Most startup investors have done what you want to do.

They are cashed out entrepreneurs.

They built businesses and sold them for a profit.

Most see dozens of investment opportunities and invest inonly a few--you need to be in a very select group to befunded.

By the end of your presentation, you want them toconclude that, against the odds and despite whateverhappens, you are

capable of,

committed to and

have a plan for making money for them.

This presentation tells you how to do that.

1

A venture with the five “M”s will get funded.

Magic – the technology or new business concept.

Massive Market – an addressable market in the billions.

Management – the team to pull it off, or even better hasbefore.

Marketing – the ability to convince others to give youmoney for the product or service.

2

This talk was derived from a TED talk by David Rose.

His advice on pitching is some of the best I have seen.

He has been on both sides of the table.

He has raised millions, invested millions.

3

This is first for a reason.

Investors look for expect and demand absolute andcomplete honesty.

Few entrepreneurs appreciate how crucial it is or how highthe bar.

Even using the wrong tense is fatal.

For instance, if you have not accomplished a task, youmust use the future tense.

4

Demonstrate extraordinary enthusiasm; matched withcompetence and realism.

The best sports coaches--the ones who turn underdog,losing teams into winners—have this characteristic.

Study them.

Emulate them.

Think, act and live like them.

But be inspiring nor tyranical.

5

The ideal start up team has executed multiple startups.

Most have been part of successes and failures.

Virtually all venture capital startup money goes to secondand third time entrepreneurs.

YouTube’s founders were cashed out veterans of PayPal

That’s the reality of this business.

Consider adding someone to your team who has beenthere done it.

6

Investors want to see competence in the businesssegment.

Especially if you are going into an established space, be anexpert.

If you are creating a space, you have some leeway.

7

Creating a company requires a wide range of skills-everything you need to build, grow and run a company:

Product development

Manufacturing,

Marketing & sales

Finance and administration.

No one has them all, so you need to attract, organizeand inspire people who, in the aggregate, have themall.

Big company guys often have trouble transitioning tosmall ones.

--At small companies, they have to do more with less.

--There is no one to blame, it is hard to hide failure.

8

Successful companies are not solo acts.

They are led by skilled and inspiring visionaries.

Think Oprah – a hugely talented celebrity but also askilled business woman.

Investors want to see that you can

• Identify and cover your weaknesses,

• Have the vision and charisma to attract other A-players, and

• Build the team.

And yes only A-players get funded.

9

Can you persevere through the valley of death?

Do you have the level of commitment demonstrated bychampion marathon runners and the Special Forces?

Most successful companies are founded by people whohave failed once--or at least seen it up close andpainful.

10

Do you have a plan to change the world…or a least abusiness segment?

And, do you have a reasonable plan for how to do so?

With a 90 percent fail rate, the winners have to be big:20-to-one payoffs for the investors.

This won’t happen with a lifestyle business--two orthree restaurants; it has to be a new model that is thebasis for a chain of dozens or preferably hundreds ofthem, like McDonalds.

11

Investors will quickly dismiss as hopelessly naive anyfounder who does not have a healthy paranoia or atleast respect for the competition.

In both cases here we have one man and one tank.Which individual is more likely to prevail?

If you solving a big problem in a big market, then youhave probably a dozen competitors and several thathave developed technology that with goodmanagement, marketing and money can triumph–sometimes over superior technology, perhapseven…yours.

12

Investors want to know if you can learn from other businessbuilders.

Do you

1. listen carefully and learn from others?

2. have a genuine thirst for relevant knowledge?

3. have an open mind?

4. self-educate?

If a potential investor asks a particularly challenging, skepticalquestion, treat it as an opportunity to learn as much as anopportunity to convince.

Don’t win a debate and lose the funding.

State relevant facts that will move the doubter to the desiredconclusion.

Even better, discuss the risk in more detail with them anddescribe your plan to overcome it.

Acknowledge the real risks.

Establish a partnership; gain their confidence win the money.

13

Hook them with the first sentence or loose them for ever.

VCs & angels have short attention spans.

Demonstrate; don’t assert.

Loose the adjectives; cite numbers & verifiable facts &accomplishments.

Do you want your audience listening to you or reading thehandout—give it to them afterwards.

If they don’t reach for it with interest—you failed.

Investors are looking for the another Facebook or at least aYouTube.

They want to believe, they are yours to lose. Don’t.

They want: the Next Big Thing.

You want: the Next Meeting.

14

Slide Decks:

• 10 slides

• 20 minutes

• 30 point type minimum

Practice to perfection

Be able to give the presentation without notes or slides.

Look at individuals not the audience.

Now for a contrast.

15

Really bad presentations did not stop one person frombecoming a success.

But do you have a concept and team as big as Microsoftand the drive and skill of Bill Gates?

Now, who gave the most compelling presentations? Theones people anticipated and stood in line for?

16

Notice anything missing?

Great entrepreneurs, can hold audience attention with thenarrative.

Their mastery of the space, the product and the dream iscompelling.

They don’t distract the audience with tedious text.

The presentation conveys the vision.

It makes your dream their dream.

That is the first step in building the business and realizingyour dream.

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