After submitting a business plan to an investor, you should schedule time to give a formal presentation. This initial meeting typically takes place in the investor's offices, usually lasts one to two hours, and can include a varying number of individuals. It is important for you to prepare appropriately for this presentation, which can be a pivotal step in your future with a given investor. You can find information about the elements of a venture presentation in Creating Your Pitch. Also, you should be sure to review the essential guidelines for giving a private investor presentation.
Essential Guidelines
Know in advance for how long the investor plans to meet
with you.
Know in advance who will participate in the meeting and
bring the appropriate number of presentations, business plans, business cards,
etc.
Coordinate in advance any audiovisual needs that you
have for your presentation. It is best to plan to have your presentation loaded
on a laptop that can be connected easily to an LCD projector.
Be flexible. While the potential investor will expect
you to come prepared with a formal presentation (usually in Powerpoint), you
should be ready to speak about any element of your business including the sales
and marketing, financial information, technology, operations, etc. It is best to
set aside at least half of the meeting for questions and discussion and be
prepared to field questions during the course of your
presentation.
Do your homework. Research thoroughly both the firm and
the individuals with whom you are meeting and keep up-to-date on financial
happenings, relevant industry news, and current events affecting the firm. It is
usually not too difficult to obtain general information about the fund, its
investment focus and history, and the professional backgrounds of the investment
professionals. (Read more about this in Targeting The Right
Investor.)
Discuss process and timing. The timing and nature of
each investment process differs so you should understand how the investor
expects to proceed and plan appropriately.
Follow up. Immediately following the meeting, thank the
investor for his/her time and respond to any questions or requests for materials
that the s/he had.
Get feedback. Be sure to inquire about the investor's
interest in moving forward in the investment process with your company. If s/he
is interested, you can expect a quick clear expression of interest (e.g., a
company visit). If s/he is not interested, however, you should be sure to get
feedback on your presentation and your company. When the investor is giving you
feedback, be open-minded and receptive so that you are able to maintain him/her
as a solid contact and so that you receive frank, constructive advice that can
aid you in your next presentation.
Presentation Dos and Don'ts (2:08)
Investor Darryl Wash offers dos and don'ts for the investor presentation.
Importance of the Management Team (0:54)
Attorney Linda Mintz advises that the management team is the most critical factor to an investor when deciding to fund a company.
