In the entertainment industry, you audition in the hope of being invited to take the next step. You wait with baited breath for the callback.
The same is true with raising capital. When you reach out to investors, you’re hoping for a callback. You want to go to the next level, so you get to pitch face to face.
Here are a few tips you can use to increase your chances of investors summoning you for a pitch.
- Recruit a great team. Investors don’t just back individuals. They back teams. They want to see you’ve got the right partners, employees, consultants and collaborators in place. Whenever you’re deciding who to work with, set your heart on finding the best. Additionally, make sure your team has a broad skill set. Being strong in just one area can create blind spots.
- Don’t reveal everything. This is a trick direct response marketers use. In a direct response mailing, the only purpose of the headline is the get you to read the first line. The first line aims to make you read the second line. And on it goes. You can do the same when you’re communicating with investors. Feed them information in bite-size, digestible pieces. Start by sending a one paragraph overview of your business. If you get a positive response, send a one-page executive summary. Next, send a short PowerPoint presentation.
- Adjust your focus based on who you’re talking to. Every investor has a different set of questions and concerns. Always listen to these and respond individually. Just because you’ve prepared information for one investor doesn’t mean it’s right for other potential investors.
- Embrace feedback. When things don’t go the way you’d hoped they would, listen to the feedback you get. Investors will respect your openness to learn.