Entrepreneurs in search of venture capital sometimes have to work extremely hard to get that first meeting with investors. It might involve relentless networking with colleagues and business associates over a period of weeks and even months, or it might require sending executive summaries of their business plans to dozens of prospects.
When they get that first "yes", the investor who contacts them to set up a face-to-face meeting, the entrepreneur initially feels elation, but this is quickly tempered by fear of failure. They realize they only get one shot at impressing the investor. Questions like "What should I say in my presentation?" and "What kinds of questions are they likely to ask me?" and even "How can I keep from blowing this opportunity?" inevitably start popping into the entrepreneur's mind.
If you are apprehensive about making a presentation to investors, there are several strategies you can employ to become more comfortable. You might consider bringing one or more members of your management team with you, so you can break the presentation into segments, based on each person's expertise, and you are not responsible for the whole thing. Perhaps you are worried about being able to answer some of the more technical questions about your product or service. Bringing your tech expert along might help minimize the risk of an awkward moment when you have to say "I don't really know the answer, but I will get back to you on that next week."
Being adequately prepared is the best antidote to nervousness. Make sure you have practiced the presentation with members of your team as an audience. Do this as many times as necessary until it sounds smooth and polished. It's a good idea to have a role playing session where you invite in trusted associates or advisors to listen to your presentation and then ask questions you are likely to encounter in the real meeting. They will undoubtedly pose some difficult questions that you might not have thought of.
Putting the presentation in PowerPoint format can be a great help as well. For one thing, the investors will focus some of their attention on the slides, and not just stare at you with those cold, steely eyes that so many investors seem to have. PowerPoint also helps you get the presentation more sharply focused on the small number of key points you want to emphasize, the elements that really make the case for why your venture is a superior opportunity, and why your management team is absolutely capable of succeeding. Don't make your presentation a rambling recitation of your Business Plan. They can read and study your Plan on their own. Make your in-person presentation as concise as possible. Start composing it by thinking of the 4 or 5 things you want them to remember when the presentation is over and you have left.
A few other suggestions for a winning presentation:
1) Before you begin, congratulate yourself on getting this far. You have already achieved something that many entrepreneurs never get the opportunity to do. Start by thanking the investor(s) for inviting you there.
2) Keep in mind you know more about your business than the investors do. Don't get rattled by the questions they may ask. Be polite, but confident, with your responses.
3) Show them that you have a burning desire to succeed with this venture. Investors want to put their money behind highly motivated management teams with a clear vision of how they are going to build a large and profitable enterprise.
Brian Hill is the co-author of Business Plan Basics on how to write a business plan and several other nonfiction books. He is one of the few nationally recognized business plan consultants.
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