SlideMagic Blog

To many, this might sound as an obvious question. “Hey, this deck is here to get my idea funded!” While this might be the ultimate goal of your presentation, it is usual to break down the process in its individual steps.

The objective of a short elevator-pitch-like-chat or coffee discussion is not to receive the investment, it is to get to the next meeting. And reaching that next stage involves intriguing your audience enough, maybe leaving out some of the tedious detail, while not forgetting to completely  nail that big elephant-in-the-room-issue (even if it means going into excruciating detail).

Venture capitalist Roelof Botha argues that startups should take off the polish when pitching him:

MB: What puts you off when looking at a startup for possible investment? RB: Unnecessary hyperbole and polish — I much prefer raw authenticity

At first reading, this might suggest to save yourself some time and stop investing in your investor presentation. But I think the opposite is true: good presentation design is actually all about taking off the polish and bringing the raw story out, rather than shining everything up.

Slides with bullet points in fluffy language full of buzz words are polished. Minimalistic, beautifully designed visuals are raw. And this applies to all types of presentations, not just investor pitches.

Some stories are really good but complicated to explain. Here, a well-designed slide deck can make a big impact.

Other stories are relatively easy to explain, but have a few big questions inside them. In these cases, effort is better spent on providing answers to the questions, rather than investing it in making the slide deck look and flow better.

If you have limited resources, choose where you are.

Some startups have a technology platform that can be used in multiple markets, and often the startup is not completely clear (yet) about how to prioritise them. In a first 20-minute investor pitch this creates a highly confusing story; an investor can only take in so much information in 20 minutes and probably will not buy that a 5 person startup can conquer all these markets (she is probably right). Here is a potential solution:

In the first 20 minute cold pitch:

• Set up your platform business situation
• Pitch 1 (maybe 2) markets properly (the most promising ones)
• Hint at further upside in the other markets (1 quick slide)

If that went well, elaborate more in follow-on meetings about the other opportunities and provide a discussion framework about possible prioritisation, and you can even ask the potential investor for advice.

Do not try to spring all 10 stories in the first 20 minutes, you will fail.

Sometimes a startup idea is already stuck in the mind of a potential investor. I think pretty much any VC is convinced that ultimately mobile payments or social friend-to-friend shopping recommendations could be huge businesses. The bottle neck is: how to make it work. When you pitch your startup idea in one of these fields, you will be welcomed by a healthy dose of cynicism.  Do not waste your time on preaching to the converted, but have your pitch target the bottle neck in the mind of the investor.

One of the most important criteria for an investor to invest in your business is you, the entrepreneur, and the in-person presentation is an excellent way to figure you out as a person. Information about all the other elements of your company is covered in the slides, your business plan and/or your website. Investors can read about your CV, but the only way to figure you out is attending that 45 minute presentation. What you present is important, but the other 50%, how you are as a person is also vital. How is to work with you as a Board member with you, the CEO, at the helm of the company?

Can you be trusted? Trust and integrity are one of the most important things a potential investor is looking for. And it does not really work to put a slide on the projector that says “I never lie”. The investor needs other clues that come out in between the lines of your slides. Maybe an investor knows the answer to a question, but asks it any way. If you do not know the answer it is better to say so than make something up. Do you start to gossip, leak information, to people you have just met 20 minutes ago? If you do it to the potential investor, you are likely to do it to others as well.

There is no upside in bending the truth. So maybe you were successful in getting away with some form of reality distortion in the pitch meeting, the investor will eventually find out during the extended due diligence in the weeks (or sometimes) months to come. You enter an exclusivity period, you continue to burn money, and at the end the investors finds out and withdraws from the deal (integrity issues are a huge red flag). Then you are left without an investor, without funds, and a tarnished reputation as you have to explain to other potential investors why this one pulled out. Your entire company is at risk.

When you have invested in a great animated promotion video to put on your website, why not use it in your presentation? A good video can tell a relatively complex story in under 2 minutes. Most of these videos contain high quality art work that is great for use in a presentation.

Embed the video in your presentation (I prefer putting in the actual file rather than linking to an YouTube video) and create visual connections later on in the deck using screen shots of the video (either page-filling or small thumbnails).

Do not feel embarrassed that that video just cut your bullet point product explanation from 15 minutes to just 2, your audience will appreciate it.

If you got the attention of a potential investor in a random setting you can decide how to use your 2 minutes. One option is the 1-way monologue, where every single one of these precious 120 seconds is filled with information and facts.

The other option is pitch your idea briefly, read someone’s face, interpret a quick question and adjust your story to the concern you see.

I think the second approach is better. Maybe you lose 30 seconds of airtime, but the other 90 seconds are definitely more effective.

More and more of my presentations start to use video, and my preferred format for emailing/Dropboxing decks is PDF, so how do you insert a video in PDF? It is easy with Adobe Acrobat X:

1. Save your presentation (PowerPoint or Keynote) as a PDF without the video
2. Open the deck in Acrobat X and select tools at the top right
3. Select multimedia, select video, and draw where your video should go with the cross hairs
4. Select the video file, or insert a YouTube link (I went for the first option, the video size was below 10MB)
5. Select advanced options, and select use poster image from file to pick the right cover
6. Click done

The investment bankers of a recent client insisted on the traditional Executive Summary to send to potential investors. I used this video and a 3 column dense text layout to turn a boring bullet point list into a nice looking one page document meant for reading and watching.

Unfortunately, the video does not (yet) play on an iPad…

The slides hurt the eyes, but the content is good. VC Dave McClure just posted an update of his deck with advice on how to pitch a VC.

How to Pitch a VC (or Angel)