{"id":89381,"date":"2017-06-21T11:00:00","date_gmt":"2017-06-21T10:00:00","guid":{"rendered":"http:\/\/www.smartinsights.com\/?p=89381"},"modified":"2017-06-20T16:20:33","modified_gmt":"2017-06-20T15:20:33","slug":"how-to-make-the-perfect-startup-pitch","status":"publish","type":"post","link":"https:\/\/www.smartinsights.com\/managing-digital-marketing\/planning-budgeting\/how-to-make-the-perfect-startup-pitch\/","title":{"rendered":"How to Make the Perfect Startup Pitch"},"content":{"rendered":"<h2>Developing your startup pitch<\/h2>\n<p>The perfect startup pitch helps entrepreneurs separate their companies from a growing amount of competition. Startup activity in the United States increased in 2016, continuing <a href=\"http:\/\/www.kauffman.org\/~\/media\/kauffman_org\/microsites\/kauffman_index\/startup_activity_2016\/kauffman_index_startup_activity_national_trends_2016.pdf\">an upward trend that began in 2015<\/a>, according to the Kauffman Foundation. All of this comes after startup activity reached its lowest point in the last 20 years in 2014.<\/p>\n<p>A more competitive market reinforces the notion that startups need more than a good business idea to become successful \u2014 entrepreneurs must convince others to invest in their business. Making that case persuasively is as much science as it is art.<\/p>\n<p>The following sections offer some guidelines and examples for developing the perfect startup pitch.<\/p>\n<h3>How to Make a Startup Pitch<\/h3>\n<h4>Research<\/h4>\n<p>Make sure you research and double-check every detail of your presentation. You should have an understanding of your product or service, the market and how these two areas interact.<\/p>\n<p>\u201c<a href=\"https:\/\/www.americanexpress.com\/us\/small-business\/openforum\/articles\/12-easy-steps-to-a-perfect-pitch\/\">What is your competitive advantage<\/a>?\u201d asks Bruna Martinuzzi, president and founder of Clarion Enterprises. \u201cShow them how what you are pitching is better than what your competitors are offering\u2014or at least, how it is different. Also show potential entrants in that space. What is your shield against those?\u201d<\/p>\n<p>You also need to understand your audience. Silicon Valley author, investor and entrepreneur Guy Kawasaki advocates using <a href=\"https:\/\/www.gsb.stanford.edu\/insights\/10-steps-perfect-your-startup-pitch\">LinkedIn to look at everyone\u2019s background<\/a> and find points of common interest that you can use.<\/p>\n<h4>Layout<\/h4>\n<p>Design is critical to a startup pitch. From graphics and other media to a polished startup pitch template, you can capture your audience\u2019s attention. Pay attention to how you showcase your startup visually. This is the age of billion-dollar startups like Tumblr and Fab, which have \u201c<a href=\"http:\/\/venturebeat.com\/2013\/08\/24\/7-steps-to-a-winning-startup-pitch\/\">simple, beautiful, intuitive design at their core<\/a>,\u201d according to the Young Entrepreneur Council.<\/p>\n<p>Another important point to remember is to be brief. Kawasaki recommends observing the 10\/20\/30 rule.<\/p>\n<ul>\n<li>The optimal number of slides is 10.<\/li>\n<li>You should be able to give your whole pitch in 20 minutes.<\/li>\n<li>The ideal font size is 30 points.<\/li>\n<\/ul>\n<h4>Hook<\/h4>\n<p>Keep in mind that <a href=\"http:\/\/www.forbes.com\/sites\/ericaswallow\/2012\/06\/27\/elevator-pitch\/#72f797212375\">venture capitalists and angel investors<\/a> are pitched to every day, according to <em>Forbes<\/em> contributor Erica Swallow. You\u2019ll need something unique and compelling to capture their imagination and attention.<\/p>\n<p>\u201cPeople are going to make an instant decision about your pitch,\u201d Kawasaki said. \u201cThey\u2019re not going to want to see your entire background, they\u2019re not going to want to get to know you, they don\u2019t want to be your friend. You are either hot or not, interesting or not. It\u2019s that quick.\u201d<\/p>\n<h4>Problem<\/h4>\n<p>Every business focuses on solving some type of problem. Describe and\/or quantify the problem to help your audience understand that a change needs to happen. This presents the opportunity that your startup will capitalize on.<\/p>\n<h4>Unique Solution<\/h4>\n<p>Your company needs to have a powerful and unique solution to the problem you\u2019re trying to solve. \u201cInvestors aren\u2019t often interested in \u2018me too\u2019 ideas,\u201d Swallow said. \u201cCapture their desire with something new, differentiate yourself by your unique value \u2014 what can your company offer that no one else can?\u201d<\/p>\n<h4>Team<\/h4>\n<p>The members of your audience are investing in you and your team as much as they are in your company. Martinuzzi recommends adding a team slide that is relevant to your presentation. Introducing your team can help investors trust the people who make up your startup.<\/p>\n<h4>Traction<\/h4>\n<p>Use any metrics that demonstrate the traction your startup has made in the market. Investors want to see sales or proof of concept to understand how consumers will see your product or service. Other metrics include marketing efforts, cost of production, business figures and more.<\/p>\n<h4>Close<\/h4>\n<p>Provide a call to action for your investors. Swallow mentions asking for a business card or a chance to meet with an investor individually.