Just because you have a great idea for a startup doesn’t mean venture capitalists and angel investors would come knocking at your door, asking to fund you.
Getting venture capital and increasing the amount of investment for your startup is actually quite challenging at every stage.
This needs a great pitch deck from you—pitch decks that are created well are one of the best ways to convey your story and pull in investor interest, before the actual face to face meetings.
What’s great is that there are some tips to create your pitch deck in such a way that can raise even millions of dollars.
Begin with the audience
Investors go through a lot of pitch decks. In a year, a venture firm’s general partner gets an estimated 5,000 pitches. They decide to go through only 600 to 800.
At the end, they choose only one to two deals, even none. Your goal through your pitch deck, is it be one of those done deals.
To do this, you must first understand your investor, who is your audience.
Make sure to research your potential investors completely when drafting your pitch deck. Which criteria or models do they make use of to determine whether a company would be successful?
If you have no idea what their perspective is, the probability of a successful pitch deck would be lower
Focus on the story, not the data
Investors aren’t convinced by more and more information.
What turns your pitch deck from average to awesome is the story that you weave through your presentation and how you engage your investor’s imagination.
Your pitch deck should feel more like an experience about your startup story by using visuals. A good idea is to begin with or incorporate actual user stories or case studies about the experience of customers with your product or service.
Request for money
A lot of entrepreneurs fall into this trap. While they love to talk about their company—their strategies, their market, their features, etc. when they have to succinctly state their needed investment amount, they become hesitant and can’t seem to answer.
You have to be ready to request for the money from the investor and how much you would need from them. Of course, you have to be detailed about where the funds will be used and how it would benefit your company and the investors.
You have to consider this as good housekeeping. You have to know your financing, your numbers, your scheduled timeline etc.
Do not be vague—be direct and clear whenever you’re asking for money. You would not seem greedy. You will actually seem prepared and well-researched.
If you’re not really sure how much your ask should be, there is more information on How Startup Valuation Works (Includes Ultimate Checklist to 2x Startup Valuation in 3 Months or Less) that can get you started.
Entrepreneurs who succeed in getting investment funding consider their pitch deck to be their most important advertisement or marketing material.
Whenever your traction grows, simply update the numbers and some information on your pitch deck.
When you use your pitch deck in a correct manner, you will see that it shows the lessons and growth you have gone through when pitching to investors.
As you get more feedback, you are able to rework your story, as well as pitch deck presentation skills. Just make sure you have time to pitch to investors face to face so you can learn and get feedback.
You can even tap the online market, which has investors by the thousands, through equity crowdfunding.
Getting more venture capital and investment for your startup isn’t easy. However, it is worth to go through these tips and steps to make higher investment much more likely.
Try to get more information and support from the Pitch Deck Insider Report, featuring nineteen entrepreneurs who share their tips to getting USD 3.5 billion in venture capital.
You’ll find that if you stick to a plan and stay unique and authentic, things can only go your way. Good luck with raising money for your startup!
Martin Luenendonk CEO of RoadToFunding.com is a 2x entrepreneur, former venture capital investor and investment banker.