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Tag: pitching

The Role of Assumptions in Startup Pitching

More than truthfulness of the numbers, investors evaluate the assumptions underneath a pitch. They are not asking “Are these numbers real?” but “Could they be real?”.

The assumptions reveal the logic of thinking by the founders. When examining them in detail, one should get logical answers to questions like:

  1. How many sales people are needed to hit the sales goals?
  2. How much will it cost to achieve the sales target?
  3. How much is the cost for acquiring a new customer?
  4. How long is the average sales cycle?

(Assuming an enterprise sales case; the questions in a B2C market would be different, so you need to consider the circumstances.)

The investors are looking for “intellectual rigor” and “completeness of thought” from the founders. Therefore, the pitch needs to show that you understand how to run the business, and how those actions are linked with growth within a defined timeframe. Like one investor said, it is better to be roughly right than exactly wrong.

Crowdfunding pitch to media – an example

Here’s an example on how to do PR for a crowdfunding campaign. It should be sent at least a couple of weeks prior to launch.

Hi [name],

this is [yourname] from [yourcompany].

We are preparing to release a new product in [yourplatform], and I wanted to give you heads-up since you wrote about [a competitor] six months ago. Our product is similar, but better 😉

Here’s why it is better:

  • [reason 1]
  • [reason 2]
  • [reason 3]

Here’s a link to press material including pictures and more information: [link]

The campaign will be launched on [date], so I hope you’d publish an article about us at around that time.

In the meantime, I’m of course available for any questions / comments!

Have a nice day,

[yourname] from [www.yourwebsite.com]

Tel. [telephone]

Skype: [Skype]

Email: [email]