microsoft powerpoint business plan pitch compatibility mode989

7/31/2019 Microsoft Powerpoint Business Plan Pitch Compatibility Mode989

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From the Oklahoma Commercialization Model

How To Create a Sellable Business Plan PresentationHow To Create a Sellable Business Plan Presentation

2007 i2E, Inc.


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Table of Contents

1) Title Slide 10) Financial Projections Chart

2) Market Problem

3) Your Solution

4) Business Model & Sales

11) Investment Strategy & Use of Funds

12) Company Milestones

13) Milestones Past & Future Business & Financial

5) Market Demand

6) Competition

7) Growth Opportunity

14) Valuation Chart

15) Risk Assessment

16) Liquidity

8) Management Team

9) Financial Projections

17) Rules for the Pitch

18) Key Questions to Answer

Resources:

2007 i2E, Inc.

Angel Capital Education Foundation

Tech Coast Angels

i2E Team


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Title Slide

Share the company history and why you are there.Remember you have little more than one minute for each

slide. Use this slide to position the company to the audience.

Key Points to Include:

Company name and corporate graphics.

describing what the company does (theelevator pitch).

2007 i2E, Inc.

.


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Market Problem

Clearly communicate the "problem" in the market and lay the.

Provide two examples that will relate to the unfair advantagethat your solution has in the next slide.


How do you know that there is a problem or

Explain your knowledge of the market needs. What is the problem costing the market?

2007 i2E, Inc.

This will allow you to set up ROI for you solutionin the next slide.


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Your Solution

Ease the pain. Describe the essence of your product or

technology and how it solves the current problem in themarketplace.

Summarize your solution emphasizing the

uniqueness of your product or technology. Position your solution within the customers needsWhat is the problem costing the market?

Outline the ROI for the customers and the time ittakes to recoup their investment.

The protection on your product or solution. 2007 i2E, Inc.


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Business Model and Sales

generates revenue for the business. The more simplistic thebusiness model the better.


Demonstrate how you generate revenue. Describe how you reach initial customers.

2007 i2E, Inc.


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Market Demand

Communicate why someone would want to pay for yourso ut on. e mar et eman s ou e commun cate n a

quantifiable and verifiable manner.

Quantify the estimated market size including

customers and otential sales and se ments. Identify the key attributes of the target customers. Quantify the number of prospective customers.

and why its growing.

2007 i2E, Inc.


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Competition

Use a comparison guide of competitors. Its key to include thelarge competitors as well as the smaller innovative companies

in the market.

Describe your strongest barriers to competitionincludin our knowled e of lar e com etitors andsmaller innovative companies.

Identify what it will take to get customers tochan e what the are usin toda .

Dont underestimate or forget to mention the betterfunded and better known competitors.

2007 i2E, Inc.


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Growth Opportunity

Use your research and knowledge of the market to illustratethe nature of the market growth. Is it in decline, stable or

growing?


the broad market.

Illustrate through research that the market is.

Show the urgency of the product or service need. Demonstrate the company growth potential after

. Specify what is needed to achieve positive cashflow.

2007 i2E, Inc.


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Management Team

Utilize concise bullet points to describe the key experience ofthe management team.

Experience in target market, growing sales, building teams

and managing capital are a must.


CEO: Prior entrepreneurial experience and/or years in. CTO or CMO: Track record in core product or

technology area, knowledge of the target markets and

relationships with industry. CFO: Prior experience including with acquisitions andother exit events.

Others to include: BODand BOA highlighting their

strateg c va ue. Be sure to include who is full-time and part-time.

2007 i2E, Inc.


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Financial Projections

Focus on the bottom line, amount of capital needed to reach. .

Your projections must be based on the assumptionsenerated from the market stud and anal sis.

Key Points You Must Be Able to Explain:

Immediate market adoption and penetration.rama c or oc ey s c grow .

Margins beyond the norm. Long periods of negative cash flow.

2007 i2E, Inc.


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Latest

Actual Projected Projected Projected Projected Projected

Financials Year 1 Year 2 Year 3 Year 4 Year 5

Revenues 128 1,200 5,400 13,600 24,300 36,000

Sold 82 650 2,200 5,200 9,100 13,300

Gross Profit 46 550 3,200 8,400 15,200 22,700

Gross Profit % 35.9% 45.8% 59.3% 61.8% 62.6% 63.1%

Operations/G&A 151 540 1,780 3,600 6,300 8,100

Income/Loss bef.

, , , ,

Inc./Loss bef. Tax% -82.0% 0.8% 26.3% 35.3% 36.6% 40.6%

Be prepared to explain logic and justification of the projected numbers and margins. Be prepared to explain unit costs, sales costs, and G & A costs.


