
The most-often asked question - "what should I put in my powerpoint presentation" for the all-important VC meeting?
Guy Kawasaki profers his advice, and worth noting as it is simple enough:
I am trying to evangelize the 10/20/30 Rule of PowerPoint. It’s quite simple: a PowerPoint presentation should have ten slides, last no more than twenty minutes, and contain no font smaller than thirty points.
While I’m in the venture capital business, this rule is applicable for any presentation to reach agreement: for example, raising capital, making a sale, forming a partnership, etc.
Ten is the optimal number of slides in a PowerPoint presentation because a normal human being cannot comprehend more than ten concepts in a meeting—and venture capitalists are very normal...
If you must use more than ten slides to explain your business, you probably don’t have a business. The ten topics that a venture capitalist cares about are:
- Problem
- Your solution
- Business model
- Underlying magic/technology
- Marketing and sales
- Competition
- Team
- Projections and milestones
- Status and timeline
- Summary and call to action
You should give your ten slides in twenty minutes. Sure, you have an hour time slot, but you’re using a Windows laptop, so it will take forty minutes to make it work with the projector. Even if setup goes perfectly, people will arrive late and have to leave early. In a perfect world, you give your pitch in twenty minutes, and you have forty minutes left for discussion.
He finishes with this tip about the "thirty points," - I offer you an algorithm: find out the age of the oldest person in your audience and divide it by two. That’s you’re optimal font size.
You know, I noticed something missing that I always tell people is absolutely vital, coming from the point of view that the VC is there to make money, "its not about you, it is about how much money you want from me and how much and when I will get it back".
So I tell them to include two key items: (1) the ask - how much they want, and (2) the payoff - how much the VC will get back, and when. In fact my list is shorter than Guy's:
- The Market and How Big it is and How Fast growing
- Your Offer and Technology Advantage - IP, sustainability
- Why people will Buy it and How (direct, indirect, margins)
- The Team and their ability to deliver
- The Ask and the Payback for the investors
- How you're going to Spend the money and how the VCs can Control it
- The Risks and your Mitigation
- The Financials
Call and I'll explain these points in detail and give you more tips about how to make a winning pitch to a VC. Fee US$1.00/minute. |
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Also explain how you are going to succeed when you get less money and everything takes more time than you imagined - the Last Man Standing Strategy.
That's a nice 20 minutes with time for a quick wrap at the end. Give them some time back. They'll be pleased, and if they want you to stay they'll keep you talking.
And I advise the 3/6/12 rule - no more than 12 slides, with no more than 3 points on each slide and no more than 6 words in each point.
But for all the process, what does it boil down to? It boils down to "suprise them", tell them something that really gets them out of their seats - make a bold move and show them how you are going to pull it off.
Otherwise, you're going to be another of those that are killing Guy:
As a venture capitalist, I have to listen to hundreds of entrepreneurs pitch their companies. Most of these pitches are crap: sixty slides about a "patent pending," "first mover advantage," "all we have to do is get 1% of the people in China to buy our product" startup. These pitches are so lousy that I’m losing my hearing...
Go for the "surprise me" factor, and give Guy back his hearing.
PS. Don't tell then its unique, because they'll spend the rest of the presentation time trying to remember where they heard that it is already being done, and being unique hardly matters unless you can tie up all the IP and can defend it.
What's your best content and order for a VC presentaiton? Post your Comments. How can I help?
Email me; Call (Australia) +61 403 345 632 (direct); +1(817) 382-4453 (SkypeIn USA); +852-8199-0189 (SkypeIn HK);
"We hired Walter to complete a technology audit, but he gave us much more -- he has the ability to identify business opportunities that benefit all sides, creating networks of customers, suppliers, investors and intermediaries. His breadth of knowledge and willingness to push himself beyond the brief are tremendously valuable." Zenon Pasieczny, Director, Saphet Capital Management
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