Creating Winning Funding and Investment Pitches

Once you have an idea you want to explore, some of the first questions you ask are, “How do I fund this idea? How do I get the resources I need to make this idea work?”…and unless you are working with a bootstrap model, one way to source funds is by creating a pitch deck that can position you as the best idea in the room and adequately articulates a compelling story for investors.

Pitch decks are your opportunity to make a massive impact on your business journey, primarily because of their monetary implications. Creating a winning funding pitch deck means you spend less time prospecting for investors and more time speaking to the right investors. Therefore, it is a wise investment of your time.

Doing this for the first time can be mind-boggling because of the several details you must consider to create a winning pitch.

How to Create Winning Funding and Investment Pitches

1. Start with the Elevator Pitch

It’s not all the time you bump into an angel investor on an elevator. But, if today…right now, you bump into Jeff Bezos and you have only five minutes to sell your product, what will you say?

This is the time to get straight to the point.

Make sure to craft your elevator pitch to state:

• What the product is
• Why the product matters
• What the company stands for
• What makes the product unique
• Who the product is for

That’s all you need!

The idea is to convince the investor that your product is valuable to the market. It is never about the swag or the nice stuff but the value. Just make sure it is “awesome” enough to get even Jeff Bezos excited.

2. Present Your Business Case

Remember the first point? Keep it short and sweet. Your pitch deck is meant to convince the investor that you’ve found a problem you can solve and that your team is the right man for the job.

…problem

…solution

…market

…team

Those elements are what will help you make an excellent business case.

The Problem

Define what problem you are trying to solve, why the problem is worth solving and who you are solving it for. Don’t be sentimental about this part. Instead, explain to the investors with submissions from facts, experiments, and research. Focus on one problem you are trying to solve; however, in some cases, it can be more than one, like YouTube.

The Solution

Now, describe the solution you are bringing to this problem and why it matters. Your solution should not be ambiguous or “jargon-full.” Make it as simple as possible to help the investor understand your thought process and vision behind the solution. You can include sketches, screenshots, and prototypes to allow the investor to visualize the solution. This pitch deck from Mixpanel is an excellent example…two concise sentences, and they were able to raise $65M with it.

The Market Opportunity

It is one thing to have a problem and a fantastic solution; another is to have a market ready to take advantage of the solution. In addition, investors are more interested in seeing actual human interest in the product. Hence a significant part of your process is to evaluate your new product and find or even create? a realistic market that is big enough to sell the product.

The Team

Sometimes, the reason investor A will fund idea C, and not idea D is the team behind idea C.

You may think the team doesn’t matter, but investors often pay attention to the culture you have in your team, and they are quick to know what team will work better with them. Sometimes the idea may not go the way you want it to, but if you have the right team, you can prove that you have the right mix of varying skill sets that will help you scale every obstacle.

3. Present Your Laurels and Money Plans

Another essential part of your pitch deck is the financials and achievements. Again, it is an opportunity to share your plans for the future and showcase evidence of your progress.

The Financials

Prove to investors that you have realistic plans for the money you are asking for. These figures will give the investor an understanding of your expected growth and outcomes. Remember that it is better to under-promise and over-deliver. However, the projections should be safe and attractive enough for the investors.

Achievements

Showcase how much work your team has been up to and the progress you have made. Let the investor see what you have worked on, the lessons you’ve learned, and how it has helped you get stronger.

4. Nail the Visuals

When it comes to your pitch deck for funding opportunities, both content and design hold equal attention…because while you must make sure you have quality content, you must also use compelling design and formatting styles to make a good impression.

For instance,

• Rather than paragraphs, use bullet points to help the investor easily understand your content.
• Make good use of images, sketches, and other elements to make your presentation interactive and unique.

Critical Elements of a Winning Investment Pitch Deck

Regardless of how you approach your investment pitch, essential elements that must be in your pitch deck are:

1. Problem
2. Solution
3. Why now?/Value proposition
4. Market size/Go-to-Market Plan
5. Competition
6. Product
7. Business Model
8. Team
9. Financial
10. Fundraising
11. Current status, accomplishments to date, timeline, and use.

Learn how to develop holistic business models.

Do’s and Don’ts for a Winning Investment Pitch deck.

If you are working on a pitch deck for financing your idea for the first time, it is possible to make some errors, and sometimes, those mistakes could be detrimental to your entire project. See the image below for keep dos and don’ts to take note of for your next investment pitch deck.

Conclusion

Creating a winning funding and investment pitch is as important as creating a business plan or business model. It is a document that requires enough effort and time because you need the funding to accelerate growth in your business. As you write yours, pay attention to your story, the market, your milestones, and projections; present all of this with an attractive deck that will get your prospective investors compelled to read.

Are you in the business of doing good in your society? First, you should read our last article on fundamental questions you must ask before applying for your next social impact grant. Once you have those questions answered, then this article should be next in line so that you can create a badass pitch to win the grant you want.

P.S. look out for our free resource on grants every African startup should know!