In business, the first impressions are always important above all when these avocado to seek investors to find financing for your company.
The angel investors and investors of venture capital have very specific expectations about the presentation of projects, i.e., that moment where you try to sell your business plan to a potential investor. If this is the first time you do this process, you’ll need to be well prepared.
Take note of these three tips to help you make an effective presentation:
Not to give too much equity, too soon
Beware of divide and offer more than one third of your company in the first round of funding. Although tempted to give investors a greater percentage of your company in exchange for more money, do not do it. As your business grows, you will need to seek new investors and deliver more parts of your business. Remember to always think ahead.
Know your numbers
You’ll need to impress potential investors with your knowledge, inside and out, on the financial projections of your company. If you are intimidated by math, hire an expert to help you prepare. But when it’s time to introduce you to investors, you – the entrepreneur – must speak with confidence that your company will be profitable when you reach your point of balance. It determines exactly what is worth to your company and what the incomes that you expect to get are. It is recommended that you also present data on the market situation.
At the time of calculating the costs of your business, be sure to include a salary for yourself. Investors expect you to do it. There will likely be months when in reality you can not collect your wages, other costs as appear, but it is a point that you should consider and try to keep in mind. If you do not respect yourself enough to reward you for your work, the investors will not do it so.