5 Things Investors Love to Hear in a Pitch

2 min read 5 Things Investors Love to Hear in a Pitch

Investors hear pitches continually throughout the year. So many, in fact, that one’s eyes can glaze over.

However, from time to time, an entrepreneur will make a pitch that will break through the noise.

Investors are listening for a few key things that show you have a business with real growth; the rest is filler.

Every entrepreneur has a story. Many are interesting, some are not. For investing purposes, there are 5 key elements that are sure to capture the investor’s interest.

Real Traction

Entrepreneurs who have sales and show it are head and shoulders above the rest.

Most talk about the traction they will have in the FUTURE but not what they have today. In an investor’s mind, this equates to “No Traction”.

Real Pain Point

The entrepreneur has found a real pain point in the market and is filling it. Someone once said that customers pay for the pain to go away, they don’t pay for nuisances or inconveniences.

Real Team

They have someone building it and someone selling it and those team members know what they are doing.

Real Product

The product works and is non-trivial to build. It’s more than just spin marketing.

Real Growth Prospects

The market opportunity has strong growth potential and is not going to run out of steam in a year or two.

Those are the elements that light up the investors in the room, if you really have it.

Read more from the TEN Capital Education Center: https://tencapital.group/education/

Hall T. Martin is the founder and CEO of the TEN Capital Network. TEN Capital has been connecting startups with investors for over ten years. You can connect with Hall about fundraising, business growth, and emerging technologies via LinkedIn or email: hallmartin@tencapital.group

, ,
Previous Post
The Benefits of an Angel Network
Next Post
Key Elements of a Startup’s Story

Related Posts

Three Important Questions to Ask Before Investing

2 min read Three Important Questions to Ask Before Investing The startup world is full of big ideas. Entrepreneurs have grand plans to make these big ideas a reality, and in some cases investing in these plans can lead to…

Four Competitive Advantages in Startup Fundraising

2min read My definition of competitive advantage is that it increases revenue by 30% over the competition or is a decrease in cost by 30%. Four sources of competitive advantage include recurring revenue, platform-based solution, network effects in action, and…