Discover more from The O’Daily by Kathryn O'Day
Show Me The Money: #1 Tip For Pitching Investors
What’s the #1 improvement founders can make to their pitch?
Talk MORE about money.
Talk about it early. Talk about it often.
This is especially true if you’re working in an industry or on a problem that most VCs don’t know or understand.
What do I mean?
A pitch equals 1000 O’Daily words.
Here are two amazing examples of pitches that #nailedit!
Big Money Pitch #1
Kara Smith Brown gives my favorite example.**
Here’s the pitch:
It’s a product used by half of the world’s population.
For 40 years of their life.
7 days per month.
5-10 times per day.
No innovation in 50 years.
Every investor’s brain rn: HOW CAN I BE A PART OF THAT CASH COW????
What’s the product?
Dollar signs win over nervous laughter.
(Yes, women investors understand this problem but talking periods in a biz meeting is not the norm.)
Look at all the period products companies that have sprung up in the past 5 years. Someone figured out how to TALK ABOUT THE MONEY.
Kara experimentally pitched this to a group of men. All were leaning in and nodding after hearing the economics of the business.
Explain The Money to capture your audience.
**NOTE: Kara doesn’t even own a period products company. She is the CEO of a supply chain lead gen firm. She is simply incredible at business and pitching.
Another great insight from Kara: talk more about revenue!!
Big Money Pitch #2
She opened by spending 2 minutes explaining the Instagram thrift market and how much money is being made every year in this space.
Here’s her slide:
I don’t know much about Insta thrifting. As a Millennial geezer, I stick to Goodwill and ThredUp.
Without the opening TAM/SAM/SOM slide showing billions of dollars, I might have thought it was small potatoes and started brainstorming bigger markets for a talented entrepreneur like Valeria.
Hundreds of millions of dollars grabbed my attention.
She then flowed into more great data points:
6 figure revenue within a year
while being a student
It was a fantastic pitch that led with The Money. It made all the difference!
How To Talk About “The Money”
“The Money” is:
How big this business can get, quantified in $$
A hook to get investors engaged
“The Money” is not:
How much you want to raise (mention at the end but not a focus)
TAM/SAM/SOM with unreasonable assumptions
A single slide (should be incorporated throughout)
Translate your company into the universal language of business → 💰DOLLARS💰
Grab the attention of an investor by showcasing how big the opportunity is early and often!
Want more tips on pitching, fundraising, and what investors care about?
Dos and Don’ts of TAM/SAM/SOM slides
How to talk about The Money when you’re pre-revenue
What to know about the hearts & souls of investors (yes, we do have them 😉)
2 foolproof ways to “wow” in an investor meeting
What’s been most effective when you’re pitching? Any fun or creative ways to talk about The Money that have worked well for you?