How to Pitch to Investors

Did you know that investors only fund one percent of the pitches that they receive from entrepreneurs and startup businesses? Learning how to pitch to investors is vital if you have a big idea that you think will take off over the coming years. Having a strong idea of how to pitch a business idea to investors will give you the best chance of getting that big break that your idea needs.

It doesn’t matter if the pitch happens through an email or through an elevator pitch to investors, you need to do things the right way. That means having your facts straight and considering the needs of your investors as well as your own.

The good news is that you’re in the perfect place to learn all about a startup how to pitch to investors and the things you should do to win these investors over. Keep reading this article for some helpful tips today!

Have the Correct Information

It sounds simple, but the first thing that you need to do when you decide to learn how to pitch to investors is make sure that the information that you’re working with is accurate. You never know how long you’ll get to pitch your idea or your business to investors. It is crucial that you have accurate info that is relevant to the investors’ needs.

You’ll have a much easier time making each moment count when you’re using accurate information for your business pitch. Make sure that you include a value proposition. It’s your way to demonstrate the benefits that your products or services offer to your target audience.

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You should also mention the things that will help your potential customers choose your products or services over the competitors. Mention that as well as the ways in which your products or services resolve the pain points these customers are experiencing.

If you get more time to continue your elevator pitch to investors then you should get into further detail about your target market demographics and sales strategies. You should also get into the financial forecast for your business, and your funding needs.

Think About the Needs of the Investors

You also need to think ahead about potential objections that you’ll face. This is common when you’re pitching your business idea to potential investors. It is your job to find out what these objections could be. From there, include information that will address the objections before the investors get a chance to ask about them.

Doing this will show your potential investors that you know your stuff. It makes it clear that you’ve thought everything through with your startup idea. You’ll keep the investors focused on your presentation and the positives that could come from choosing to provide funding to your business. They’re putting a lot of money up to help you, so it is important to consider their needs and what they’ll get in return.

Tell a Story

Telling a story might not seem like it will help you learn how to pitch a business idea to investors. Some of the best business pitches revolve around stories. It doesn’t matter if the story comes from your own life experience or a hypothetical situation, telling a story goes a long way for your business pitch.

If you plan to use a story when you learn how to pitch to investors then you need to think about how that story will address the problems that consumers or other businesses are experiencing. You should also touch on the ways in which your small business solves those issues.

Include Your Contact Information

Imagine running into a big executive on an elevator and having the chance to use your elevator pitch with this potential investor. You tell the story of your business and go into detail about the ways in which your startup can help out the company that the investor works for.

The investor loves the things that your startup can do in order to help their business. Unfortunately, you neglect to provide your contact information before the elevator doors opened. You had a massive investor on the line and you let them get away because you failed to give them your name, phone number, or email address.

If you want to learn how to pitch to investors in a successful way then you need to always remember to include your contact information. Make sure that you provide things like business cards and website URLs as a way to allow potential investors to contact you and learn more about your business.

Create Pitches for All Occasions

Having a pitch for multiple different situations and occasions will allow you to be prepared no matter where you are or what you’re doing. Some business pitches happen in a formal meeting in a typical conference room filled with high-level executives. Others take place in an elevator, at an airport, or even at the gym.

Make sure that you have different pitches and templates to work with that match the situation that you find yourself in. The best approach is to make sure that you have at least three different pitches available to you at any given moment. You’ll want an elevator pitch, a business pitch that lasts 10 minutes, and a business pitch that lasts a full hour.

It is a wise move to create pitch decks for your ten-minute and one-hour business pitches. These pitch decks are a perfect solution for longer business pitches because they allow you to stay on track and they hold the attention of the investors that you’re talking with.

Practice

Practice makes perfect, and that old adage holds true when it comes to learning how to pitch to investors. Knowing what to say is one thing, but you also need to work on your delivery of the content that you want to share. You can’t get better at your delivery without practicing.

The goal is to have a comfortable and confident delivery, so make sure that you have a strong but relaxed tone during your presentation. If you’re worried about forgetting something then you should look at the option of jotting down a small script that you can follow.

You can also practice your elevator pitch or business pitch in front of a mirror to see your mannerisms and hone your delivery. Once you’re ready for a bigger challenge you can practice your elevator pitch on friends and family members.

Be Confident

In order to learn how to pitch your idea to investors, you need to have a certain level of confidence. If you’re not confident in yourself or your business then why should investors be? They’re looking at investing thousands or even millions of dollars with your company, but they won’t consider it if you can’t deliver your pitch with confidence.

Using breathing techniques is a great way to help you with your confidence because it is a great way to soothe your nerves. You can also read directly from slides or note cards if you’re presenting your business pitch in a formal setting. That is a great approach to combat a racing mind that might forget some important details.

You’ll be more confident when you implement these breathing techniques and use note cards, which shows potential investors that they can trust you to come through and provide value for them.

Be Respectful

In addition to having confidence during your business pitch to investors, you also need to remain respectful at all times. Odds are that you’ll get questions about your business and the ways that you operate. You need to avoid becoming defensive when these questions start happening.

Most investors are overcautious since there is a ton of money at stake with the investment. They need to evaluate your pitch and your business to determine whether you’re worth their time and money.

Make sure that you listen to their concerns and questions carefully, and remain respectful and empathetic throughout the process. You should also consider using Entrapeer to help you with your pitches.

Follow Up

Once you’ve made your business pitch to investors, it is always a good move to follow up with them within 24 hours. You’ll give the investors the chance to add any additional comments, questions, or concerns based on what they learned from your business pitch.

Giving them a short phone call or shooting them an email is a great way to remind these big investors about you and your business. You’ll have a better chance of making an impression on them and staying in their heads. It also signals to these investors that you’re serious about your business, which might make them more likely to invest and work with you.

Now You Know How to Pitch to Investors

Learning how to pitch to investors is a big move in the direction of growing your business and becoming a power in your industry. Make sure that you have three different types of business pitch templates ready to go in your mind, and make sure that your presentation is filled with confidence. You should also follow up with the investors within 24 hours of the presentation to stay fresh in their minds.

For more helpful and fun articles like this one, make sure you check out our blog.

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