Welcome to Innovation Manager Pitch Deck Template!
With this deck template you’ll be able to get into more investor meetings and raise the capital you need faster!
The purpose of your deck is not to answer all possible questions, nor close immediate investment. It is to open investors minds to your vision and get them excited to know more. The story you craft in your deck gets them engaged to start filling in the blanks for themselves.
Your deck should be able to stand alone, without your presentation.
Compelling decks are concise, tell a story, are visual, 10-13 slides.
Intro to the Pitch Deck Template
In this template we share the best slides so you can stand out in the pile of decks that investors receive.
This deck template is a teaser that you send out to investors to introduce yourself or ahead of a scheduled meeting. The number 1 goal for this deck is that you tease the investors so they become interested and want to meet you.
This teaser deck answers the first questions that the investors are asking themselves as they open a deck for the first time:
- What are they doing? (Market and/or type of technology) The investors want to know if it’s within their scope.
- What proof do they have that they can succeed with this? (Show metrics, traction and team achievements)
- How big could this be? (Market size and business model)
A seed investment has never been done based on a deck, it’s always based on how excited you make the investor feel and the relationship that you develop during the investment process. That relationship can only develop when spending time together. This deck is the stepping stone to get into meetings with more investors!
Rules of Thumb
1. Simple – make it easy to follow with minimal jargon. Imagine you’re explaining the idea to a child.
2. Clear – ensure it follows a logical progression (generally starting with the big picture and then zooming in).
3. Intriguing – give the audience enough information to get them interested but leaves them wanting more.
4. Novel – even if something is not new, try to put a new spin on it.
5. Concrete – use facts and figures that build your argument in solid way (irrefutable evidence).
6. Emotional – use quotes from customers that illustrate how your business is directly impacting people’s lives.
7. Visual – most people better process information visually, so include as many infographics, charts, and visual content as you can.
Overview of the Deck Template
|1. Sexy One Liner2. Problem3. Solution4. Metrics/Traction||5. Market6. Business Model7. Team8. The Ask|
A teaser deck should be preferably 10 slides, maximum 15 (including first and last slide). In this template you will find all the mandatory slides, but it might be that your startup requires more explanations on certain points so you might add a few slides.
Keep in mind, that on average, an investor spends only 30 seconds on your deck. DO NOT include long texts or explanations. Visual elements are always better than text since it let’s your message come across faster and more efficiently. In this template, there are plenty of examples of how to visually present your information.
In terms of design, the following slide templates are just an example. I decided on 2 types of fonts and 4 colors that work together, and then I stuck to that theme throughout the deck. You should do the same; stay consistent in your design with your brand colors and font.
No matter your brand profile, the number 1 rule is to keep your deck very light. NO cramped slides!
The Sexy One-Liner
This is the first thing that the investors see when they open your deck. The goal here is to get the investor to lean in.
On the first slide, you should already help the investor understand what you’re doing and answer the first question they have in their heads by including your sexy one-liner.
The sexy one-liner explains which market you operate in and how you disrupt that market. Hyped words such as “AI, deep tech, IoT”, etc. are very welcome here.
“Makes the healthcare sector efficient with technology”
“Replaces real estate agents with algorithms”
“Equipes HR with smart AI”
Before explaining what your product does, you want to set the scene and explain why there is a need for your product.
Why should the investor care about your product?
This slide is especially important if you are solving a problem that might not be well-known to the investor. Think about the profile of the typical investors you meet, how familiar is the investor with this problem?
The best here is if you can refer to a global problem that your product will fix. Investors like to help solve problems for humanity. Otherwise, you can also explain the pain that your customers experience if they don’t have your product.
You always want to use data to make the pain you explain irrefutable. The data that you share can either come from market reports or interviews/surveys that you’ve done with potential customers. Don’t forget to link or explain how you discovered the findings.
Pick one of the following two options for your Problem Slide:
When you present your product you want to give the investor the feeling that it’s live and currently in use, that’s why it’s really good to use screenshots from your product.
Best-in-class is if you can use the template from option 1 here. You need to make the explanation of your product extremely straightforward in this phase of the investment process so the investors can feel like they “get it”. Your product is probably more complicated and has lots of fancy features, but it’s not the place to explain those here.
If you right now have a simple MVP that doesn’t at all represent what you want the platform to do in the future, you can do what template option 2 shows here.
When you explain your product, the rule is simple: Show is always better than tell. Use pictures, arrows and symbols to your advantage.
Pick one of the following two options:
Metrics or Traction
When the investor gets what your startup does, it’s time to share some proof that you are successful in doing this. If you haven’t yet launched, you need to show that you will be successful as soon as you get the product out on the market.
The best is if you can put a growth chart here–a chart that is pointing upwards to the right. You’ve got three options for metrics to show your growth:
- Revenue (or MRR if you offer subscriptions, or GMV if you have a take-rate)
- Number of actions taken by your users on your platform
- The number of active users
If your line is not as straight as in the following examples, it’s ok. That is not necessary when you’re raising a seed round. However, your growth per month needs to be 10 % or more on average.
If you don’t have any metrics in your company that are growing 10 % or more month-over-month, you can look at other metrics that are impressive. The next best would be to present a retention curve, or something else that shows how people who start using your product love it and keep on using it.
If you don’t yet have users, you need to show traction and potential some other way. See option 4. You can instead brag about any waitlist or quotes from interviews.
There is a framework that all VC investors use, and you should apply that here. It’s called the TAM, SAM, SOM.
TAM – Total Addressable Market
This is the market that you’re operating within. So for example that could be the retail market, the healthcare market, or the hospitality market. You want it to be worth at least €1 billion. But if you discover that it is hundreds of billions, that’s really good!
