The social entrepreneur must remember that their social enterprise applies business principles to deliver a positive impact on a social problem. You may or may not need to go to VCs for funding, See Practitioner Guide (PG) Module 8 Figure10. If you go the VC route “pitching is part of the process. Pitching your product or service to your targeted population and other stakeholders in your ecosystem (PG Module 3), is also one of your key tasks. If you find the excerpts helpful click on the links to read the full article.
Here is the One Real Reason Why 99% of Investors Don’t Invest After Your Pitch
Here’s What No One Tells You About Pitching to Investors, Chris Soschner
1- ”Make Sure You Have an Attractive Investment Case First
Before thinking about how to deliver the perfect pitch, make sure you have an investment case that can actually attract investors.
This is where many founders stumble — they focus on presentation quality or their passion for the product, but what investors care about most is the potential for 10x–100x returns.
It’s only the top 20% that will drive the massive returns they need to satisfy their investors.
So, if your business doesn’t show that kind of explosive potential, they won’t invest, no matter how impressive your tech is.
You need to demonstrate to investors that your startup can deliver those kinds of returns.
Show them you’re not just a good idea but a game-changer.
What does that look like?
Market size: Is your target market large enough to support massive growth?
Scalability: Can your business scale rapidly with increased demand?
Competitive edge: What makes your solution stand out from others?
Product-Market-Fit: Having the first paying customers, with a waitlist and testimonials for sure helps closing the deal.”
2- Why Most Fundraising Pitches Fail Within the First 5 Minutes, Aaron Dinin, PhD
Excerpts (Emphasis added)
“Let’s assume a VC hears 10 pitches a week (which is a conservative estimate). Over the course of a year, that’s about 500 pitches. Multiply that by a 20-year career, and you’re looking at 10,000 pitches.
Ten. Thousand. Pitches. My ears are bleeding just thinking about it… yikes!
When people see that many pitches, they get really good at filtering out the noise. They develop an instinct — a gut feeling — that tells them within the first five minutes whether a pitch is worth their time. To be clear, I don’t mean they’ll decide to invest in the first five minutes. But they’ll almost certainly decide if they’re not going to invest in the first five minutes. And in 95% of pitches (maybe more), they’ve mentally checked-out by the five-minute mark. Why? Because the founder is still talking about the startup’s product and its features instead of focusing on the business.
The Product vs. The Business
But the truth is venture capitalists don’t care about your product — at least, not in the way you think they do. What VCs care about is whether your product can be turned into a successful business. And a successful business isn’t built on the back of a product’s features. It’s built on customers, revenue, growth, and market potential.
I explain the five topics founders need to be moving onto in their pitches as quickly as possible:
Customer Traction: ………
Revenue: ………..
Competitive Landscape: …………
Financial Projections: …………….
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