Startups are filled with brilliant ideas but they lack the funds to implement them properly. Business investors, on the other hand, are brimming with funds and wish to grow them with the right company. Both of them need each other to succeed and they know it. However, there are plenty of startups out there all jostling to get a piece of the proverbial pie. If you are a founder or CEO of one of these companies, then you need to be able to present yourself well in order to convince the investors that you are worth their while.
Skills and Experience
You need to get these people to trust you. It would help your case if you can convince them that you have the skills and experience required to lead the company forward. Tell them about your background in the industry that you are trying to break into. Highlight pertinent skills that make you highly qualified to take on the challenge. Even young CEOs can get millions if they have a compelling message backup up by a sensible plan. Selling yourself to investors and the general public is an art that you need to perfect to continue gaining funds for your business projects.
It’s a highly competitive environment out there. Survival often depends on having and cultivating a unique set of advantages. Investors are keenly aware of this reality. They will ask about what the company has to offer that other startups don’t have. The kinds of answer they are looking for include patented technologies and exclusive distribution rights. Things of this nature give you a better chance of thriving in an unforgiving market. Having them will make people listen more closely to what you have to say.
Solid Business Model
Investors will look into your business model to see whether it fits your products and services. They want to be assured that the company will really be able to generate profits. For instance, some businesses are based entirely on advertising. They create content such as mobile games and try to recover the cost of development through ad dollars. Others rely on revenues from direct subscriptions to an ongoing service. They need to keep the package as compelling as possible to attract more subscribers and retain the existing ones. Most sell products to their target audience and attempt to earn through viable profit margins.
Clear Exit Strategy
While you want to convince business investors that you have a foolproof business plan, you also have to assure them that you have a good exit strategy in case things don’t pan out the way you hoped. They are risking a lot by putting money in a company that they have little to no control over. Assuage their fears of losing big by discussing your proposed exit strategy. This may include the sale of valuable assets, patents, and other properties. Balance this with a realistic future projection that shows just how well the company will do after a certain number of years.