Best Practices for Explaining a Technical Concept

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

In pitching investors, founders must explain how their product works.

For those with highly technical products, here are some best practices for explaining it to others.

Start with what the audience knows.

Bridge the gap between their current knowledge and the topic under discussion.

Avoid acronyms and jargon that require expertise in the space.

Use a concept the audience already knows.

Create an analogy that describes the technical concept of what is known.

For example, the medical device acts like a blender that mixes the fluids.

Focus on the core technology and avoid ancillary information as it complicates things.

Break the technical concept down into a three-step process.

This can help describe a technical concept as it shows how it works in a simplified manner.

Throughout the process, check for understanding.

Fill in the audience gaps of understanding.

Adjust your presentation for the technical level of the audience.

Consider these points for explaining technical concepts.

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.

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The Negative Checklist for Startup Investing

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

Most investors have a checklist for what they look for in a startup investment.

The counter to this is the negative list for startup investing.

This list shows what the investor does not invest in.

Here are some examples:

Investments that will close shortly, leaving the investor no time for research or diligence.

An investment that has all positives and no negatives.

An investment that is risk-free or 'can't fail.'

An investment that looks good only because everyone you know is in it.

Any investment that has a great story but no traction, momentum or validation of the product or market.

An investment with a sky-high valuation and few results so far.

Any investment that relies solely on other people's money with no skin in the game from the founder.

An investment that the founder can't tell you what it is because it is confidential.

The negative checklist helps the investor screen out deals that won't be fundable.

Consider your negative checklist for startup investing.

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.

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Look for Founders With Balance

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

Investors funding startups know that the team is the most important element.

In reviewing the team, look for founders with balance.

There are some founders who can work on multiple aspects of the business, such as sales, product development, and team building.

There are others who are specialists.

They work well in one aspect, such as fundraising.

It's important to check the founders' skills to see that they can operate in other parts of the company.

There will not be enough funding or revenue in the early days to hire everyone needed to cover all tasks.

Look for those founders who have some skill in fundraising, sales, team building, and product development.

These are the core elements of a successful startup.

Finance, accounting, networking, and other skills can be outsourced or learned.

In addition to skills, the founder must spend time on each of these areas.

Look for founders with balance.

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.