A Quick Glance At Forming A Comprehensive Pitch Deck

I recently had the pleasure of sitting in on a seminar that Jay Melone of New Haircut hosted regarding building a Pitch Deck to take with you when you meet with potential investors. New Haircut is a creative, digital marketing, and technology startup that specializes in developing websites, web applications, and mobile applications. Jay Melone started his venture into the tech industry during his last semester in college when he thought he would try his hand at two computer science/engineering classes, and well the rest as they say is history. New Haircut is at the forefront of tri-state area startups, and companies to keep a lookout for. Melone established his first startup at the age of 14 when he created a lawn mowing venture in his local neighborhood. He is a mentor to local up and coming startups, and assisting them with preparing “Pitch Decks” to secure funding from potential investors. Below are just a few tips on how to prepare an intuitive and informative Pitch Deck.

Fundraising is an important backbone for most startups, once they’ve identified the financial needs that will enable them to deliver their product/service to consumers. It’s not enough for the founders and partners to believe in their product, but the challenge is to convince potential investors and consumers that their product is disruptive to its respective market. A Pitch Deck is an essential and vital tool, to take to meetings with investors.

Keep in mind Guy Kawasaki’s 10–20–30 mantra
10 slides, a presentation no longer than 20 minutes, and font no smaller than 30 point. Avoid too many words and explanations, that comes into play when you submit your Pitch Deck and any other relevant information after your presentation. Have bullet points, and dont blindly read off the presentation. Engage with the investors. Graphs, charts, modeling, infographics are all much more interactive and easy to process in a short period of time. Do not overdesign it at the same time and go overboard with the color schemes. Also bring an extra Pitch Deck or two to leave with the investors.

1. Convince investors why they should INVEST

• Investors will invest in your space. Need to be able to trust that you have a strong foundation set.
• Introduce your brand and mantra. Who are you and what is your product or service? Videos, animations, and/or demos.
• Who are the team members? Background of the team.

2. Is there a market for what you are trying to sell?

• They need to be convinced of the opportunity and time.
• What is your business model? Here is a chance to showcase your organization, culture, potential marketing techniques, and pricing.
• There is a market for the product or service you are pitching. Are you disrupting the industry? If you can convince them of this, then the ball is in your court.
• Doing your market research and understanding every aspect of it is crucial.
• Who are the customers that you are trying to lure and connect with? Why do they need your product?
• What are your distribution channels?
• Possessing knowledge of the Industry you are trying to break into is necessary. Domain knowledge is key, investors need to see that you are knowledgable about the market, competition, scope for growth, and the bubble.
• Understand your competition, and know who they are and what they do well. Where did they fall short?

3. Plan of Execution

• How is your team planning to pull it off? Show a timeline of events from start to finish. Any adept business professional knows that everything doesn’t always go according to plan. So this will be *Tentative
• Have in hand all concepts, prototypes, product plans, and evolution.
• Wireframes, business plans, and organizational structure are all good to have in hand.

4. Numbers Game

• Confirm your commitment- show what past capital you put into the company and what you want to put into it.
• Do not make up numbers or statistics. Investors will later nitpick and go through every single detail and number. Be clear and concise about your numbers; double and triple check. Get help if you need to.
• Financial projections and metrics. What are potential revenue and profit margins. Look to the future. Talk about how you plan to make money and keep the company profitable. Three to five year potential cash flow and statement of operations.
• How much needs to be raised? How has been raised thus far?

5. Closing Arguments

• Wrap up the presentation.
• Be wary of the time and mood of the room.
• Once again reiterate why your product is crucial for the market, and the opportune timing to invest.
• Leave time for questions.
• If you are being drilled about possible errors and issues, ask feedback as to how they would make changes and what you can do better.

After the presentation remember to:

• Thank them for their time. It is important to build a relationship with these investors and leave on a cordial note.
• Ask for feedback about your presentation, product, and any questions. Jot down and note down every single comment and feedback given.
• Ask them “How should I follow up?” — Be courteous and don’t be overbearing.
• Thank them once again seriously before you leave and conclude the meeting.
• WAIT, they will get back to you with a yes or a no.
• If you get a NO its okay, take it in stride. It is not the end of the world. ON TO THE NEXT OPPORTUNITY.

Remember this quote by J.K. Rowling:

“It is impossible to live without failing at something, unless you live so cautiously that you might has well not have lived at all, in which case you have failed by default.”