Pitching in pairs is 70% better
How to sweep investors off their feet with the first waltz
Startup CEOs live or die by what happens at the first meeting with a prospective investor. Just like any first date, there are only two possible outcomes: another meeting (and the prospect of investment) or no more meeting.
But showing up alone, even as a smart imaginative founder who’s on such an important mission, reduces the chances of success by about 70 percent. How come?
The outcome of your investor meeting is mostly determined by the unconscious “dance” that involves so much more than words. It takes two to tango — a founder and an investor — but three to conclude a successful first waltz, which is what the first scheduled investor meeting really is. Emotionally bonding with your partner during the first waltz is arguably more important than getting the steps right.
Never waltz alone because…
There are two simultaneous outcomes to hop away with from the first meeting:
- An investment or other practical deliverable
- A relationship
Although you can survive a failed attempt at the first, it’s goodnight, Vienna if you fail at the second. Furthermore, no individual founder, among the 1,000+ I’ve met, can simultaneously and consciously deliver both. So, always pitch in pairs. Two heads are better than one, but four ears and two bodies are your unfair advantage.
Founder one plays the strategist, planner, and forecaster (who will remember what the time is), concentrating on the logical argument of the pitch. Founder two plays the visionary, storyteller, and friend (who will lose track of time), sparking a love affair with the whole project.
Nobody invests in or takes investment from someone they don’t love, or at least like. Remember that although investors technically get paid on the basis of their ability to make profitable investments, as humans their ultimate decisions are made on a loose combination of love and logic. And this love, I believe, represents the 70 percent.
The first waltz
So, how do you do what I call “the first waltz?” It is a lavish performance in three acts.
Act I: The Chat-up
Goal: Love at first sight | Duration: 5 minutes, unless it takes longer
This is where the right-brained founder takes the lead. In Ireland, where I live, it’s common practice when meeting a stranger to ask questions until both parties discover a common ground. “Where are you from?” “Were you ever in Dublin?” “Do you know Sean O’Sullivan?”
Once that common ground is established, the conversation can move on. For investors, questions like, “Weren’t you an investor in ABC Unicorn Ltd?” “Didn’t you give a keynote at the XYZ Global Summit?” “Did I see you run in the Shanghai marathon?” work well. They may also result in a specially loving response if you’ve googled around before the meeting to look up personal facts.
In more physical terms, this act requires copying the victim’s (did I say that?!) costume, body language, and voice tone/pace/volume. In neuro-linguistic programming circles, this is called pacing. Only when you’ve done enough pacing (i.e. turns out you both know Sean O’Sullivan) will you earn the right to lead.
Meanwhile, the left-brained founder sets up the laptop and the product demo, checks the clock, and little else.
Act II: The Dance
Goal: Make the proposal | Duration: 20 minutes max
This is where the left-brained founder takes the lead. They begin waltzing the investor through the traditional slide presentation: problem, solution, market opportunity, team pedigree (with famous logos to the fore), hockey stick sales forecast, traction, four-quadrant competitor analysis, and the request for US$5 million of someone else’s money. This can be followed by the product demo.
During Act II, the right-brained founder continues to build the unconscious rapport — nodding, grunting in agreement, matching body posture, etc.
Act III: Get the phone number
Goal: Agree to a next date | Duration: Under 5 minutes
Re-enter the right-brained founder to lead into a concluding, emotional crescendo with the words, “Thank you so much for you time. You guys are amazing.” Meanwhile, the left-brained colleague nails it with a swift, “What do we need to do next?” as the music fades. And then, the investor’s early lunch appointment strides through the door for the next dance.
To summarize, it’s vital to be aware of your own preferences when it comes to using a left-brain or a right-brain pitching style. Take a complementary partner and practice the roles before the big day. Never waltz alone, and focus clearly on a simple tangible outcome — another date.
Originally published at www.techinasia.com.
