In order to attract investors, a pitch deck must offer a thorough yet clear and succinct description of the startup. Understanding the elements of a good pitch deck will help you get closer to the funding you need.
What Is a Pitch Deck?
A pitch deck is a business presentation used by entrepreneurs to give a structured & informative assessment of their company or startup.
It is a visual representation of a business idea, the solution a startup offers, and a roadmap of the vision. It informs investors about the business plan, products or services, fundraising requirements, and key metrics such as pricing, target market, and financial goals. The most effective pitch decks are short and to the point but informative, with simple, visually appealing slides.
Objective:
A pitch deck's goal is to pique the interest of investors in a company, which can lead to a call or a meeting and the possibility of an investment discussion leading to actual investment in the startup. A pitch deck may be an effective tool for obtaining financing for a company, but it is only the first step.
Critical Elements of a Winning Pitchdeck:
1.Introduction:
The first slide of the pitch deck should introduce the startup and explain the business in straightforward, easy-to-understand terms. Businesses usually include a unique value proposition as part of their first slide, which compares their products and services to those of another well-known company.
2.Problem:
The pitch deck requires explaining an issue the target market of the startup experiences. This detail demonstrates the marketability of your product or service.
3.Target market:
A target market is a group of people who have similar traits. Every service or product caters to a specific demographic, and yours should be highlighted in your pitch deck. Include details about the competitive landscape in which your company operates, as well as market opportunities to succeed in that landscape. What is the size of the market for similar products or services to those offered by the company?
4.Solution:
The answer slide should describe the method(s) by which the company solves the problems that your target market is experiencing. The best way to convey this data is through a narrative approach—tell relatable stories about customers who have used these products to improve their situation. Support those claims with descriptions and visuals of the products or services, such as photographs, screenshots, or videos of a physical demonstration.
5.Traction:
This slide confirms the company’s business model by showing any month-over-month growth through early sales and support. This slide can include a simple bullet-point list of milestones such as user count, annual revenue return rate, and profit margins.
6.Marketing and sales strategy:
It is essential to specify how the item will be sold to its target market. This detail will be used by investors to get an insight into a founder's understanding of the market size and how its marketing & sales strategy differs from its competitors.
7.Competition:
Include information on the characteristics that distinguish your product or service from other entities or options in its market—this information can be gathered from your competitive analysis.
8.Team:
The team slide highlights the expertise and skills of a company's management team in technology, marketing, and selling a product. Identify the key team members and explain how their expertise and previous experience can assist the company in establishing a competitive advantage.
9.Financials:
Investors typically want to see a company's financial position over a three to five-year period, which includes income statements, projected growth, and information on the business model itself. Infographics, such as pie charts or bar graphs are more important than regular listing numbers in presenting the information. The data on the traction slide may be useful in correlating projected figures.
10.Investments and funding:
It is essential to include the amount being raised as well as how the funds will be used to help the company achieve its objectives.
SlideStorie helps you identify and create a clear roadmap for your business by using secondary research tools. We identify the market size, competitive landscape, and a roadmap of your vision to effectively communicate your core competencies to an investor.
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