The most important part of a startup pitch is being able to deliver it confidently. However, this can seem impossible if you feel shaky about your public speaking skills.
Your startup pitch is everything and knowing how to pitch a startup is essential to your success. It doesn’t matter how innovative, well thought-out or potentially profitable your product idea is–if you can’t attract investors to your startup, your business will face serious difficulty scaling up and achieving wide-spread success.
There are 5 key tips to follow in order to maximize your chance of winning over investors when pitching your startup.
- Focus on your purpose
Connect with why you are doing this, and focus on that purpose. Start out with a brief explanation of your business idea that immediately conveys your vision and purpose. Explain the problem that your startup is attempting to solve and why your business offers the solution. Outline how your business plans to generate revenue. Above all, avoid getting bogged down in details that distract from your message.
- Tell your startup story
- Stay focused
In telling your story, however, don’t lose sight of the focus of your pitch. Respecting your investors’ valuable time should always be in the front of your mind. When developing your pitch, make sure that its core elements are clearly developed and emphasized to avoid getting lost in irrelevant tangents.
- Convey the unique value of your startup’s product or service
One key component of winning investors is showing them why your product or service is different from anything else available on the market. It’s not enough that your startup can solve a problem; it needs to be able to solve a specific problem in a way that no other business can match, and you need to be able to demonstrate that in your pitch. Highlighting any patents or licenses that your product has or any significant purchase orders or distribution deals can help support your claims.
- Be clear on who your target audience is and why
As much as investors want to know what your product is, they also need to understand who will be using your product. Using information about your target market to paint a picture of your ideal customer will help convince investors that there’s enough of a demand for your startup’s product to justify their involvement.
Whether your startup focuses on a service or a product, one thing is certain, if you want to make money then you need to have a target audience. Use demographic data and psychographic features to pinpoint your target audience. Explain why these individuals are your target audience. Use relevant data points to back up your claims and show the profitability of targeting the specific group.