The Business Plan,
Slide Deck
Elevator Pitch
&
other riveting documents
Jim Poage
President
Startech International
What I Really Want to
Emphasize is CREDIBILITY
Credibility
The Purpose of the Business
Plan was to Establish Credibility
Business Strategies
Product Development
Sales & Marketing
Financial
Others
Management in sync
(Equity Funding World)
Sell the venture
Due Diligence
Building Credibility
The BP Supposedly “Proved”
an Attractive Investment
Business Plan
1. What is the Technology?
2. What real Problem does
it solve
3. How big is the Market?
4. Who is the
Management Team?
5. Is this a good Deal?
We’re not in Kansas Anymore
The Internet floods Investors
with deals
Investors have less time
per potential deal
A Picture = 1,000 Words
Powerpoint trumps Word
If you can’t explain it in
15 minutes, NEXT
A Pitch is easier to
customize for an audience
A Pitch is easier to
Stepwise refine
So What Do we Do?
Credibility
A Written
CreateBusiness
A FamilyPlan
of
Establishes
Captured Credibility
Business Strategies
Product
Development
Product
Slide Deck
Development
Sales & Marketing
The
Financial
Investor
Business
Others
Sales &
Marketing
Deck
Presentation
Management in sync
Financial
Spreadsheets
Models
(Equity Funding World)
Sell the venture
Business
Model
Due Diligence
Slide Deck
Building Credibility
Technology
Slide Deck
The Investor Presentation is Key
•
•
•
•
Single most important aspect of fund raising
Play to your audience
Be respectful of time
Business attire
• No Proprietary Warnings
• Objectives:
– Not to close the deal
– Clarity of Business Model
– Invitation to ‘talk’
– Build investor
confidence in you
Know the Dance Card
•
•
•
•
Introductions: X minutes
Presentation: 20 minutes
Q&A: 20 minutes
Investor discussion: 20 minutes
– You may or may not be in the room
• Timekeeper may be present
– YOU are the timekeeper
– YOU pace the meeting
– If the Finish is important,
Make sure you get there
Your Content is Critical
•
•
•
•
•
•
The problem?
Product/Service
Value proposition
Market
Competition
Competitive
advantage
• Differentiators
•
•
•
•
•
•
•
Management team
Revenue model
Business model
Funding request
Uses of funding
Funding milestones
Pre-money cap table
Content Timing
Yours to Make Impact
• Every deal is different
• It’s your message and your deal
• However,
– Management
– Technology
– Market
– Financials
The Technology is
NOT the Answer
Detailed description of the problem
Set up the Value Proposition
What is the solution
5th grader rule
Product Description
FeatureFunctionBenefit
Intellectual Property
State of Development
Barriers to entry
(Market) Size Matters
Market Need
Market Size
Competition
Direct & Indirect
Differentiators
Pricing Strategy
Sales Strategy and process
Revenue sources
The Business Model
Your Management Team
Can Make or Break the Deal
Who is on the team
Domain Expertise
Entrepreneurial Experience
Board of Advisors
You MUST Offer an
Attractive Investment
 Pro Forma P&L – 3-5 years
 Assumptions driving the numbers
 20X N5






Pro Forma Balance Sheet
Cap table
Funding Request
Pro Forma Cash Flow
The ‘Deal’ and Liquidity Events
Use of Funds
 Integrated timeline
The Integrated Timeline
Paints the $ and Time Picture
Development
Alpha
Beta
Sales & Marketing
Hire Sales
Cash
$20
Investment
$150
$110
$15
$350
Rev. 1.0
Rev. 2.0
Sign 1st Distr
$205
1st Sale
Continued Sales
$120
$90
$135
The Pitch is a
Well Orchestrated Performance
•
•
•
•
Show passion
Show confidence
Demonstrate knowledge
Minimize hyperbole
– Name dropping
• It’s a business deal
not an invention
• Presentation Team members
• Consistent team attire
Credibility is on the Line
Help Yourself Achieve it
• Graphics, color, & photo’s
• No hard to read slides
– 10-20-30 rule
• Do not read the slides
– Watch the audience
•
•
•
•
•
Well choreographed
Numbers all ‘foot’
Copies for audience
“Show & Tell”
Practice timing
Q & A is an Opportunity
Don’t Squander it
• Short direct answers
• No ‘piling on’
• Backup slides
– Cheat sheet
• Curve balls
– May be asked for a term sheet
– Avoid technical discussions
– Don’t get defensive or angry
This is a Marathon
Prepare for it
• Do a post mortem on each
presentation given
• Build an inventory of slides
• Be prepared to give many
presentations
• Remember you are only looking
for a few investors
• Expect to hear:
‘stay in touch’
Recommended Documents
(In order of importance)
1. Investor Presentation
2. Executive Summary
3. Elevator Speech
4. One Page Summary
5. Customer Brochure
6. Business Plan
An Elevator Pitch is Required
• Origins in “.com” period
around 2000
• Short pitch which tells
potential investor
about the deal
• Objective is to get
an invite to
present the deal
• Probably the investors
‘first look’
Have Multiple Versions
for Different Situations
• Early ‘hook’
• Brief description of the product or
service
• Revenue model
• Management team
• Competition
• Competitive advantage
• Call to action
Practice
What really happens
1. Skim through the
Slides
2. Look at the
financials
Is there a ‘hook’?
How much &
20X N 5?
$ Revenue line
Can they pull this off?
3. Look at the
Management Team
If you are not there: Perhaps 90 seconds
Make Your Titles
Tell the Story
Goal:
Make your titles answer the question:
So what?
The Turbo Entabulator
https://www.youtube.com/watch?v=yjXTOlsE8k0