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Pitching. Permjot Valia Szczecin November 2012. Who am I?. Salesman Consultant Business Investor Fund Manager MentorCamp. Today. What is a pitch? Who is your audience? What do they want to hear? What makes a good pitch?. What is a pitch?. A pitch is.
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Pitching • Permjot Valia • Szczecin • November 2012
Who am I? • Salesman • Consultant • Business Investor • Fund Manager • MentorCamp
Today • What is a pitch? • Who is your audience? • What do they want to hear? • What makes a good pitch?
A pitch is.... • An articulate attempt to persuade someone to do something you would like them to do
Fundamentals • How do people buy? • What emotion do you appeal to? • What is your ask? • Building up the pitch
How do people buy? • A - Attention • I - Interest • D - Desire • C - Credibility • A - Action
Who is your audience? • Why are they buying? • What motivates them?
Why do people buy? • Sex • Fear • Greed • What are you appealing to?
Matching • You need to match the audience expectation with your language • What are you pitching? • Why would someone want to join in?
So a pitch needs to • Cover AIDCA • Understand the buying motivation • Be clear in its ask
A Business pitchfor investors • What is the problem? • What is the value of the problem? • How do you solve that problem? • How do you make money from solving it? • Who are you (the team)? • What is the offer?
What is the problem? • Is it aspirin or is it a vitamin? • Who has the problem? • Is the problem costing time/ money/ capacity? • Who is paying?
How do you solve the problem? • What are the switching costs? • How does that change the benefit? • How easy is it? • How important is solving this problem?
How do you make money? • Is it Capital expenditure or revenue? • Is it Business to Business or Business to Consumer? • What are customer acquisition costs? • What are margins like?
Your business model • Is it a big fixed costs - spread over many customers? • Or is it highly marginal based? • How does the cash come in? • Who holds the risk?
Cashflow • Common reason why businesses fail is lack of cash • How sensitive is your business to cashflow? • What does sensitivity analysis show you?
Who are you? • First (and sometimes only) factor investors back is Management team • Who are you - and why should you be trusted with my money? • What experience have you got? Why would you make a success of it
The team • Who are the advisors? • Who is the board? • What is the deal with the board? • Are they all superstars?
What is the offer? • Shares? What’s the valuation? • Loan Notes? Whats the interest rate and security? • Convertible notes? Whats the discount?
What’s the offer? • How much are you putting in? • How much is the management team putting in? • What will be your salary? • What will be the teams salary? • What is the founder equity positions?
What is your exit? • How will I get my money back? • Who will buy you and why? • At what price? (Evidence) • IPO? Seriously? Through Dividends?