top 10 reasons startups fail + how to pitch and get funded

Reasons Startups Fail#DrexelSiliconValley

Small Wages.Bitter Cold,

Long Months of Complete Darkness.

Men WanedFor Hazardous

Journey.

Constant Danger,

Ernest Shackelton

Safe ReturnDoubtful.

Honour & RecognitionIn Case of Success.

By Endurance, We Conquer!

The Wrong Team1

Marketing-Heavy

Tech-Heavy1

Ideators

InnovatorsStarters

GrowersExiters

The Single Founder

2

Finding the Right Co-FounderFinding the Right Co-FounderWhat you can do

Public speaking

Press releases

Copywriting

Editing

Social Media

Email marketing

Google Analytics

Write plans

Graphic design

What you like to do

X

X

X

X

X

Missing skill-sets

ProgrammingSEOSEMFinancialsHRBiz Dev…

Wrong Legal Team!

3

Trust Your Gut!!!

Interviewing attorneys…• Work with your industry before?• How much time for you?• Who else if they are not available?• Raised rounds of financing?• If so, create/read a Capitalization Table?• Compensation packages for new hires?• IP protection?• Global expansion?• Experience with exits – M&As, IPO?

Boiling the Ocean4

Not Talking to Customers5

Include Customers in your R&D

AskListenImplementRewardThank

Stealth to Long..

6

Slow to Launch…

6

Stuck on Original Idea7

Taking “Dumb Money”

8

8

Smart money brings… Business experience Management experience Maturity Contacts Mentorship Challenge …

Founder-itis!

9

Spending too much

money

10

How to avoid these mistakes?

Mentors, advisers Continued education Proper planning Always tracking Being agile Adjusting…

PitchPlanTrack

All in 1 Easy to Use Tool

Track Monthly Burn Rate

Deliver Powerful Pitches to Investors

in 10 Minutes

Purpose of the 10 Minute Pitch:

Deliver APerformance

Rehearse!Rehearse!Rehearse!

AssumptionsWritten a Business Plan ✓

Conducted Due Diligence ✓ Team, Financials, Investors, Market,

Competition, IP, Trends …

Have Mentors/Advisers ✓

Build CredibilityHit the “stage” strong!Share your “rock star” talentsShare “been there done that”Utilize the “cool factor”Spark their interest…

Tell A Story∧Compelling

Address the Problem1 Min

Your Solutionto the Problem

Describe the uniqueness of your product

1.5 Mins

OurTraction

Your SuccessesMoney raisedBarriers overcomeKey investorsKey hiresSales madePartnershipsLOIsPatentsMediaEtc…

.5 min

Target Markets

1st2nd3rd4th5th

Beta Market, Addressable Market, Market Segments, % of Revenue/Market, Potential Market...

Highlight any Key Research1 min

Target Markets1st Harvard/Stanford

2nd Ivy League

3rd Colleges/Univs

4th 14 – 34 yrs old Businesses…5thFastest growing demographic

Women 55+ years old

Acquiring Your Customers?Including the cost to acquire a

customer

.5 min

Your CompetitionClearly communicate your Value Proposition

1 min

Due Diligence on Competition

City/LocalFocus

No CharacterLimitations

Free toPost

Can IncludeImages

SocialMedia

FriendlyEasy to search

Local Newspaper

✪

✪

✪ ✪ ✪ ✪ ✪

Your Revenue Model

How you will make $$$Who it will come fromMarket validation…

1 min

Your $ ProjectionsInclude Key AssumptionsResearch to back it upExplain inflection points

1 min

Assumptions are King!

.5 min

Know the Metrics for Your Model

What to track if SaaS business model:•Content Marketing (uniques, TOS, bounce rates, open rates, CTRs, CVR…)•CAC = Customer Acquisition Costs•LTV = Lifetime Value ($)•Churn Rate (the lower the better)•Engagement - Referral Rates - Cancellation Reasons

Your Team

1 min

Your Funding Needs

.5 min

Brittany’s sister is

having a baby and I

need $5 to buy her a

nice gift.

Your Exit StrategyInclude ComparablesEstimated Timeline to Exit

.5 min

End on High Note

Remind them why you’re a Rock Star!!

Free e-Book

Questions?

@iamcarolina