For a start up to win the heart of an intending investor to invest into the business, there are some indispensable elemental ingredients that must be contained in the pitch deck to win the investment slot.
Introduction
In your pitch deck, always start by introducing yourself and your company.
Executive summary
This is a quick overview of your idea, background and experience. This overview should provide clarity on the rest of the pitch to come and on your business strategy.
Problem
State the problem that you have identified to make it clear that it provides an opportunity to generate revenue if it can be exploited profitably. Explain the opportunity clearly by using diagrams and data to back up your argument. Always remember that your audience do not have the same insight into this problem.
Solution
Use this section to showcase your product and its various highlights. Use highlights without going into excruciating details. People just want to know what it does, not how it performs its magic.
Monetisation model
This is a crucial section of the pitch deck as this is where you explain the economics of your business structure to the investors. Again, many entrepreneurs have developed amazing new technologies but have not yet figured out how they intend to make money out of it. The economics of the business needs to include your operating structure, distribution channels, gross margins and importantly, who is your paying customer.
Sales
Linked to your monetisation model is your sales strategy. This should indicate the strategies to acquire and serve the current and potential customers of your product. State your marketing mix, and the various sales channel you are using and are planning to use.
Also include a section on what has worked and where your plans did not work out as intended to share with the audience that you are aware of your shortcomings and successes.
The Operational Environment
A brief overview of the macroeconomic environment will show that you have considered the broader situations so include sections on the political, economic, financial and the operating environments. This should also include a piece on trends facing your particular industry.
Importantly, no matter how revolutionary your idea, you will have competitors in your industry sector. This is a section where you convince your investors that you’ve done your homework and you know about your competitors. List your competitors and include their positioning, strengths, weaknesses and opportunities.
Management team
Show them how qualified, experienced, and dedicated your management team is and how far you are planning to go with them. This should include all your key stakeholders such as the operational management team, directors, and other shareholders or investors, if any.
Forecasts
Remember that your investors are deciding to buy into your company with the objective to generate a return on their investment. State your plans for future sales growths and expenses and expansion opportunities. This should be a transition into your call to action.
Call to Action
This is what you expect from your audience and is a vital part of the pitch that many entrepreneurs omit. Explain to your audience what you expect from them, and how you plan to use those funds.