One of the most nerve racking presentations entrepreneurs have to make is the elevator pitch.
You have a winning idea for a business and you want someone to give you money to make it happen. You’re convinced that your idea will work and you'll be on the path to millions. But there's a problem.
The problem is that venture capitalists and angel investors are hard to convince. Why? Because 99% of the pitches they hear sound like sure-fire ways to lose money!
As an entrepreneur, you have to perfect that elevator pitch. And if you want investors begging YOU to give YOU money, subscribe to the following tips:
1. Explain precisely what your business is within the first thirty seconds. Don't waste too much valuable time giving gobs of data, background and other info—doing this leaves investors confused and bored.
2. Show your investors who your target customers will be. Paint them a picture of who they are. Age. Sex. Hobbies. Income. Where they live. Everything.
3. Convince the investors why your customers are going to pay for your product or service.
4. Show them that competition you have will be left in the dust with your business ideas.
5. Persuade them that you are the expert and you are the ONE to make this happen.
6. Give your presentation with confidence and enthusiasm. Investors want the founder/CEO to be the ultimate salesperson; they want to see that you can win over the world of your dream—not just them. Think Steve Jobs.
7. Brief them that you have back up. Has Wal Mart agreed to distribute your new product? Has anybody else endorsed your product or service? Investors feel much more comfortable knowing you have an established player willing to back up the business.
8. Ask for a specific amount of money. Know the numbers. Investors love numbers.
9. Tell investors exactly how their money will be invested. Make sure you pitch them that investors will be the ones coming out big winners.
10. Be presentable. This may be a given but some entrepreneurs might not have a fashion sense. Dress well and act like you are the boss. Creating an air of strength tells them that you are a leader.