Most start-up founders don’t have experience raising money or dealing with investors. So, what should founders talk about when they first meet investors to seek funding? Start-up founders usually have 5-8 minutes to demonstrate they have the vision to guide their company to success, as well as the drive and attention to detail needed to execute their plan. Here’s what founders should talk about to impress investors.
Selling the Vision
1. Succinctly explain the product
2. Describe the market being addressed
3. Offer an origin story. What sparked the idea for the product? Why did the founder choose to build it?
4. Demonstrate product-market fit
5. Explain the monetization path
6. Demonstrate traction
7. Describe the team currently working on the startup
8. Display industry knowledge and expertis.
9. Tell investors how much money will be raised and what the funds will be used for
10. Demonstrate the tenacity, knowledge and leadership skills needed to turn the startup into a success
Founders need to know that they’re not always the smartest people in the room. Founders, just because they started the company and lived with it for years doesn’t mean they know more about the industry than the investor standing in front of him.
Sven Franssen