The first aim is to demonstrate the potential of the business opportunity offered by the venture concept. This deals with market, technical and financial feasibility.
Is your concept an opportunity for somebody?
The second aim is to identify the best team or group of organisations (alliances) to implement the opportunity.
The presentation and report should identify a key stakeholder (ie. Investor) in the implementation team and recommend to that stakeholder whether to proceed or not.
Who is this concept an opportunity for and how should they go about it?
All venture proposals will have some limitations.It is better to acknowledge these rather than cover them up (there is no need to highlight minor weaknesses).
Showing that you are aware of the risks, the information gaps and the assumptions, and that you have contingency plans to deal with them adds to your proposal’s credibility ask to the stakeholder to proceed with converting the venture proposal into a new/developed venture (or not to proceed if evaluative consulting) and outline a high level plan for implementation of the opportunity.
The presentation and report should end with an Ask to the stakeholder that converts the venture proposal into a new/developed venture (or not to proceed if evaluative consulting) and outline a high level plan.
The stakeholders will represent external people to your perspective, which will assess the risk and reward profile of the venture opportunity based on the investment amount required, the reward offered, and your recommendations on how to proceed.
The report should be aimed at your target audience and the executive summary should include an outline of the investor’s expectations for the new business and their investment return requirements.
The report should clearly identify the financing needs and how the venture will satisfy the investor as to their concerns about risk reduction, achievement of stated outcomes and the return they require on their investment.
The report should be of commercial quality.
Presentations must consider the visual appearance, logic and flow of your arguments, good spelling and grammar and correct referencing using the Harvard System.
Executive Summary / Introduction
- Big picture vision
- Opportunity Statement
- What business are we in?
- How does the venture make money?
- Relevant industry and market knowledge
- Intellectual Capital
- Working history as a team
- Track record in start up ventures
- Advisors, alliances, partners
- Ability to compete (TOWS)
- Patents, Design Registrations, Trademarks, Domains
- Systems & Processes
- Resource development plan and schedule
- Costs identified: startup capital, operational costs, working capital
- Break even
- Projected Profits
- Products & Services (inc R&D, manufacturing)
- Who are the customers in detail? Are they reachable and receptive?
- Size, growth rate and durability of market
- What is your market position (and sustainable competitive strategy)?
- Market entry strategy
- Acquisition, organic and exponential growth strategies
- Distribution channels and logistics
- Asset monetisation with identified targets
- Key risks and mitigations
Your written proposal and presentation is designed to demonstrate your team’s ability to:
- develop strategies to transform and/or mitigate the venture concept’s threats and weaknesses;
- develop strategies to protect and ex
- ploit venture’s strengths and opportunities;
- evaluate and defend the venture potential (or otherwise) for growth;
- evaluate and defend the potential (or otherwise) for the venture to generate satisfactory stakeholder and/or investor returns, and;
- demonstrate an understanding of the complexities in managing the conversion of a new concept into a new start-up or implementing significant growth.
Get yourself a mentor, who specialises in and has delivered successful investor pitches, to give you external feedback!