5 Things Entrepreneurs Should Do When Pitching to an Investor
Pitching your dream idea to an investor can be very intimidating! It can feel like you are up in front of the lion’s den. We have put together five simple steps for before the meeting, during and after.
Have a Fundraising Plan and Protect Your Idea
Firstly, don’t just go to any random investor and ask for funding. Do your research on investors within your industry and area. Networking will also help to build strong connections that can help you reach the funding you require. Make sure that you get any investor to sign a confidentiality agreement (also called a ‘Non-Disclosure Agreement’) before you share your secrets.
Tidy up your Business Plan and Financials
Make sure your business plan is clear and that you have everything required on the financial side. For example, make sure you have information on your profit and losses, your balance sheet, and a cash flow statement.
Put together your pitch and make sure to practice it over and over again. There is no maximum limit on the number of times you practice.
Ask for Feedback
Don’t get deterred if you receive a lot of “no’s” as these normally precede a “yes” so just persevere! When you do receive a ‘no’ ask for feedback from the investor so you can learn from the past and strengthen your weaker areas.
Don’t be the only one under the spotlight
Make sure you thoroughly evaluate your investors! When you sign a deal with them you will be working with them for many years and so it is a huge advantage if you like and trust them.
Check the Deal!
Before you sign anything, make sure you have read through it thoroughly. Make sure you are happy with what you shall be receiving and what you are giving for that funding.
