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Pitch Deck
How to make an
Investor
that really works
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raise money
is it time to
for your startup?
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feels daun7ng?
everything
in a pitch deck
But explaining
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is for you
This
Presenta7on
then
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You may wanna
go full screen
Investor
is to persuade the
investor to invest in
your business.
The Purpose
of Your Pitch Deck
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So let us start by
answering this question:
What does an investor
really want?
10x Return
on his investment
in 4-5 yrs
*
$4M
Angel : 20%Founders: 80%
Company Valua=on: $5M
$1M
*The expected growth rate & =me varies from early stage investor to growth stage investor, but you get the point
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$4M
Angel : 20%Founders: 80%
Company Valua=on: $5M
$1M
But, for his share
to grow 10x...
Angel : 20%
$1M
80%
AngelFounders’ Share
20%
25% 12% 18% 25% 15%
Series A Series B Series C ESOPsFounders’
5%
Angel
$200M
$5M
40x
Series A
Series B
Series C
Company Valua=on
...your business valuation has to grow 40x
$1M
$10M
As the angel dilutes from 20% to 5%, for his share’s value to be 10x,
the company’s valuaCon has to grow 40x
10x
’
Through the process of
Pitching…
investor wants to figure out the
Probability
of 40x valuaCon
40x?
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the probability
of 40x valuation
in his head...
Higher
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the probability of him
signing the cheque
Higher
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So the
Job of your Pitch Deck
is to show the likelihood of
40-50x growth in 4-5 years
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Valua7on
40x Growth in 40x Growth of
Business
Market
Economics
Impact of
= +/-
On a side note...
Only thing under
your control
Icon1, Icon2, Icon3
Valua7on
40x Growth in 40x Growth of
Business
Market
Economics
Impact of
= +/-
Are you convinced that your business
can grow 40x in 4-5 years?
3 Things
Pitch Deck
that your
has to bring out
to establish high probability
of 40x growth in 4-5 years
Here are
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Opportunity
Show that you have
discovered a real opportunity
1
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Growth Poten0al
1
And its value can grow
40-50x in 4-5 years
2
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Execu0on
And your team can
seize the opportunity
1 2 3
Icon1, Icon2, Icon3, Icon4, Icon5
Each One in Detail
Let us talk about
1
Opportunity
Show that you have
discovered a real opportunity
Sir, your interview starts at 2pm.
Would you be here on 0me?
I am s0ll wai0ng for my cab.
Possible to reschedule it?
Set the Scene
Step 1
e.g.
Opportunity
Before you talk about the
problem you solve, set the
scene to one in which the pain
of your customer would be
at its peak.
Image1, Image2
That won’t be possible sir. Sorry.
Step 2
Highlight the Problem
and also its Impact
Make sure it seems like one of the
most important problems for your
customers. JOB
Opportunity
Image1, Icon1, Icon2, Icon3
Unreliable
Cab
Missed Job
Opportunity
Highlight one or more factors that are most important to
people in a solution for the problem
Show what People Care about
Step 3
Reliability
Opportunity
Image
Show why current
solu7ons don’t work
Highlight how the existing solutions miss out
on fundamental needs of people
Step 4
Unreliable Slow No Parking
Opportunity
Image1, Image2, Image3, Icon1, Icon2, Icon3
Showcase Your Solu7on
Highlight how it would change the life of
a user. It should be apparent that
customers would simply love this solution.
Step 5
Opportunity
Image1, Image2, Image3, Image4, Image5
Show Customer Valida7on
Show that there are real users out there using and
loving the solution.
Step 6
Opportunity
Image
2
Growth Poten6al
Show that the value of this opportunity
can grow 40-50x in 4-5 years
Current Growth
Nothing can make-up for the lack of growth. It is a proof
that you are moving fast in the direction of 40-50x
growth. As Paul Graham famously said: Startup = growth.
Opportunity
Growth
Poten=al
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Team’s Reputa7on
Do you have a team w ith a
reputation that is enough to
get you funded? If not, then
skip it for now.