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Investment Strategy and Uses of Funds

Outline the amounts of capital needed to achieve profitability.Refer to the Capital Lifecycle and split your capital needs intot e appropr ate roun s w t ey m estones to e comp ete .

Simply outline how you plan to use the raised capital. Use of- .

Key Points to Explain:

Include a Capitalization Table.en y e ma or uses o un s or eac roun

prior to acquisition or alternative exit scenario.

Identify current burn rate.

i2E managed funds and sources of capital investin pre-money valuation ranges of $1M-$3M. 2007 i2E, Inc.


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Amount of Seed

- -

Provide Funding Amounts Sought and Valuation information Similar to this:

Valuation Sought Valuation Investors Investors Investors Investors

Seed Round 1,250,000 500,000 1,750,000 1,250,000 500,000

71.4% 28.6%

VC Round 1 3,000,000 1,500,000 4,500,000 2,142,857 857,143 1,500,000

47.6% 19.0% 33.3%

VC Round 2 4 500 000 2 000 000 6 500 000 2 142 857 857 143 1 500 000 2 000 000

33.0% 13.2% 23.1% 30.8%

VC Round 3

Identify the major uses of funds at each round. Describe he size and com osi ion of our curren "burn-ra e".

Oklahoma Seed Capital Fund's target for investing is a pre-moneyvaluation of $1.0MM to $3.0MM.

Expect tough questioning in proportion to any valuation, particularly if it exceeds this range.


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Company Milestones

Its important to provide a milestone chart that illustrates pastand future business and financial accom lishments.

The chart should directly relate to the use of funds and theinvestment strategy material.


Company formation. Technology or product achievements. Past and future rounds of capital. Break-even and cash flow.

Exit.

2007 i2E, Inc.

2006 2007 2008 2009


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-Mar

-July

-Dec

2006

-Mar

-July

-Dec

2007

-Mar

-July

-Dec

2008

-Mar

-July

-Dec

2009Milestones- Past and FutureBusiness and Financial

Company Formed

Jan

Ma

r

July

Jan

Ma

r

July

Jan

Ma

r

July

Jan

Ma

r

July

similar to the one below, anddescribe the use of the funds:

$250K Proof-of-conceptProduct Prototype

$400K Seed Round

Field tests

$500K Angel Round

1st Production Ship

Positive Cash Flow

$2M VC Round

50M Annualized Revenue

IPO/Acquisition


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Risk Assessment

Its important to analyze your business opportunity withrespect to the key areas of risk and share the assessment

.

Include the areas of risk that keep you troubled and segment

execution risk.


Be open and candid. Sales-Cycle or adoption rate. Cash-flows. Personnel.

Competition. Costs.

2007 i2E, Inc.


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Liquidity

There are two primary positive options for an exit or liquidityevent, an IPO or an acquisition. Its important to understand

proposition for the investors in your analysis.

Acquisition Identif at least two of the most likel bu ers and wh thewould be interested.

Describe recent comparable transactions and value.

List any relationships that are currently in place with.

IPO Provide recent examples of successful comparable

offerin s.

Be prepared to explain why your opportunity will be an IPOcandidate in several years.

2007 i2E, Inc.


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Rules for the Pitch

Allow a reference to arrange the meeting. Show up early and only bring key personnel. Be prepared to answer questions.

Business attire only, no flip-flops. Be enthusiastic but not annoying.

Use appropriate social skills, no off-color jokes.

Practice your presentation skills, limit use of "um.e now e gea e o e su ec presen e .

Be open to audience recommendations.

Target the right audience: partners, angels and VC's. Use simple pictures, graphics and avoid extremely abbreviated text. Don't read to the audience.

, .

Let the audience know how your business makes money.

2007 i2E, Inc.


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Key Questions You Should Be Prepared to Answer

What problem does your company solve? What is the market potential for your company's product or service?

Who is the target user of the product or service offering?

Why would someone purchase your product or service? Who are your competitors?

What gives your company a competitive advantage?

Does our com an have ro rietar intellectual ro ert ?

How do you plan to acquire and keep customers? What are the primary risks facing your business opportunity?

When will the company reach break even?

What are the exit scenarios for the founders and investors?

What is the planned Use of Funds"?

What is it about your management team that makes it uniquely capableof executing on this business plan?

2007 i2E, Inc.


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Commercialization Specialists

Contact one of these individuals for assistance in

creatin our business lan itch.

Name Email

John Campbell [email protected]

Tom Francis [email protected]

.

James Randall [email protected]

Jim Rogers [email protected]

David Thomison [email protected]

Tom Walker [email protected]

2007 i2E Inc

microsoft powerpoint business plan pitch compatibility mode989

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