Creating a pitch deck is an essential part of building a startup company. Whether you are hunting for investment funding or want journalists to notice your company, a pitch deck is a succinct way of making your elevator pitch in a timely manner. Outsiders don’t want to listen to you blather on about your company; they want the facts front-and-center so they can form their own impression of your business. If you want to ensure your pitch deck gets noticed, following are the five crucial components your deck needs to make sure your pitch doesn’t go wrong.
If your company isn’t addressing a major pain point, your addressable market is significantly reduced. Investors need to know you have a massive audience to target if they hope to recoup their investment. Most savvy investors don’t just want to get their initial investment back; they want to recoup anywhere from 2X-10X their original funding amount. The bigger your pain point is, the better their chances are of hitting a home run with your company. Make sure you spotlight the pain point you are solving near the beginning of your pitch deck to snag investor attention.
Anyone can launch a startup these days. If you want your company to get noticed, it is imperative you clearly define your business model. Just because a product or service is popular, that doesn’t mean it is going to generate revenue. You don’t want to continually raise investor funding just to keep your company running; you need to know in advance how you will accelerate revenue at the same time you are accelerating growth. Your pitch deck needs to explain your business model and account for revenue roadblocks you might encounter as your business scales.
Social media networking and a post on Hacker News is not a go-to-market plan. Investors want to know how you will acquire new users and what your acquisition costs will be. You can only pay for Twitter/Facebook ads for so long; you eventually need to have a plan to grow your business that doesn’t include massive CPC costs. If your pitch deck spotlights a solid user acquisition plan, investors just might sit up and take notice.
If your pitch deck doesn’t include your metrics to-date, you might as well not even bother approaching investors. Even if you are in alpha/beta testing stage, you can still offer metrics to investors. How many people do you have on your waiting list? How have you funded your project to-date? Where have you spent cash and what has your ROI been on those expenditures? Investors want to know you understand the importance of tracking all data related to your startup. Look no further than an episode of Shark Tank to see that startup teams who don’t know their numbers don’t get funded.
Chances are good you’re not the only startup addressing the same pain point. Your pitch deck needs to clearly define how you are different from your competitors. It isn’t always the first-to-market that succeeds; it is often company that builds a better solution that wins. If your deck doesn’t define your differences, investors just might fund your competition instead.
Understanding the components of a convincing elevator pitch can be the difference between wasting an investor’s time and securing funding for your company. Honing your deck allows you to impress angel investors and venture capitalists while improving your ability to defend your company.
Will you be updating your pitch deck to ensure the above-listed components are present?