deliver a winning vc pitch
TRANSCRIPT
THE WINNING PITCH
March 2014
CRITERIA
• Management • Business plan / Investor deck • Compatible co-investors/ Cap Table • Compelling technology, product,
service or market position • Sustainable differentiation • Addressable market size • Investment structure and terms • Exit strategy
DOCUMENTS
• Executive summary
• Investor deck
• Pitch deck
• Detailed Financials
CAPTURE INTEREST QUICKLY!
DECK OBJECTIVE
• Do your homework
• Have a compelling story
• Documents evolve, listen
• It takes time
PITCH DECK
• 12 Slides
• 30 pt. Font
• 4 Bullets
• 10 Minutes
1. COVER
• Company name
• Company location
• Logo or graphic
• Tag line
2. COMPANY OVERVIEW
• Most important slide
• What does company do
• Unique, clear, crisp value proposition
3. TEAM
• Key members / unique qualifications
• Been there, done that team
• Deep industry expertise
• Board / advisors (if appropriate)
4. OPPORTUNITY
• Addressable market
• Aha! moment
• Problem (pain) that you are solving
5. SOLUTION
• Technology, product, service
• Proof of concept / MVP
• Delivery
6. GO TO MARKET STRATEGY
• Marketing and sales strategy
• Sales and distribution channels
• Focus on core competency
7. COMPETITIVE ADVANTAGE
• Barriers to entry
• Competition
• Sustainable advantage
8. BUSINESS MODEL
• How do you make money
• Who are your customers
• How do you know they will buy
9. FINANCIAL PROJECTIONS
• Historical plus 3-5 years
• Top line only (Revenue, COGS, G&A, M&S, S&B, NOI)
• Cash flow estimates 3-5 years
10. FUNDING
• $$ hard cash invested & by whom
• $$ being raised now and later
• Realistic pre-money valuation
• Plans for use of funding
11. EXIT STRATEGY
• How & when plan to exit
• Comparable transactions
• Multiples
12. SUMMARY
• Second most important slide
• Take away slide
• Solidify core value proposition
REMEMBER • Have a good story to tell
• Tell a good story
• You are competing for $$!
TIPS
• CEO is the only presenter
• Be passionate
• People can read the slides
• Use charts and pictures
• Anticipate Q&A
• NO gimmicks / NO animation
• No industry acronyms
• PowerPoint / PDF (no Mac)
• Don’t wing it
• Practice, Practice, Practice!
INVESTORS
• It is a marathon / many rounds
• Choose wisely
• Crowd funding vs Accredited
• Need for continued support
• Convertible Notes is really not a good vehicle
GOOD LUCK!
RICHARD WEISZ [email protected]
INVESTOR DECK VS. PITCH DECK PITCH DECK • Not stand alone
• 12 slides
• Team tombstones
• Top line financials
• Market opportunity flagged
• Product summary
• Top line milestones
INVESTMENT DECK • Stand alone document
• +20 slides
• Team bios
• Summary financials
• Addressable market defined
• Full product description
• Defined milestones
SAMPLE FINANCIALS 2012
Actual 2013
Actual 2014 Est 2015 2016 2017 2018
Revenue
COGS
Net Rev.
G&A
M&S
S&B
Total Exp.
NOI