A pitch deck or a pitch presentation is the first and most important presentation for a startup. It includes an informative overview of the business to pitch to potential investors. The best pitch decks are brief but contain all important information about the business plan, product or service and financial goals.
Six Important Elements of a Pitch Deck
Here are six important elements a pitch deck should contain to appeal to potential investors.
A Value Proposition
Your value proposition must be convincing and communicated well to get the attention of the investors. It has to be relatable, believable and have justified value to create or fulfill demand. Your value proposition can compare your products to other established companies and justify what you derive value from.
A Problem You’re Solving
A product or service is meant to offer a good solution for its customers. It is important to focus on the problem you’re solving in your pitch deck. Your pitch deck needs to explain the problem faced by your target market and how you aim to solve it with your product or service. It also explains your value and demand in the market.
Relevance and Competition
Apart from your business plan and value proposition, your pitch must also have enough information about the industry and why it is a good time to invest in your company. You need to give investors a clear picture of the market. Explain if the market is underdeveloped and you’re launching a breakthrough product or if the market is already booming and you’re launching a product to meet customer demands and offer better features than your competitors.
Economic Value
Investors want to know how exactly you plan on making your company more valuable. You can map out the company’s predicted financial health and growth for the next three to five years and add infographics including pie charts and bar graphs. Focus on the revenue and economic value of your business and paint a clear picture to your investors to let them know why they should invest with you.
Growth Numbers
Including the growth numbers element in the pitch deck is an absolute must. You should include the growing number of users, ways to scale your growth over a certain period of time and the predicted growth over a period of time. Investors are more interested in pitches with future projections and proven well-researched statistics.
A Risk Mitigation Plan
No matter how well-made your business plan is, there will always be some risks. However, many people forget to add this important element to their pitch deck. You can include the risks involved with your idea and how you plan on mitigating them when things go south. Adding a risk mitigation plan lets investors know that you’re prepared for everything and gives them the confidence to invest their money with you.
