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Investor Presentation Tips


How to give Successful Presentation to Investors

First of all when you are preparing to present your business to investors try to really understand investors in general - how investors think and how investors make decisions. This is the most important tip you need. In addition it is good to know the people you will presenting to, so the more you know about them the better and more effective your investor presentation will be.

You need to be aware that different people see opportunities and assess opportunities based on their backgrounds and experience. Every investor is different in a way however they all like good numbers. Some investors want to own at least 15-20% of your business while others have no limitations. Some investors invest in many businesses and try to diversify their risk and there are also investors who are willing to invest big money in only a few businesses they believe in. However, investors manage a portfolio of investments and they can invest less or more in your business depending on your business case, model and strategy. Investors have to understand your business model and strategy and they make decisions based on different criteria. For example, some investors will invest simply because they trust your management team so even if you have an average business plan they will still invest in your business. Some investors will put their money only in the businesses where they know and trust the owners or management. Try to understand what type of investors you are working with by asking questions you should assess how conservative they are and what type of investments they make.

Building trust is important when dealing with investors. Would you invest in something you do not trust and understand? If you do not know the investors personally try to work with people who know them and get referred. It is very different when someone has recommended you compared to going on your own without any references. In building trust with investors it is always a good idea to link your business case with your past success or show some progress you have done so far with business preparation and starting your business. Sometimes explaining what you have been told by potential customers you already have talked to can give you huge advantage. Pitch to Impress: Impress your investors. Build a winning business plan. Nobody is excited with average plans and businesses. Everyone is looking for good opportunities and everyone is excited to be sold on a good business idea. It's all about money and numbers so your financial business plan is critical. Also pay attention how you are going to present the management team section of your business plan. The management team presentation can make a big difference. This shows who will execute your business plan. You can have the best plan in the world but do you really have good players who can make it happen? Show growth potential and show that you know how to scale your business in the future and try to use examples, cases and data to support your assumptions and decisions. This builds trust with investors.




 

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