nvbc perfecting your investor pitch 2011

Perfecting Your Pitch

Presentation begins at 7pm

DShore@StirlingMercantile.com 604 484-0070 x 2001

David Shore

davidshore

WIN

COMMUNICATION

PRESENTATION

About Stirling Mercantile

- PERFECTING YOUR PITCH -

Divestitures

M&A Advisory

ExpansionCapital

FairnessOpinions

Early-StageFinance

FAIRNESS OPINIONSDirector comfort & legal protection from independent, expert valuation

EXPANSION CAPITALMultiple industry

experienceSeasoned corporate

financiers

EARLY-STAGE FINANCING

Full-service approach throughout process

Aligned interests likely to secure funding

DIVESTITURESCorporate financier involvementcan improve price, simplify process

M&A ADVISORYSage advice in times of need or growth opportunity

.

About Stirling Mercantile

- PERFECTING YOUR PITCH -

Divestitures

M&A Advisory

ExpansionCapital

FairnessOpinions

Early-StageFinance

FAIRNESS OPINIONSDirector comfort & legal protection from independent, expert valuation

EXPANSION CAPITALMultiple industry

experienceSeasoned corporate

financiers

EARLY-STAGE FINANCING

Full-service approach throughout process

Aligned interests likely to secure funding

DIVESTITURESCorporate financier involvementcan improve price, simplify process

M&A ADVISORYSage advice in times of need or growth opportunity

.

Early - Stage Financing

- PERFECTING YOUR PITCH -

Tell Me What You Do

We sell [hardware/software]

that helps [our target

market]

to [save money or make

money] - PERFECTING YOUR PITCH -

Descriptions – Strangeloop Networks

BadStrangeloop Networks builds technology which reduces roundtrips, eliminates View State and drastically reduces application turns in web applications. The technology works in ASP.NET and Web Services.

WinnerStrangeloop Networks sells web optimization technology that accelerates E-Commerce sites, making our customers more money through a higher conversion rate.

- PERFECTING YOUR PITCH -

Descriptions – Energy Aware 2006

BadEnergy Aware Technology is a developer of demand response technology that helps reduce end user electricity demands in smart grid applications so utilities can keep their electricity supplies within their customer demand levels.

WinnerEnergy Aware Technology sells home energy displays to electric utilities to help their residential consumers better understand the way they use energy so they can reduce their electricity waste and save money.

- PERFECTING YOUR PITCH -

Descriptions – RFind - 2006

Bad Winner

- PERFECTING YOUR PITCH -

RFind develops a low cost system using wireless electronic (RFID) tags that help manufacturers locate their assets and free up resources to save on costs of storage.

RFind’s communication technology uses trilateral targeting algorithms to enable RTLS Gateways and proprietary Gateposts to monitor chokepoint & ingress/egress points for real-time wireless asset location.

COMMUNICATI

ON

Textual Presentations

Graphical Presentations

Textual Presentations

- PERFECTING YOUR PITCH -

Graphic Presentations

- PERFECTING YOUR PITCH -

Pricing : A Science and an ArtTYPE OF INVESTOR

Issue Aftermarket

INSTITUTION UNDERWRITE BUY

RETAIL BUY HOLD

STAGS BUY SELL

- PERFECTING YOUR PITCH -

The Secrets of Superb Public Speaking – John Miers 2009

What was the title of the previous slide?

- PERFECTING YOUR PITCH -

Pricing : A Science and an ArtTYPE OF INVESTOR

Issue Aftermarket

INSTITUTION UNDERWRITE BUY

RETAIL BUY HOLD

STAGS BUY SELL

- PERFECTING YOUR PITCH -

The Secrets of Superb Public Speaking – John Miers 2009

Seating

- PERFECTING YOUR PITCH -

Both Sides of the Table

Demo

- PERFECTING YOUR PITCH -

Eye Contact

- PERFECTING YOUR PITCH -

Follow up

- PERFECTING YOUR PITCH -

• A short email that night• Answer open questions and

tasks• Lead into next steps

PRESENTATION

Slides

- PERFECTING YOUR PITCH -

1. Company Description

2. Team 3. Problem or Need4. Solution/Demo5. Value Proposition6. Addressable

Market7. Competition

8. Sales and Marketing Strategy

9. Revenue Model10.Projections11. Roadmap12.Summary13.Contact Information14.Appendix

10 seconds to 2 minutes each

1

Presentation to:

Date and time

Snapshot

$2m for an active board seat

2

Team John, CEO

• Former ABC, XYZ

Jim, CTO, Founder• Former ABC, PQR

VP Marketing • Identified

David, Board Member• DEF, PQR

.

3

Industry Problem

Revenue is dropping

Expenses are rising

Customers are leaving

4

Our Solution

5

“This should save us $100 per employee per year”

Mr. Big, CEO of Target Customer

Addressable Market

$Xb Overall

$XXXm

$XXm

6

Demo

Competitive Position

Comp

Speed

Functionality

7

Comp

Big Old Co

Nimble Co

Sales and Marketing Strategy

Pricing strategy

Target markets

Channels or partners

Current funnel

8

ProjectionsProjected Income Statement Analysis($000's)

Year 1 Year 2 Year 3 Year 4 Year 5

Net New Members (000s) 3 21 115 332 612Cumulative Members (000s) 3 24 139 470 1,082Growth 908% 587% 339% 230%

Gross Revenues 68 100% 607 100% 4,309 100% 17,826 100% 46,684 100%

Growth 891% 710% 414% 262%

Direct Operating Expenses 29 42% 255 42% 1,810 42% 7,487 42% 19,607 42%

Gross Profit 39 58% 352 58% 2,499 58% 10,339 58% 27,077 58%

Growth 891% 710% 414% 262%

Selling, General and Administrative 1,040 1528% 1,140 188% 2,571 60% 9,269 52% 21,942 47%

Growth 110% 226% 361% 237%

EBITDA -1,001 -1470% -788 -130% -72 -2% 1,070 6% 5,135 11%

9

Projections

10

Road Map

11

Year 1 2 3 4 5

Early Adopters

Crossing the Chasm

Mainstream Growth

Design

Beta, one sector

Full Launch

IP RoadmapFunding Roadmap

ExitRevenueRoadMap

today

Alpha

Seed, Angel$1.2m

F, F & E$0.3m

Series A$4m

Series B>$10mExpan-sion

• Team

• Market opp

• Timing

13

Summary

Appendix

14

• IP Summary

• Development Roadmap

• Market Segments

• Use Case – Primary Markets

• Use Case – Secondary Markets

• SWAT Analysis

• Positioning Detail

• Channel Detail

• Pricing Detail

• Market Trends

• Tech Trends

• Proforma HR

• Cap Table

• Uses of Capital

Avoid Saying…

• ‘Our projections are conservative’

• ‘We have no competition’

• ‘We have a first mover

advantage’• ‘We only need to capture x% of

the market share’.D - PERFECTING YOUR PITCH -

.

COMMUNICATION

PRESENTATION

WIN

Thanks

- PERFECTING YOUR PITCH -

This is on http://www.slideshare.net/davidshore and www.newventuresbc.com for future reference

Tell me what you do

We sell [hardware/software]

that helps [our target

market]

to [save money or make

money] - PERFECTING YOUR PITCH -