How to Make a Subtle yet Killer Investment Deck using a Pitch Deck Template
Pitch Deck is something very similar to Teen – Age Sex! Yes, Every one thinks they know it, Every one thinks everyone else is doing like them! Where the fact of the matter is Very Few Know how to “Do It Right” – If you know what I mean 😀
People think they can take a friend’s deck i.e. using friends deck as a pitch deck template and edit the required and Ta-Dah! their deck is ready! It’s like you (who weighs 100 Kg) using some one else’s (who weights 50 Kg) Pants after they are done with it.
Every successful Entrepreneur who wants to raise funds, actually spends more than 2 hrs per day for more than 20 days (atleast) re-fine-tuning the deck that they make, editing one thing at a time! Thus I have put across a detailed How-To guide for creating a killer VC Investment Pitch Deck using this pitch deck template (Disclaimer – I have not created it, some one else did, I got my hands on it, striped it to basics and put it up here).
It is a slide by slide explanation with examples – so please read with ample time at your disposal.
How to Make an Investment Deck via a Pitch Deck Template
The Opening Slide needs to have the following things (Assume the Example of FlyKart):
- Your Company / Brand Name – FlyKart.com
- Name of Person to be contacted in case viewer wants to get in touch – Sachin
- Email Id of the person to be Contacted – email@example.com
- Cell Phone Number – 9876543210
The opening slide is all about breaking the ice between the VC / Investor and Yourself. There is no better way than to open up with a brief background of the company and what is it into (not more than 30 seconds please)
P.S This is not a disclaimer, it is just to give you an overview of the names of the slides that will be present in the deck. Please do not include it in the deck. You can replace this slide with an Agenda sort of a slide but that is so Cliche.
The Slide#2 is a make or break slide. It is on this slide that the listener to the pitch would make up 50% of his mind whether or not to invest in your business. This slide should ideally have the following as contents:
- Write What do you Do – India’s Largest E-Commerce Marketplace selling everything from books to Consumer Durables & Everything from 10 Rs to 1 Lac Rs
- Say something interesting about your startup – FlyKart is an E-Commerce Marketplace with 50,000 Sellers on Board selling everything from books to consumer durables, we combine power & reach of internet with the purchasing power of giants to give our users best quality products at unbeatable prices (& discounts)
Tell the pitch listener as to what is the current problem in the market that you are addressing, it may be a small or a large problem but if the market size concerning this is huge, every one will listen on.
- Write about the Problem that the users are facing (without you in the picture) –
- 300 Million Internet Users
- Spending Power of 10,000 INR Per Year
- No Avenue for Hassle Free & Online Shopping of Books to Consumer Durables
- Say something about the size and severity of the problem –
- About 1/3 rd of our population has access to smart devices and internet connection but still purchases things by going through boring route of visiting shop and bargaining and going through the hassles of shipping it blah blah
- There is no single seller that operates on the cloud and provides 24×7 browsing access with the option to get the things delivered to their home after ordering it through their smart phone
- People spend about 10,000 every year on appliances, assets, etc
- Club this with 300 Million hungry for discount buyers and you get a market worth 3 Lac Crore i.e. 50 Billon USD (Emphasize on USD Size of the Market)
- Write About – How you are gonna solve this problem:
- Free Home Delivery
- Completely Online Experience
- Multiple Options
- Cheaper Price
- Easy Returns
- Say a Little about how your startup will solve the issues:
- FlyKart will have the muscle to squeeze margins out of manufacturers, eliminate the entire distribution channel margin and discount seepage and pass on the cost advantage directly to the customer
- FlyKart will ensure 24×7 customer support for people to order goods and resolve queries and problems with orders
- FlyKart will give hassle free returns to customers if the goods are found defective
- FlyKart will give multiple payment options to customers
- Write About – Why this is the best time to start this idea
- High Internet Acceptance
- Easy Access to Finance
- Say About – Facts on why this is the right time
- 300 Million Internet Subscribers
You need to first know what TAM SAM SOM is and why it matters
- TAM stands for Total Available / Addressable Market is the total demand for a product or service. E.g. 50 Billion USD
- SAM or Serviceable & Addressable Market or Serviceable Market is the portion of TAM which your product or service can cater to. Say 5 Billion USD
- SOM or Serviceable & Obtainable Market is part of SAM that you can realistically acquire.
After you have understood these terms, you should move on to calculating the total size of the market starting from the Top most consumers (top down).
While making a pitch deck either on your own or by a pitch deck template it is important to note that you should do a little research on your competition, as to what their numbers are, total sale, funds raised etc. And please never say I do not have competition, every one does, every one did, and every one will have a sizeable competitor.
Try making a bubble chart or a waterfall showing the metrics of your competition (focus on famous, highly funded, profitable etc competitors)
Mention in brief and speak in detail about this slide on the following things:
- Product Present Stage (Platform, tech used, tools developed, language, hard coded or script etc) – Keep 3-4 screenshots and make a clickable prototype.
- Proposed changes or future product roadmap which is under development
- Exciting and Market Cracking features which will disrupt the market
- Any IP that you own in the product
The most important slide that a VC will see, this slide mentions as to how you’re gonna make money 🙂 [Try to keep it similar to the pitch deck template mentioned here]
Mention the following metrics and explain everything in detail with number crunching:
- Total Business Done till date (Called traction)
- Revenue Lines (transactions from which you will make money)
- Business Model (complete end to end mention of one transaction by a user and you) – which will result in a sale and you making money)
- Pricing Arrival (how did you arrive at the mrp and what are the avg margins)
- Customer Acquisition cost (CAQ) & Life time Value of Customer (LTV) (Very important in pitch deck template)
Mention about the following points about the existing teams merit:
- Name & Designation at your startup
- What do they do
- What did they do in their past
- Similar Experience
Make a Financial Model in Excel file and copy paste snippets here about Cash Flow, Cash Requirement, Use of Funds, What is on the table (equity Percentage against investment)
Please note that this is a comprehensive understanding of mine in how to make a pitch deck from a template, you may add delete edit the things to your suiting, but do not exceed 12-13 slides including opening and closing thanks slides otherwise the attention span of the listener will go for a toss and you will be left in the lurch as to what did you do wrong that he said no the investment.
Read About : FlipKart’s Business Model
Disclaimer: The understanding of the How to make decks using a pitch deck template is of the Author’s himself, neither any investor, banker or VC (local or global) or qualified consultants have confirmed or explained the same to the author and the descriptions, stats, facts and figures, if used, are either obtained through secondary web research or interrogation of relevant search professionals or other resources on the web. Please use your own discretion to use this info when required and by continuing to read, you agree to indemnify the author & Unicornomy from the entire liability arising out of using this info on your own.