SAM – Serviceable Addressable Market
Find this by cutting out a first segment of your market; for example, the retail market becomes the e-commerce market.
SOM – Serviceable Obtainable Market
Do a second segmentation so that you have the estimate of the current market that you focus on first. For example, the global e-commerce market becomes the European e-commerce market.
Either you can present your TAM, SAM, SOM in value (€) or you can put it in number of transactions or users on your market. If you do the latter, your SOM estimation can be used in your business model slides.
Bonus points if the market is also growing. Then please include that, as seen in the template:
The Business Model
In this slide, you explain how you earn money. It is great if you not only explain the revenue part, but also explain how that business model comes together with your market estimation as seen in the two following examples.
If you are not yet sure how you will monetize, you can either list your different ideas for monetization or show the first business model you were thinking of implementing.
Please note that it’s important to arrive at the number of €100 million or more of potential revenue. €100 million is the revenue a startup usually needs to be valued at €1 billion–in other words, to be a unicorn.
The most common error by founders for their team slide is not bragging enough. The investors might have no clue of who you are, you need to tell them!
Don’t just put the name and the picture of everyone in your team. An investor has no idea if a team is good or bad based on your name and your picture.
For every person you should include:
- Role and name
- Any achievements as previous founders or employees
- Any logos that the investor might recognize (if anyone in the team has previously done a successful exit as founder or worked at a well-known and successful startup, investors usually like that)
In this slide you tell the investor how much you want to raise and very briefly what you want to achieve with this and the return of investment. This also allows for them to see if the investment you’re seeking is within their scope.
At this stage in the process you don’t need to explain too many details. When you meet, you will talk in greater detail about how you will deploy the capital and reach the goal. Remember that this is a teaser, this is only to make them interested in talking to you.
Nedd help in writing / re-writing your pitch deck? Get in touch with us:
Marco Torregrossa is a private investments advisor for Innovation Manager Finland Ltd. Follow him at @MarcoTorreg
Building a startup is hard. As a founder, you are focused on developing your product, hiring talent, and attracting capital. There are a few ways to finance your startup. Most startups use personal or family and friend capital, customer revenue, debt financing, or venture capital to grow their business.
There are multiple stages of startup fundraising: Seed, Series A, Series B, Series C, and so forth. Startups should be mindful about the rounds that they will go through, which are generally based on the current maturity and development of the company. Here’s an overview of the major fundraising stages.
Note that the ranges above are standard. There are many exceptions, especially on the higher end. A second time successful founder can raise at a much higher valuation. A company growing much quicker than the average can often “skip a stage” and have its Series A look like a Series B or its Series B look like a Series C. However, these are general guidelines that should be helpful for most entrepreneurs. Note that there is also an implied growth expectation that you will move from stage to stage in around 18 months.
Each stage of the startup fundraising process operates very similarly, despite the different stages the business might be in. During the process, the company has to be able to establish it’s valuation, and will need to have clear plans for how it is planning to use the money it raises. Each round of funding will also, by necessity, dilute the company’s equity.
Also, the right timing to raise a round varies per company, so there is no fixed time. Some startups are able to raise money quicker than others, but even for strong startups, fundraising is a marathon that requires constant attention for a minimum of 3–6 months, given the current economic climate it may take even longer so best to start sooner rather than later. You may also have to review the amount you need to fundraise for your next round and try to raise more.
Pre-Seed Funding = Idea Stage
At the beginning of the journey, you’re still in the idea stage, and you find yourself in a “Valley of Death”. In this phase, you usually get money from FFF: family, friends, and fools. This period of startup fundraising can be challenging due to the fact that the business model has not yet been proven. Hence, the money from the pre-seed funding helps to design the product, launch an MVP, get early customers, and some level of product and market validation.
Seed Funding = Company Stage
In the seed funding stage, you look at angel investors and family offices rather than people you know, and these angels invest their own money. Another source would be early-stage VCs. What you do in the seed round is taking little money, to prove your traction in one area. Once you’ve nailed your promise, start looking for more money in order to prove your next steps. In the seed funding round the money helps to bring products to market, sign first contracts, and advertise to the public.
Series A = Product and User Base Optimization
In Series A fundraising, it’s time to aim higher and raise more funds. At this stage, you reach out mainly to VCs, industrial or corporate investors. Unlike angel investors, VCs take other people’s money and then invest in young, risky companies. Finding the right VC for your startup is very important. Apart from capital, they can help you get to the next stage and open up their network to you so it is important to take this into consideration as well. Money raised during Series A usually helps to scale the product, reaching product-market-fit, and introducing new features.
Series B, Series C, and further = Growth Capital and Preparing IPO / Exit
In the Series B round, you most probably raise money that helps hire new team members as well as funding further expansion. As your company grows, in Series C you aim much higher and raise money that usually helps to acquire competitors and pursue further expansion. After you successfully complete as many funding rounds as you need, it’s time to think about the exit. Here you have to choose between selling to one of the big players in the market, or offer the company on the stock market, which is called an IPO (Initial Public Offering). The IPO is just another capital raise, however, this time the investor is neither the angel nor VC. It’s the public. When you go public, people can buy and sell the shares among themselves.
Fundraising is not an easy walk in the park, it will be challenging. It always takes longer than you think and has more ups and downs than you’d expect.
Go into the process with an attitude that “you’ll be successful”. You need to commit to this process, even though it can be unpredictable and messy.
Marco Torregrossa is a private investments advisor for Innovation Manager Finland Ltd. Follow him at @MarcoTorreg