What’s the most common characteristic of entrepreneurs? Probably the ability to have more passion than most people have and more courage to make their ides a reality. The passion is an essential element when pitching to angel investors. A presentation full of data that has no heart and no soul won’t keep the audience engaged and interested in the business idea. Since entrepreneurs are, most of the times, passionate people who believe they can make a difference in their industry, being able to tell a business’ story in an engaging way shouldn’t be a problem. But, unfortunately, entrepreneurs focus too much on trying to impress their investors that they forget to have fun and to remember the reason they decided to launch their business. Being able to tell an engaging but credible story of a business’ idea is a guarantee for funding, so here’s our tips for pitching to angel investors:
Have A Great Story
As we already mentioned, telling stories will allow an entrepreneur to keep the audience engaged during the pitch. Being able to tell an inspirational story or presenting the business in a way the investors can relate to it will make them more interested in the business. Angel investors make financial investments, but they also love to be mentors. Mentoring passionate people who want to transform their dreams into reality is always on the plus side for angel investors. The business story should include the reasons the business was opened, what problem it solves in the market and what makes it unique.
Have A Great Business Plan
The story is what makes people interested, but the business plan show them that the business is not only a dream, but it can also be a successful reality if it is funded. In the first part of the pitch angel investors get a chance to learn about the business idea. In the second part it is best for entrepreneur to prove that their idea has potential. The best way to demonstrate this is to talk about the business’ place in the market, about the strategy and the business models. Numbers are great here as longs as they support the story and they prove the business can solve an actual problem in its market.
Have A Great Team
Angel investors know that management can make or break a business. Convincing them that the management team is passionate and willing to work hard for the business is one thing, but convincing them the team has talented specialists that can work together to make the business successful is the key to be funded as a start-up.
The best way to pitch to angel investors is to have a presentation that incorporates the story of the business’ idea combined with statistics and data to prove the business have a lot of potential to grow in its industry. Besides these two things, proving that the business’ management is a team that can be able to meet the business’ objectives is always a plus. Passion, leadership and a great business plan are always on the angel investors’ list of things businesses need to have in order for them to make an investment.