If you’re intent on a minimalist life, and you’ve decided that early success at entrepreneurship is the path that you wish to take, then you’re going to need investment, most likely. Presenting to investors is a challenging skill to develop. In this article, we discuss helpful guidelines for presenting your product or idea to investors.
When entering investor discussions keep in mind that presenting as well as showing the product to investors is a challenging part that entrepreneurs need to tackle during the fundraising process.
Typically the presentation happens once you have shared your pitch deck. Perhaps one that you created from scratch or one that you got from polishing a pitch deck template.
As you can imagine, you have planned and practiced your presentation countless times and reviewed the slides over and over. Now, it is time to present your demo.
- Exude confidence: When you stand tall, dress the part, and speak with confidence, it will be easier to convince investors why you and your product are worth it. Make yourself memorable in the presentation so they won’t forget about you after 5 more pitches of other startups.
- Introductions: Introduce yourself, your team, and the product to the audience. Let them know why they should not only invest in the product but in you too. What makes you qualified, and how can you make them money?
- Elevator pitch: Your opening lines should be a 15-30 second pitch on what you and your product can do. Get them hooked, so they want to hear the rest of the demo presentation. If you don’t get them here, you might have lost your chances of an investment before you even began. What’s unique about it? How is it 10x better?
- Storytime: Tell a captivating story about your product and the consumer. Your product demonstration is not just about the product’s features but how the consumer will want to buy it and use it. This is especially important if your investors are not likely users and customers of your product.
- Demo: Show how it works for users. What does it do? What is the number one thing it does so well? Have backups in case it fails.
- Execution: Discuss current investors, business development ideas, the philosophy behind the company, and what the future looks like.
- Q&A: Ask if anyone has questions about the product, competition, or financial data.
- Follow up: After completing the demo presentation, follow with a conversation with the potential investors. They might not have understood everything you spoke about or missed vital takeaways. Reinforce the value of your product and thank them for their time. Let them know how they can buy if applicable
- Call to action: The most critical part of the presentation is how you will get them to open their checkbooks? Provide them with the next step to invest in you and your startup.
Don’t be afraid to make mistakes. If you go into the demo presentation with fears of making a mistake, you end up making more of them unknowingly. Add humor to break down the awkward start and make your message memorable. You might even consider sharing a meaningful story to connect with them personally. Most of all, prioritize learning.
What Doesn’t Work in a Demo Presentation
Even experienced entrepreneurs can get these things wrong. Avoiding these will help you execute the perfect demo pitch to investors.
Firstly, don’t spend too much time getting to the demo. It is easy to fall into the trap of rambling on about the things you are passionate about and your big vision. People will start getting impatient. Remember they are not emotionally invested in your product yet, so go straight to introductions and demo.
Turn off all the notifications on your devices. Your audience might find it annoying seeing your Facebook messages and notifications from email and other social media outlets coming in. These messages popping up on the screen can be embarrassing and distracting.
Software technicalities are frustrating during a demo presentation. You lose your audience’s attention right away and can throw you off your game. Don’t let your confidence sink because your device or software is malfunctioning. Test the demo product multiple times beforehand and right before your scheduled time to present your pitch. Also, having a backup plan is essential for saving the presentation if there is a problem with the main equipment.
You might lose your audience the moment you begin to read from your slides or written notes. Bringing notes is good to help your mind stay on track and ensuring the demo presentation flows. Your slides and notes should only have a few short sentences on them, and the rest must come from your own knowledge of the product and engaging in the room.
How Did the Demo Presentation Go?
If your demo presentation did or didn’t go well, you should reflect on the details, so you know how to improve or repeat. Here’s what you can ask yourself and record:
- Was the meeting organized?
- What questions did the investors ask that I didn’t know the answer to?
- Was the material presented effectively?
- Did the investors feel individually heard?
- Did the meeting have an agenda, or was it open?
- How well did everyone communicate throughout the meeting?
- Do you think you presented your goals effectively?
- Did everyone understand precisely what your startup is and where you can take it?
Answering these questions after evaluating the meeting results can help you change your strategies if the outcome was not desired. The more you improve on your pitch, the greater your chances are of getting what you want.
A Demo Presentation that Sells
Doing a demo presentation can make or break your chances of locking down that investment. Make sure you come prepared and ready to sell, even if you aren’t a public speaker. Practice your presentation with those around you, ask for constructive criticism, and rework your pitch repeatedly until you reach perfection.
Investors prefer to see a prototype and use it or see a video of how it works. Don’t present the prototype if it is not performing well. It may do more harm than good.
Present your demo with confidence and ensure investors know who you are and what you represent. You are well on your way to getting the investment you need to kick off your business.