The Powerful Pitch: Preparing Entrepreneurs to Pitch to Investors By Ray Smilor, PhD Schumacher...
Transcript of The Powerful Pitch: Preparing Entrepreneurs to Pitch to Investors By Ray Smilor, PhD Schumacher...
The Powerful Pitch:Preparing Entrepreneurs to Pitch to Investors
By
Ray Smilor, PhDSchumacher Fellow in Innovation and Technology
Professor of Professional PracticeNeeley School of BusinessTexas Christian University
Agenda
I. SUCCESs ModelII. Elevator PitchIII. Content of the PitchIV. Delivery of the Pitch
I. SUCCESs Model
Why do some ideas stick in our minds?
I. SUCCESs Model
S – simple
* Core of idea
I. SUCCESs Model
S – simpleU – unexpected
* Get attention
I. SUCCESs Model
S – simpleU – unexpectedC – concreteness
* Specific images
I. SUCCESs Model
S – simpleU – unexpectedC – concretenessC – credibility
* Causes people to believe
I. SUCCESs Model
S – simpleU – unexpectedC – concretenessC – credibilityE – emotional
* Feeling
I. SUCCESs Model
S – simpleU – unexpectedC – concretenessC – credibilityE – emotionalSs – stories
* Compelling connection
II. Elevator Pitch
II. Elevator Pitch
• Purpose: Convey essence of business by time elevator reaches 20th floor
II. Elevator Pitch
• Purpose: Convey essence of business by time elevator reaches 20th floor
• Time: 120 seconds – 2 minutes
II. Elevator Pitch
• Purpose: Convey essence of business by time elevator reaches 20th floor
• Time: 120 seconds – 2 minutes• Expectation: Grab attention and get follow-up meeting
II. Elevator Pitch
• Purpose: Convey essence of business by time elevator reaches 20th floor
• Time: 120 seconds – 2 minutes• Expectation: Grab attention and get follow-up meeting• Requirements: Must be concise, focused, effective
II. Elevator Pitch
• Purpose: Convey essence of business by time elevator reaches 20th floor
• Time: 120 seconds – 2 minutes• Expectation: Grab attention and get follow-up meeting• Requirements: Must be concise, focused, effective• Essential to success
II. Elevator Pitch
2 key questions from investors:
1. Why is this an opportunity?
2. Why should I bet on you?
III. Content of the Pitch1. The problem – customer-focused
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate6. The revenue model – explain how you will make money
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate6. The revenue model – explain how you will make money7. Operations – say how you will produce your product/deliver your service
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate6. The revenue model – explain how you will make money7. Operations – say how you will produce your product/deliver your service8. The team – demonstrate credibility
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate6. The revenue model – explain how you will make money7. Operations – say how you will produce your product/deliver your service8. The team – demonstrate credibility9. The finances – describe what you have raised and what you need
III. Content of the Pitch1. The problem – customer-focused2. The solution – solve a problem/meet a need3. The market – describe customer concretely4. The competition – acknowledge 5. Competitive advantage – tell what is hard for others to duplicate6. The revenue model – explain how you will make money7. Operations – say how you will produce your product/deliver your service8. The team – demonstrate credibility9. The finances – describe what you have raised and what you need10. The close – make strong closing by reiterating key points
III. Content of the Pitch
3 Things NEVER to say:
III. Content of the Pitch
3 Things NEVER to say:
– All I need is 1% of the market.
III. Content of the Pitch
3 Things NEVER to say:
– All I need is 1% of the market.– There is no competition.
III. Content of the Pitch
3 Things NEVER to say:
– All I need is 1% of the market.– There is no competition.– Everyone will buy.
IV. Delivery of the Pitch
Keep it simple:
– Essence of business– Speak in plain terms– Avoid industry/technical jargon
IV. Delivery of the Pitch
Say the unexpected:
– Pose unusual question– Present a stunning statistic– State an interesting analogy
IV. Delivery of the Pitch
Be concrete:
– Point to human actions– Provide sensory information– Avoid clichés
IV. Delivery of the Pitch
Demonstrate credibility:
– Investors bet on people– Explain capabilities– Present team’s credentials
IV. Delivery of the Pitch
Show emotion:
– Let interest/passion show– Be genuine/authentic– Reflect own values
IV. Delivery of the Pitch
Tell a story:
– Explain how you got into business– Indicate why product/service is important– Communicate benefit to customers
The Powerful Pitch –
Pitch to everyone, everywhere at any time!