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Venture Capital Presentation Template

This is a template and instructions for building a slide show to present to venture capital investors.


This template provides instructions for creating a presentation for venture capital investors.

12 Magic Slides

  • Represents the content, flow and messaging for what the investor is used to seeing/hearing
  • Serves as the proxy for the business, not a bunch of slides to hide behind or to merely persuade the investor
  • Focuses your communication on the most important merits of the business for the investor to consider
  • Demonstrates your understanding of the business and your ability to be a thoughtful/rational thinker
  • Gets you an internal champion who will get you to the second meeting and/or to due diligence


Preparation

  • What?
    • Develop a few communication tools that will set-up and guide the creation of the 12 magic slides
  • Why?
    • Immediately positions your company at the very beginning of the presentation
    • Pulls the audience into your world and motivates them to want to hear more
    • Signals to the audience that you know your business
  • Where?
    • Right at the beginning either during the title slide or slide one
    • You have 2 slides/10 words to get their attention or the meeting is over


The Toolkit

  • The One Liner
    • 5-10 word line that crisply articulates the business
    • Place in the title slide under your company name/logo
  • The Elevator Pitch
    • 2-3 sentences that defines the market, customer,
    • problem/solution and uniqueness of the business
    • Place on slide one (ideally displayed as succinct bullets with an illustrative graphic)
  • The Story
    • 60 second true event that establishes you and your team's deep, personal understanding of the customer and connection to their problem
    • Use as voice over either during the title slide or slide one


The One Liner (not a tag line)

  • Framework (different ways to structure the line)
    • "[Name] enables customers/end users to do X."
    • "[Name] is the company X of the Y business."
  • Examples
    • "We network Networks" (Cisco)
    • "The World's Information in One Click" (Google)
    • "The Computer for Everyone Else" (Apple)


The Elevator Pitch

  • Framework
    • What market are you in?
    • What urgent problem are you solving?
    • What is the size of the opportunity?
    • Why will you win (differentiation, barriers to entry, unfair advantage)?
    • Where is the validation (customers, investors, etc.)?


The Elevator Pitch (Example)

  • Diamond develops proprietary thin film diamond products and equipment that dramatically improve heat dissipation on microprocessors, solving one of the highest priority pain points in the industry.
  • We address growing markets that will exceed $1.5B by 2006 and will become the dominant supplier with the best team having the most comprehensive patent position in the industry. Intel is our largest current investor, and we are actively engaged with other top target customers and partners who provide very strong references.


The Story

  • Framework
    • Make it personal, compelling and memorable
    • Why is what your company does important?
    • How do you know it?
    • What evidence/anecdote proves it?
  • Examples
    • Situations of ugly moments or unexpected delights
    • Scenarios that have occurred in your career that inspire you and the company to create the solution
    • Circumstances where you designed/implemented a similar solution only to find key pieces of the execution woefully lacking or all together missing


Introductions

  • Begin by introducing your team
    • 30 seconds or less
    • Save team detail for later
  • Mention any common links
    • Referral sources, other relevant contacts


Title Slide

  • Name of your firm
  • Date
  • Name of investor firm
  • Appropriate graphics (logo, etc)
  • The one liner
  • Optional: How much money is being sought for this round of financing?


Slide 1: Overview

  • Two to five high level bullets
  • Refer to key points to keep attention for the rest of the presentation (your elevator pitch)
  • If you don't get their attention here, you wont get their check later


Slide 2: The Problem

  • Compelling problem(s) to be solved
    • What's the pain? - Revenues, costs, time, market reach
    • Faster, better, smaller, etc, are solutions, not problems
  • Best to include validating quotes
    • Customers are best
    • Analysts when applicable
  • So What?
  • Problem must suggest a large market


Slide 3: The Solution

  • Describe your business
    • Product or service
  • Compelling benefits
    • "Must-haves" not "nice-to-haves"
  • Defining Graphic
    • Illustrating your product or service
  • Hooked?
    • If you haven't set the hook by now, you are dead!


