How Startups Can Make Better Forecasts

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

Forecasting is a key skill founders need for raising funding.

Investors want to know the founders' expectations for the business with the funds raised.

Here are some key steps to make better forecasts:

Start with a baseline.

If the startup has revenue, then use that as the starting point.

If the startup is pre-revenue, then look to similar startups to set a baseline.

Determine the drivers behind the revenue.

This could be leads generated, clients viewing a demonstration, or other.

Determine how much can be done with the team proposed.

Focus on the customers signed up rather than a percentage of the available market.

Use the sales cycle for the product to determine lead times.

The more you know about your customer buying cycles, the more accurate your forecasts.

This is called a bottom-up analysis.

For predicting explosive growth, look for trends in the market that can drive hyper sales growth.

Look to other startups for their sales forecast to calibrate your own.

Consider these points in making better forecasts.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let's go startup something today.

_______________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.

How To Build an Elevator Pitch

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

The elevator pitch is the short form of your startup pitch.

It introduces the deal to an investor and gives the key highlights.

The goal is not to tell them everything but rather to intrigue them to learn more about it.

Here's how to build an elevator pitch:

State in five words or fewer what the startup does.

Show two examples of the impact of the startup using numbers.

This could be exploding revenue, such as "We're seeing 50% month over month growth."

It could have an impact on the community, such as "We help feed 5000 children a week."

State the goal of the startup, such as "We're looking to reach a break-even in 4 months."

Choose three words that best describe your startup and work them into the pitch.

Choose three phrases that best describe your startup and build them into the pitch.

The keywords will help the audience understand the context.

The catch phrases will help the audience understand what the startup does.

Consider these steps in building your elevator pitch.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let's go startup something today.

_______________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.

The Nuances of Pitching

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

In pitching investors, there are key nuances that can make or break the pitch.

Here is a list of nuances to consider when pitching:

Use the pitch to build a collaboration.

Funding is a part of it, but not the only thing.

Start your pitch with your core value proposition.

State in plain language what your company does.

If you have revenue numbers, build the pitch around them.

Showcase the growth story with a graph showing a curve going up and to the right at 45 degrees.

If you don't have revenue, then build the pitch around the key insight you have into solving the problem.

Don't avoid the risk factors.

Instead, focus on how you are mitigating those factors.

Don't avoid the competition.

Instead, show how the competition validates the market.

Show how this raise will set up the business for the next round and is a part of an overall strategy.

Consider these nuances in building your pitch.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let's go startup something today.

_______________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.