When starting a new business, sufficient capital and investment is crucial for success. Many entrepreneurs need to find investors to provide funding in order to turn their ideas into reality. Asking someone to invest in your company can seem daunting, but it’s an important step. Here are some effective ways and real examples to ask for investment during interviews with potential investors.
Thoroughly research the investor beforehand
Before your interview, learn as much as possible about the investor’s background, investment history and preferences. This will allow you to tailor your pitch and select the most relevant examples and data to show why your company is a worthwhile investment opportunity for them specifically. Personalize your interview preparation for each investor.
Practice your elevator pitch
Prepare and memorize a 1-2 minute elevator pitch highlighting your core business, competitive advantages, growth potential, leadership team, funding needs and investment usage. The pitch should be crisp, clear and compelling while using terms the investor will understand.
Have a slidedeck ready to share details
Create a slidedeck with sections covering your product/service, market potential, financial projections, funding needs and investor returns. Visuals help explain complex details effectively. Bring printed copies to leave with the investor after reviewing it together during the interview.
Use real-world examples and data
Support your pitch with concrete examples of customer traction, user testimonials, market research insights and financial benchmarks. Backed up with data, your pitch will demonstrate real business potential vs just hypotheticals. Draw examples from your own experiences or case studies of successful startups.
Outline your funding needs and usage
Explain exactly how much investment you need now, and potentially in the future. Also detail how you will use the funds, like hiring developers, acquiring office space, purchasing equipment etc. Show you have a solid plan ready to execute with the investor’s investment.
Doing thorough preparations like researching the investor, preparing an elevator pitch and presentation, and backing up your pitch with real-world examples and data will demonstrate your business acumen and help convince potential investors. Tailor your interview pitch for each investor by using their area of interest and background.