’
Opportunity
Growth
Poten=al
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Current Revenue
Got grow ing revenues? Investors
love it - though mostly if you are a
B2B startup. But no one hates it.
Opportunity
Growth
Poten=al
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Draw Comparison
Has another late stage company got acquired or funded
recently? Use it to establish the valuation benchmark.
Even better if you can show you are doing better on
key metrics.
Opportunity
Growth
Poten=al
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Unfair Advantage
Do you have an advantage that no one
else has and could be instrumental to
success. Entry barriers, pre-established
network, patented tech etc.
Opportunity
Growth
Poten=al
Image
Industry Hotness
An industry w ith lot of action means higher probability of
downstream investors, better valuation and even an exit.
Investors love it.
Opportunity
Growth
Poten=al
Image
Huge Market
Show the investors how big is/are the market(s) you w ill
cater to. Remember, bottoms-up calculation is better
than top-down.
Opportunity
Growth
Poten=al
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Assets you own
Do you own some valuable
patents, key partnerships or
marquee clients? Anything
that enhances your value at
exit.
Opportunity
Growth
Poten=al
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Risks &
Mi7ga7on Plan
Any doubt or obstacle that an investor perceives
as limiting the growth, is a risk that you should
talk about along w ith a mitigation plan - to
maximise the potential exit valuation.
Tomasz Tunguz have put together the 11 types of risks that VCs evaluate
Opportunity
Growth
Poten=al
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Unit Economics
While you might grow, would you be
able to make money? Can your unit
economics be cashflow positive in the
near future? Show, do not tell.
Opportunity
Growth
Poten=al
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3
Execu6on
Show that your team can execute to
perfection and seize this opportunity
Team. Not Players.
Show how your team is the perfect group to seize this
opportunity. Establish the key skills/experiences
required to succeed in your business and map that to
the skills/experiences of your team.
Opportunity
Growth
Poten=al
Execu=on
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4
Offer
Bring your pitch to a closure by
making the investor an offer
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Current Ownership
Before you make the offer, give a quick
view of who has put in how much money
till date and when.
Opportunity
Growth
Poten=al
Execu=on
Offer
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Make the Offer
How much are you raising? What would you achieve w ith
this money (3-4 measurable milestones)? How much amount
you already have a commitment for? When do you see the
next round happening?
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Opportunity
Growth
Poten=al
Execu=on
Offer
Summarize
Close it by summarizing the investment proposition by
highlighting 3-4 key reasons to invest.
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Opportunity
Growth
Poten=al
Execu=on
Offer
Appendix
Prepare a slide for every question that an investor
might ask and put it in appendix. It is not about less
frequently used slides but about building credibility by
show ing that you think through everything.
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Opportunity
Growth
Poten=al
Execu=on
Offer
Quick Recap
Let us do a
Validated
Opportunity
40-50x
Growth
Potential
Great
Execution
Capability
Exci=ng
Investment
Offer
1 2 3 4
final things to
2Keep in Mind
while making an investor pitch deck
Show Credibility
No one hands over their money to someone who is not
credible enough. Everything that you say contributes
towards your credibility - positively or negatively.
Choose your words carefully.
1
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any thing else that might brighten up an investor’s eyes
would you be able to fascinate the investor - make him feel
that there is something fascinating that he has to be involved
in.
Fascinate Him
Investment decisions are hugely influenced by emotions.
Make the investor feel that this is something fascinating
that he has to be involved in?
1
2
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Our InspiraAon
Pitch the way
VCs think
Vinod Khosla
How to Design a
Pitch Deck
Daniel Eckler
How Startup
Valua=on Works
Anna Vital
a presentaEon by:
Need some help?
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Talk to us
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Credits
Images
Flickr
Pexel
Stock Snap
Visual Hunt
Icons
Noun Project
Flat Icon
Icon1, Icon2, Icon3, Icon4
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