One question that budding entrepreneurs ask is how they can win over investors and investment firms. And one of the most common fears they have is that, as newcomers, they might not command the same level of credibility. Some are introverts who might not be superstar presenters. Others may not have a track record of investments to refer to.
So, in this article, you will find three tactics that can increase the odds of closing the deal with investors with your next presentation.
The first and the easiest confidence boost you can give yourself is to never go into a meeting if it is the only meeting in your schedule. By walking into the last meeting in your schedule, you signal that the potential deal is your only option. Even if you get investors interested, they may take advantage of the leverage you have given them.
So, what do you do with the last meeting on your schedule? You schedule another meeting after it. The point of this is that just by knowing that there is another pitch upcoming, you subconsciously give off a vibe with your body language, and communicate that you have options.
The second method to bolster your success rate as an entrepreneur pitching to potential investors is your knowledge of investors themselves. Most entrepreneurs make the mistake of presenting from a very selfish perspective. It is all about their startup. It is all about their idea.
What they miss out on are the investors’ values. You should look at not only their values but also their past failures and successes. It could be a hedge fund, it could be an angel. See the patterns in their investment history. Do they consistently invest in tech startups? Do they consistently invest in businesses that already have at least three branches? You should try to look for trends within their investment history and trends in their winning investments.
Finally, acknowledge the underlying pitch. Most entrepreneurs do not understand that there is an underlying dialogue to the pitch that they’re making for the investors. This underlying pitch is not about the startup or the idea. It is not about the balance sheet. It is about being a long-term partner and about their end game.
This underlying dialogue is a dog whistle pitch. It is a dialogue conducted not by making statements but by implying congruency to certain values. You imply that you’re willing to work with them long term. You imply that you’re willing to accommodate vision or that you’re willing to accommodate their exit. And this all comes from your research into their past successes, failures, and their values.
To sum up, you never go into a meeting, unless you have a meeting lined up after it. This helps you project a genuine sense of confidence that there are other options without having to say it crudely. The second thing that you can do to win investors, is research into their investing values, and their past failures and successes. And last but not least, imply congruency with their values and vision instead of signaling rigidity.