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BUILDING EXCITEMENTWhat To Know When Pitching Your First VC

@MarkRuddock

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If you remember only one thing from this presentation ...

This is how you want a VC to see you

This is NOT how you want a VC to see you

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Venture Capitalists are People Too ...

VC’S WANT TO UNCOVER GEMS

They want to be excited, but they are by their nature also

very sceptical.

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THERE IS POWER IN RELATIONSHIPS

The value of your company is not always intuitively self

evident to a VC. Get to know your prospective VCs

early ... get on their radar.

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A REFERRAL IS WORTH 1,000 COLD CALLS

VCs typically see far more pitches than they can

absorb. They depend on a network of trusted advisors to

filter deals for them.

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IT’S ALL ABOUT A COMPELLING

STORY

You want to make a clear, credible and compelling

case, generating excitement and desire ... leaving them

wanting more.

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DO YOUR HOMEWORK

What spaces, companies do they invest in. Do they have a

particular bias (stage, sector). Is their interest genuine or just

a fishing expedition?

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KEEP IT SIMPLE STUPID

The initial pitch is about drawing them in. Cover the

key elements but don’t drown them with details.

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KNOW YOUR STUFF

Even though the story will be short and sweet, you want to leave them with the impression

that you really know your stuff.

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LISTEN AND DON’T BE DEFENSIVE

Be professional, listen carefully to questions, don’t

get defensive but be prepared to effectively make your case when necessary.

They are testing you ...

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SHOW TRACTION

It’s always better to be able to demonstrate that what you

are saying is grounded in reality. Traction is very

compelling.

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UNDERSTAND THE LIKELY EXIT SCENARIO

VCs are not likely to invest unless they can think of a

number of credible reasons why a set of existing

companies would want to buy yours.

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VCS BACK PEOPLE

Ideas without execution are only a dream. And dreams don’t provide real returns.

Great companies are built by exceptional people. Prove

you are one.

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The anatomy of a pitch...

Who are you and what problem are

you are solving

How compelling is the opportunity

(risk/reward)

Whats so special about your team and

your approach

How much do you need and why

Anatomy of a Pitch

What makes you unique

What you need to know

Who are your customers and

what’s their buying rationale

What are your key financial projections,

metrics, etc.

Are there comparable

metrics (exits and operating)

Do you understand your strengths and

weaknesses

What’s your core go to market strategy

Why do we want to work with you in

particular

Who are your competitors and

why

DON’T FORGET TO CLARIFY NEXT

STEPS

Try to ascertain their interest at the end of the pitch and

identify next steps. Don’t leave without them.

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If you remember only one thing from this presentation ...

EXCITEMENTBuild it. Grow it. Don’t ever lose it.

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@MarkRuddockwww.MarkRuddock.com

Thanks and enjoy the

ride!