Perfecting the Pitch

Stephen AuvilExecutive Vice President Operations & Programs

Maryland Technology Development Corporation (TEDCO)sauvil@tedco.md

mailto:sauvil@tedco.md

Overview• Types of pitches• Communication basics• Purpose of a pitch• The pitch itself

• What to cover• Suggestions

• Examples• Venture pitch slide deck• Questions

Types of Pitches

Type of Pitch Slides DurationIntroduction N 5 – 10 SecondsElevator Pitch N 30 – 90 SecondsStandard Pitch – Competition Y 5 – 10 MinutesVenture Pitch - Investment Y 20 Minutes

Level of Detail

Types of Pitches

• Get investment• Get a job• Get a promotion• Get a sale• Etc.

Purpose of the Pitch

Communication Basics

SENDER RECEIVERCode DecodeMessage

Feedback

7%38%

55%

WORDSVOCAL

VISUAL

Communication: Written vs Verbal

Written(Executive Summary)

Verbal(Elevator Pitch)

Only Words Words & Everything ElseUnidirectional Bidirectional

Static Dynamic

Goal of an Elevator Pitch

• Questions/continued conversation• An action

• It is called a “Pitch” because you are selling something

• IT IS NOT:

• A detailed description of your product/company

• An infomercial – product features• A justification for investment

Icing versus Cake

IDEA

PITCH

Good Bad

Good

Bad

Goal

Potential

Dangerous

Hopeless

What should be covered?• Start with your Name (clearly)

• One sentence overview

• Problem – its significance

• Solution – its uniqueness

• Business opportunity

• End with an ask

What should be covered?

• All from your customer’s perspective

• How does your customer “Win” – get value?

• The “So What” Test

Suggestions for Pitches

Attention Span

• Are you still paying attention???

• 8 Seconds – Average Adult Attention Span

The Hook

• Something attention-getting in first 8 seconds

• One sentence overview

• Your pitch should be relatable to the audience – they need to get it QUICK

• Fast facts

Keep it Simple

• Stay away from technology/product description

• Stay away from technology/product description [for emphasis]

• Rather, focus on the benefit of your product – what value it is to your customers

It’s More about How you Pitch• >90% is not the words• It’s about you – the company will change –

you won’t (as much)• Pace – not too fast, but energetic• Hand gestures• Facial expressions• Eye contact• Use microphone

Sound Bites• Name drop - partners• Awards/recognition• Customers/traction• Capital secured/investment

Be Specific

• Use numbers not generalities

• Avoid things like “Large market”, “Everyone [is our customer]”, etc.

• Gives the impression of being knowledgeable

Tell a Story

Practice, Practice, Practice

Watching a Pitch

Setting the Bar – with Examples

OneSole

CupAd

Hot Seat

Venture Pitch – Slide Deck

• Problem• Solution• Competitive advantage/IP• Market• Competition• Revenue Model• Go-to-market strategy• Financials/Financing needs• Team/Advisors• Summary

Version 1

The Basics

• 11 slides• 8 minutes (adjust as allowed)• Short bullets, no paragraphs, keep it simple!• Use consistent theme, font & color.• Include your logo on each slide• Do a final on-screen check• Goal – get to the next level!

Version 2

Slide 1: Title

• Company name• Your name, title, contact info.• Web site• Try to tell a short story about your venture

o For example, “You may be wondering why my Company is named NORA LLC”.

o For example, “Think of us as the EZPass of nutrition”.

Slide 2: Problem

• Describe the “pain” you are addressing.• Describe the “pain” in personal terms.• Quantify the “pain”.• Your goal is to create immediate audience buy-in!

Slide 3: Solution

• Explain how you will alleviate the “pain”.o What are you selling?o What is your value proposition?

• Articulate value proposition thru customer’s eyes.o Decrease your customer’s cost (be careful w/ labor)o Increase your customer’s saleso Increase the satisfaction of your customer’s customers

• Where you are in product development and what is needed• At this point, audience assumes technology works.

Slide 4: Business Model

• How will you make money?o Who pays?o Payment structure and is it aligned with the customer?o Reimbursement codes?

• What are your distribution channels?o Manufacturingo Inventoryo Warranty

• What are your gross margins?

Slide 5: Underlying “Magic”

• Describe the technology (“secret sauce”, “magic”, etc.) behind your product or service.

• How is your technology protected (patent, speed-to-market, continuous innovation, etc.).

• How was your technology acquired (license vs. in-house development)?

• How is your technology maintained?

Slide 6: Market & Sales

• Marketo Total market sizeo Addressable market size

• Validationo Market research to support customer need.o Don’t forget the “do nothing” alternative.

• How will you reach the customer?o Initial launcho Sales channelso Marketing

Slide 7: Competition

• Demonstrate that you know your competition

Your Company Competitor 1 Competitor 2

Installed Cost

Operating Cost

Speed

Waste

Safety

Slide 8: Projections

2017 2018 2019 2020 2021

Units 20 40 80 160 320

Revenues 100 200 400 800 1600

COGS (25) (50) (100) (200) (400)

Gross Margin 75 150 300 600 1200

SG&A (150) (200) (250) (300) (350)

R&D (100) 0 (500) 0 0

EBIT (175) (50) (450) 300 850

CAPEX (50) 0 0 (150) 0

Begin Cash 0 75 25 75 225

Investment 300 0 500 0 0

End Cash 75 25 75 225 1075

Slide 9: Milestones

• Where are you right now? What have you accomplished?• What does the near-term future look like?• What will you do with the $ you are trying to raise?• What other funding will you need? When?

Slide 10: Team

• Who are the key players?o Founderso Managemento Board of Directorso Board of Advisors (what do they do?)o Investors (if any)

• Are there any “rock stars” on the team?

Slide 11: Summary

• Summarize Investment Thesiso Technologyo Marketo Revenueo Total raise

• Contact information

Stephen AuvilExecutive Vice President Operations & Programs

Maryland Technology Development Corporation (TEDCO)sauvil@tedco.md

mailto:sauvil@tedco.md

Perfecting the PitchSlide Number 2Slide Number 3Slide Number 4Slide Number 5Slide Number 6Slide Number 7Slide Number 8Slide Number 9Slide Number 10Slide Number 11Slide Number 12Slide Number 13Slide Number 14Slide Number 15Slide Number 16Slide Number 17Slide Number 18Slide Number 19Slide Number 20Slide Number 21Slide Number 22The BasicsSlide 1: TitleSlide 2: ProblemSlide 3: SolutionSlide 4: Business ModelSlide 5: Underlying “Magic”Slide 6: Market & SalesSlide 7: CompetitionSlide 8: ProjectionsSlide 9: MilestonesSlide 10: TeamSlide 11: SummarySlide Number 35