If you had only 1 minute and 1 slide to describe your startup to investors, what would you do?

(This was my answer to a question on Quora)

communicate

I would use three lines on that slide:

  • Explain the concept in 1 line
  • Introduce the team behind it (that’s the key reason for them to consider investing in it)
  • Tell them how much money you need and what you will do with it

Example (portal name is real… numbers are for illustration purpose only)

  • Tune Patrol is an online platform for independent bands to upload, share and sell their music to a community of music lovers – Tune Patrol 
  • The team is a great mix of established musicians, music industry professionals, experienced entrepreneurs and professionals
  • We are raising USD 500,000 – this will last us 18 months and will help us get to 1 million users and 500+ bands across India

 

Why do I suggest you cover the three points mentioned above

  • Concept: Because if you describe your business well, most smart investors will be able to make a quick assessment of the size of the market potential, the opportunity (e.g. competitive environment, need gaps, etc.) and the dynamics of the business case (e.g. can we make money, is there an exit, etc.)
  • Team: Because if the answers to the above question are positive, then the quality of the team is the one key thing that the investors are going to bet on. If the team is not strong, passionate, practical, aspirational, aggressive, etc. then no amount of market potential or strong business case will convince investors to invest
  • The ask: Because they need to know what you are asking for and and where it will take you
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Author: Prajakt Raut

Prajakt Raut is the founder of Applyifi.com, and author of the book for startups - ‘Starting Up & Fund Raising’ Prajakt personal goal in life is to encourage and assist a 100,000 people to become entrepreneurs. _____________ Prajakt is the founder of Applyifi - an online platform that provides startups a 36-point scorecard and assessment report on the venture's investment readiness [www.applyifi.com], and helps them improve their odds of getting funded. Prajakt is also the founding partner of The Growth Labs, a platform where growth-stage companies get sharp, incisive advice from senior professionals and experienced entrepreneurs. [www.thegrowthlabs.in] Before starting Applyifi, Prajakt was the head of operations at IAN, founding member of a leading incubator, and the Asia-Director for TiE (2004 - 2007). Previously Prajakt had co-founded Orange Cross, a healthcare services company, and was part of the founding team member of Idealake Technologies. While in college Prajakt had founded a printing business and has spent over 10 years working in leading advertising agencies. Prajakt’s book, ‘Starting Up & Fund Raising’, helps startups understand an investor’s perspective, and helps them improve their odds of getting funded. The book also helps entrepreneurs understand the building blocks of a business.

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