Can you really make money?)‏ Slide 4

How do you make money?

Who pays and how?

Price? (And how did you determine it.)‏

Costs? (Can you really make money?)‏

Your Advantage There are many smart people in the world. Why will your team win? Technology? Key partners? Unique team skills? Slide 4

There are many smart people in the world. Why will your team win?

Technology?

Key partners?

Unique team skills?

Competition There is always competition. What do customers use today? What new competition do you expect? Customer references really help Slide 5

There is always competition.

What do customers use today?

What new competition do you expect?

Customer references really help

The Market How big is the market? What segment will you target first? Why? Describe your target customer Have you talked to customers? What are the follow-on opportunities? Slide 6

How big is the market?

What segment will you target first? Why?

Describe your target customer

Have you talked to customers?

What are the follow-on opportunities?

Market Entry Plan How will you generate awareness? How do customers in your market typically buy? How will you sell? How long is the sales cycle? Slide 7

How will you generate awareness?

How do customers in your market typically buy?

How will you sell?

How long is the sales cycle?

Forecast What is your 5 year revenue projection? What are your key assumptions? Forecasts are always wrong... ... but they need to make sense Slide 8

What is your 5 year revenue projection?

What are your key assumptions?

Forecasts are always wrong...

... but they need to make sense

The Team Background and qualifications Strong Board members or advisors? If the team is world class, this is slide #2! Slide 9

Background and qualifications

Strong Board members or advisors?

If the team is world class, this is slide #2!

Milestones & Funding Key accomplishments to date: How much money do you need? What will you accomplish with it? Slide 10

Key accomplishments to date:

How much money do you need?

What will you accomplish with it?

Final Thoughts Practice, Practice, Practice Tell the big story – but know the detail i.e., you need a business plan! Get a biz plan review (oen.org)‏

Practice, Practice, Practice

Tell the big story – but know the detail

i.e., you need a business plan!

Get a biz plan review (oen.org)‏

Other Resources OregonStartups.com OEN.ORG SAO.ORG OTBC.ORG

OregonStartups.com

OEN.ORG

SAO.ORG

OTBC.ORG

How to Create an Investor Pitch Steve Morris [email_address] Executive Director, OTBC Prepared for Ignite Portland, 2007