ARTHICKSDEV

Creating a Pitch Deck That Investors Can't Ignored

04/11/2022

How to craft a stellar pitch deck

Odds are good that you’re part of a team. (You can be an individual founder, but it’s still important to keep a team in mind.) So, let’s talk about how you can use narrative to get your whole startup on board with a shared story. The best way to tell this story is with a pitch deck.

A pitch deck is a presentation used by startups to give investors a summary of their business. The deck is typically around 10-15 slides long and should be well-organized and easy to follow. It should also be visually appealing, so investors are more likely to pay attention.

The goal of a pitch deck is to get potential investors interested in your business and to convince them to give you funding. To do this, your deck should be clear, concise, and persuasive. It should tell a story about your business, from the problem you’re solving to the solution you’re offering. And it should include data that backs up your claims.

If you are going to present your company and product in a pitch deck, what should the slides look like? How can you use narrative structure to get your whole team on board with a shared story that investors will love?

Keep reading to find out how to craft a pitch deck. Here are some questions to ask yourself for a start:

 

These are all great stories that investors love.

But there’s more…your investors will have their own stories too. A VC firm or angel investor are also people with motivations, goals, and dreams of their own. It is really important that they see themselves as part of your startup story—that they think “This vision is what I want to support. This entrepreneur thinks like me. I want in on this deal!”

1. What problem are you solving?

The most important slide in your deck is the problem/solution slide, which should be placed as slide 1. This is because you need to get your audience immediately interested in hearing more. Once they’ve seen the problem and they’re excited about the solution, they will read on to learn more details.

The first order of business is to paint a picture of the problem you are solving. You can use facts and figures if you have them, but it’s also helpful to put a human face on things: How does this problem affect their lives? How does it feel? What does it look like? If possible, compare yourself with other solutions that are currently available—and why those don’t work well enough—before introducing your own solution as a better option.

2. Be realistic about your funding needs.

You need to understand the difference between a seed round and a growth round. A seed round is designed to fund your startup while you build the product. It’s the financing round for raising initial capital for starting your business. This initial capital usually comes from friends, family, venture capitalists, angel investors, and the founder’s own assets.

A growth round is designed to fund your company's marketing and sales efforts after the product has been released. By the time you reach the growth stage, your company has most likely figured out its initial product-market fit (PMF) and are generating baseline revenues. 

When you're raising funds at different stages of your business, you'll have different needs for money. There is no one-size-fits-all solution, but understanding which stage you are in will help guide your funding decisions.

You don't want to ask for too little money because then you'll be stuck going back to investors down the road when you've burned through all of your cash with no progress made on launching or growing your business. Just as bad as asking for too little money, though, is asking for too much money. This can scare away potential investors who are unsure whether or not they can trust you with their hard earned dollars given how much capital it takes to get started.

3. Who's on your team?

There's a reason investors prioritize the team when making decisions about whether or not to back a company—it's because the team is everything.

The most qualified, experienced professionals aren't always destined for success. If they have trouble playing nice with one another, it won't matter how good they are at what they do.

Though investors are looking for a good fit between the team and your business plan, it's also important that you make sure your people are as invested in your company as you are. It might be difficult to gauge someone's emotional commitment during an interview process, but if you can tell that someone isn't passionate about joining your team, chances are it'll be an uphill battle once they're hired on.

4. Build a road map to success.

Now you've explained the problem, your solution, and the market opportunity at hand. You're in the home stretch!

To move on, investors need to know how you'll take advantage of all this great potential. They want to know three things: 

  1. What is your business model, and how do you plan to make money? 

  2. How will you differentiate yourself from the competition? 

  3. And what are the tangible benchmarks that you would like to see in 1 month? 3 months? 6 months?

By answering these questions for investors early on, before they ask them, it shows that you're confident in your approach. It also gives them a clear idea of how their investment will be spent and what they can expect moving forward.

5. How is your company different and better than anyone else's?

Make sure investors can relate to the pain points.

When crafting your pitch deck, you should not be focused on how to say everything right. Instead, focus on what you’re building and why investors should care about it.

The best way to get investors interested in what you’re building is to address the problems that they can relate to. So before getting into the solution, make sure you clearly state the pain points that are most relevant to your business and industry. You need to show investors that your company will be profitable based on the existing demand for your product or service. It’s also important to stay away from jargon as much as possible when describing the problem and solution so that investors aren't turned off by a bunch of technical details at this early stage.

You should keep your pitch deck short, simple, and focused on solving the problem with a clear call-to-action such as “contact us for more information” at the end of each slide. This structure helps you build interest in what you're building instead of how you build it, so that once the investors are interested, they'll eventually buy.

Do you need help crafting your company pitch deck? ArtHicksDev can help you through every step and assist you with growing your business, too. Contact me or Text me at (574) 387-3224 to learn more about our services and how we can help you stay ahead of the curve in today's economy. I can get you started in the right direction with your new business venture. Whether it's developing a marketing strategy, getting funding, finding the right employees, or preparing for a business presentation - we've got you covered at ArtHicksDev.

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