<\/p>\n<h4>Practice<\/h4>\n<p>Pitching is not an innate talent; rather, it\u2019s an acquired skill. \u201cIt takes about 25 times giving the pitch until you\u2019re really smooth with the pitch,\u201d Kawasaki said. \u201cThis means you have to pitch all the time.\u201d<\/p>\n<p>The Young Entrepreneur Council recommends finding a group of strangers willing to listen to your early pitches. You can sign up for <a href=\"https:\/\/www.startupdigest.com\/\">Startup Digest<\/a> and watch for public entrepreneur meetups and pitch events. You can volunteer to speak at a local high school or college. By working on your material in low-pressure situations, you\u2019ll become more comfortable and better prepared to make your perfect startup pitch.<\/p>\n<h4>Follow Up<\/h4>\n<p>Think about how you\u2019ll follow up. You should also prepare yourself for a positive or negative reaction. Follow up with everyone, but identify your top targets and react to them quickly. Have your team help you close with investors and create a relationship as fast as possible.<\/p>\n<h3>Best Startup Pitch Examples<\/h3>\n<p>A collection of some of the best startup pitch decks is <a href=\"https:\/\/attach.io\/startup-pitch-decks\/\">available at Attach<\/a>. Here are a few particularly noteworthy startup pitches.<\/p>\n<ul>\n<li><strong>Airbnb<\/strong>: The residential lodging company was seeking $150,000 at a $1.5 million valuation ($150,000 for 10 percent equity) in 2008. After a meeting with seven investors in Silicon Valley, five responded with rejections and two did not respond. Airbnb was valued at <a href=\"http:\/\/www.businessinsider.com\/airbnb-raises-850-million-at-30-billion-valuation-2016-8\">$30 billion<\/a> in August 2016.<\/li>\n<li><strong>Buffer<\/strong>: Dharmesh Shah, who was an early investor of social media software company Buffer, considered the traction slide the most important. \u201cWe quickly realized that as first time founders, this was probably <a href=\"http:\/\/onstartups.com\/tabid\/3339\/bid\/98034\/The-Pitch-Deck-We-Used-To-Raise-500-000-For-Our-Startup.aspx\">our only way to raise any money<\/a>: By focusing everything on the traction slide,\u201d he said in OnStartups.<\/li>\n<li><strong>Foursquare<\/strong>: \u201cDecks don\u2019t have to be <a href=\"http:\/\/www.businessinsider.com\/this-is-the-first-pitch-deck-foursquare-ever-showed-investors-2011-12?op=1\">super formal<\/a>,\u201d Dennis Crowley, co-founder of technology company Foursquare, told <em>Business Insider<\/em>. \u201cIt\u2019s okay to stray from the \u2018business school 10-slide pitch deck template.\u2019\u201d<\/li>\n<li><strong>Crew<\/strong>: \u201cMoving our traction slide from the middle of our presentation to the beginning, <a href=\"https:\/\/crew.co\/blog\/the-investor-presentation-we-used-to-raise-2-million\/\">made a huge impact for our story<\/a>,\u201d said Mikael Cho, CEO of technology company Crew. \u201cWe started speaking with new investors and it proved to be something that stood out. The first few times we presented this story, we received multiple invitations for follow up meetings. We could feel the emotional difference in this version of our presentation compared to the first version.\u201d<\/li>\n<\/ul>\n<h3><\/h3>\n<div class=\"postauthor\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft\" style=\"border: 2px solid #808080; margin: 5px 10px 5px 6px;\" src=\"https:\/\/media.licdn.com\/mpr\/mpr\/shrink_100_100\/AAEAAQAAAAAAAAsmAAAAJDJjYWM5ZmRmLWE2ZWMtNDJiMC05ZjdlLTI1N2FlMWM1ZTkwZQ.jpg\" alt=\"\" width=\"80\" height=\"80\" \/> Thanks to Kelly Weidman for sharing their advice and opinions in this post. Kelly is a senior content strategist who writes about marketing strategies.If you want to know more about creating start up pitches, \u00a0Notre Dame of Maryland University\u2019s <a href=\"http:\/\/online.ndm.edu\/online-degrees\/ba-business\/\">online bachelor's degree in business<\/a> uses case studies, consulting assignments and a capstone course to give students real-world knowledge to use in their business career. Graduates are able to pursue entrepreneurial activities, leadership positions and career advancement in roles such as business analyst, accountant and public relations specialist<\/div>\n<div><\/div>\n<div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Developing your startup pitch The perfect startup pitch helps entrepreneurs separate their companies from a growing amount of competition. Startup activity in the United States increased in 2016, continuing an upward trend that began in 2015, according to the Kauffman &hellip;..<\/p>\n","protected":false},"author":96,"featured_media":79268,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_glsr_average":0,"_glsr_ranking":0,"_glsr_reviews":0,"footnotes":""},"categories":[346],"tags":[1143],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to Make the Perfect Startup Pitch | Smart Insights<\/title>\n<meta name=\"description\" content=\"How to Make the Perfect Startup Pitch Developing your startup pitch The perfect startup pitch helps entrepreneurs separate their companies from a growing amount of competition. 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