Slide 4: Opportunity and Market

  • Market Details
    • Size and growth rate for five years
    • Focus on your segment(s) of the target market
  • $100M run rate opportunity in five years?
  • Demonstrate defensible % of market share
    • Why you won't get squashed
  • A graph format works well


Slide 5: Technology

  • Translate key points from business to technical domain
    • Show how customers and partners fit in, if possible
  • Best to use animated graphics
    • Before and after diagrams often work well
  • Concentrate on essential value proposition!!
    • Talk to important but peripheral issues and details, avoid clutter
  • Address "invent vs. integrate" issues
    • Show that you will invent only uniquely competitive elements
    • Show incremental development path that reduces risk; if possible


Slide 6: Unique Competitive Advantages

  • Team, relationships, intellectual property, new insights, domain expertise
  • Are they yours alone?
  • Will they provide a 10X advantage?
  • How long will they last?
  • What will it take to overcome them?
  • Why will customers care?


Slide 7: Competitive Landscape

  • Discuss current and potential competitors
    • Demonstrate knowledge of the landscape
    • The answer to "no competition" -> red flag -> no market
  • Provide framework to differentiate
    • Use customer-centric attributes and dimensions
    • Reinforce your unique competitive advantages


Slide 8: Go to Market Strategy

  • Who are the key players?
    • Profile the customer
    • Discuss critical partner relationships (current and future)
    • Describe who (in/out-house) sells your product or service
  • How and what do customers buy?
    • Discuss high level pricing (e.g. annuity or one fee)
    • Describe what the customer will get (today and beyond)
  • Marketing and sales plan
    • Explain value chain and sales cycle
    • Compare and contrast to other firms
  • Graphics work well
    • Emphasize external validation


Slide 9: Financial Roadmap

  • Provide high level 5 year projections
    • Revenues and expenses by major categories
    • Pretax profit(loss), cash flow from operations, capital requirements
  • Highlight milestone targets
    • First revenues
    • Cash-flow positive
    • Tangible competitive barriers (customers, IP, etc.)
    • $100M/yr run rate in year 5 is cliche, but expected
  • Prepare "hip pocket" detail slides
    • Best for a second meeting, but produce if requested


Whats behind the financial slide?

  • Deep understanding of the business model
  • Be prepared to discuss key assumptions
    • Revenue analysis - market penetration and timing
    • Top-down (supportable percentages)
    • Bottom-up (pipeline, revenue by customers, validation)
    • Expense analysis
    • Validate with comparable companies, as available
    • Other (capital equipment, A/R & A/P turnover, etc.)
  • Detailed proforma backup (P&L, cash flow, balance sheet, use of proceeds & head count)


Slide 10: The Team

  • Previous relevant accomplishments
    • Include academic credentials
  • How does this team work together?
  • Be honest - who's missing?
    • Discuss your hiring plan to fill key slots
  • Relate to unique competitive advantages
  • Emphasize what YOU bring to the table
    • The CEO is the most critical team member
    • Demonstrate your competence through your presentation


Slide 11: Current Status

  • Highlight milestones achieved to date
  • What have you already accomplished with other investors' money?
    • Investors like to see efficient, productive use of resources
  • Historical time line format can be useful
  • Emphasize where you go from here
    • Show you are in position for some key next steps


Slide 12: Summary

  • Summarize your three strongest points
    • Have these distilled down to memorable sound bites
    • Highlight synergies with prospective investor (portfolio, GP background, domain expertise, etc.)
  • Solicit feedback
    • Identify and address concerns
  • Call to action
    • Ask about the process, and what it takes to do a deal
  • Next steps
    • Determine conditions for second meeting
    • Set up follow-up meeting, if possible

Subcategories

This category has the following 2 subcategories, out of 2 total.

Pages in category "Venture Capital"

The following 3 pages are in this category, out of 3 total.