The ‘seven Ps’ - Great advice for investor presentations
Bill Warner
On The Web
- Tech Coast Angels
- Seven P slideshow
- The Structured Business Plan
- Answer the Questions
- Paladin and Associates
- Triangle Accredited Capital Forum
Site Search
Editor’s note: Bill Warner writes “The Angel Connection” which is a regular feature in WRAL Local Tech Wire. LTW asked consultant Bill Warner to share advice for entrepreneurs seeking angel investors and/or venture capital investment. He is chairman of the Triangle Accredited Capital Forum, an angel investor network with members throughout the Southeast.
By Bill Warner, special to LTW
RESEARCH TRIANGLE PARK, N.C. - One of the leading angel investor organizations in the United States is the Tech Coast Angels in California. They have some great advice on how to put an investor presentation together on slideshare presentation.
The seven P’s
They simplify this process into seven concise steps that hit at the heart of what an investor presentation needs to be about:
• Pitch – answering the question, “who are you and why should we care?” The importance of this bold introduction is to get the investor’s attention right away by telling them why they need to pay attention.
• People – convincing investors that there is a management team that can really deliver what they are committing. Having this right up front emphasizes how important the management team is to investors.
• Pain – explaining how compelling the industry problem or opportunity is to the potential customer. If the “pain” isn’t high, the investor’s interest will be low.
• Product – describing the innovative and differentiated solution to the customer pain, getting across the high barriers to entry and its demonstrable readiness for market.
• Players – showing that your product is the best in the industry while bringing to life how you will actually win against all competitors.
• Projections – illustrating how you will make money and that you have a thoughtful picture of the financial dynamics of your business.
• Proposition – introducing to investors what you are proposing be the investment deal showing that you have a specific view of who the money will be used and how the investors will be rewarded.
There are many other sources of information on the internet, but here is one on how to put together a structured business plan presentation that is often used with investors here in the Research Triangle Park.
Wrap It Up
In closing, give an investor highlights summary explaining again why they should be interested, and then open up for their questions. You need to be ready to answer a wide range of questions about your business. Practice these because it is going to be your chance to show that you really understand your business and will be the clincher for gaining investor confidence.
Be Sure To Practice
Entrepreneurs need to be very well practiced in making these presentations and handling investor questions. Often you will only get one chance at this. If you do well, others will know. If you don’t, others will know. Go into these sessions loaded for bear having had a chance to practice on the firing range.
About the author: Bill Warner is the Managing Partner of Paladin and Associates, a business consulting firm in the Research Triangle Park area of central North Carolina, and is the chairman of the Triangle Accredited Capital Forum, an angel investor network with members throughout the southeast.
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