Transcript WAN presentation template

Wisconsin Angel Network’s
15-minute presentation template.
Use this as a guide when creating your business presentation for
early-stage investors. Each slide has a recommended amount of
time to spend on it; there is a built in two-minute buffer in the
presentation. Not all slides may fit your business model while
others may need to be expanded to best communicate the
business and strategy.
Suggestions/comments are included on several slides. Remember to delete
comments, time estimates and other misc items. Additional comments are on some
of the “Note pages” for each slide.
<estimated time to spend on slide>
Presentation suggestions:
Not
all slides may be applicable to your business model.
Keep
in mind the time allotments for each section, don’t over/under
emphasize key points of the business. Many entrepreneurs spend too much
time explaining their technology, science or product and not enough time
explaining how they will make money.
Keep
slides simple and uncluttered, use as few words as possible—just bullet
point the general idea you are addressing, leaving the in-depth explanation to
the presenter.
The
main goal of the presentation is to communicate your vision and
strategy enough to capture the investors’ attention and interest. There will be
a number of follow-up meetings and information requests, but only if the
investors are first excited and motivated by you, the business and strategy.
Special thanks to everyone who
contributed significantly to this
document, including:
Dick
Leazer, Wisconsin Investment Partners
Tim Keane, Golden Angels Network
John Neis, Venture Investors
David Ward, NorthStar Economics
Peter Zaballos, Frazier Technologies
Company Name/Logo
Short Positioning Statement
Your Name
Title
Give the audience a short explanation of the company’s main objective and
who you are. Only include a “positioning statement” if it is very short, 3-5
words.
<15 seconds>
Business Overview and
Strategy




What do you do - what is your
product/service/technology/science?
What makes it different?
What problem(s) are you solving?
Give a road map of the business: we’re here now and are
going in this direction.
By end of slide your audience should know what you are selling and why people
will buy it. Do not go into a lot of detail—this is a “bite-sized” overview.
Keep in mind that you are setting the stage for the rest of the presentation.
<30 seconds>
“Business LogoTM”
The Market – Our Solution
Description

of Current Market, Customer Needs
Problem to Be Solved, what is creating the demand for your solution
Key
Feature – Solution to Problem
How will the customer use your solution
 What is the economic benefit your offering delivers?

Describe the customers’ needs for your product/service. What is the “problem”
with the market as it is and how are you fixing that problem.
Be clear and concise, this is a critical part of your business proposition and
must grab an investor’s attention.
Give just enough of an overview to build up to the next slide, which describes
the Product/Service. This will give the investor-audience a general
understanding of the market and why the product was created.
<90 seconds>
“Business LogoTM”
Product/Service

Product/Service Description 1






What is the product/service
Key Feature – Value Proposition
Science and technology behind the product/service
Defensibility: IP protection/Patents, Barriers to entry
Product/Service Description 2 (if needed)
…
Describe your product/service; what is your customer buying?
Focus on what attributes make your product/service better and different than alternatives,
even if there is not a direct comparable product/service.
Defensibility may require its own slide.
Many entrepreneurs focus too long on the product, especially if it is a technology or based
on scientific data. Keep the science and technology light and easy—most investors
are not PhD’s and will lose interest if the presentation gets too technical.
<2 minutes>
“Business LogoTM”
Market Opportunity

Target customer profile


Describe the targeted customers
Market size


Quantify the target market through sizing the servable market by applying the
above profile to the relevant market/segments
If the market will be growing/expanding, explain
Explain the size of the market that you are targeting.
Remember to build your credibility – how do you know the market?
Take care not to erode your credibility by overstating the market.
Use good sources of information and statistics, such as trade organizations and marketing studies.
Describe how your product/service fits into the market and what share of the market you will capture
from launch through the first several years of business.
If necessary, segment the market. Segmenting the market means you identify the specific portion of
the market that contains those buyers that meet your targeted customer profile.
If you have multiple market segments or targeted customers, repeat this slide as necessary.
<90 seconds>
“Business LogoTM”
Sales Model

Distribution Channels




Channel 1 to market
Channel 2 to market (if needed)
…
Sales cycle


What are the general steps in the sales process
How long does it take
Describe how these channels successfully
get your product into the hands of your
customers—if necessary, describe for
each segment.
If possible/helpful, include an illustration
How long is the sales cycle for your
product(s)—being able to describe the
sales cycle emphasizes your
understanding of making the sale.
<45 seconds>
“Business LogoTM”
You vs. the Competition

Product 1





Your competitive advantage
Competitors
Competition’s response
Product 2 (if needed)
…
Explain why your product(s) will succeed in the market place. What is your competitive
advantage?
List your competition; if numerous pick the top companies you compete against. Explain
their products, market share, and how each one does not meet the needs that your
product does—hit the same points as those for existing market alternatives in the
“Product or Service Description” that explained why your product/service is better
than these alternatives.
How will your competitors react to your entering the market?
Your competition might not be obvious, such as supplemental products or customer
inaction.
<1 minute>
“Business LogoTM”
Management Team

Existing team and relevant experiences


Include business and start-up experience
Gaps in team experience and how being filled
Many investors believe the management team is more important than
the technology/product or the market opportunity.
Explain how the management team’s experience and expertise is key to
the company’s success.
This slide can be moved to the front of the presentation, explain how
the team’s experiences are relevant to the company and its strategy.
<1 minute>
“Business LogoTM”
Advisors/Professionals

Advisory Board (or Board of Directors)


Short Description of Positions and Industry Experience
Professional Team



Attorney
Accountant
Banker
<30 seconds>
“Business LogoTM”
Milestones accomplished



Past Milestone 1
Past Milestone 2
…
What have you accomplished so far? Brag a bit if you can—
this could be stages of product development, major or
pending sales, completing regulatory requirements, etc.
The next slide covers the $ you are asking for, try to build
up momentum for the “ask” by showing the company has
already accomplished some goals.
<30 seconds>
“Business LogoTM”
Financing

Funding Sought - $X



Use of Funds 1
Use of Funds 2
…
Explain in general terms what the funding will be used for, examples
are: sales and marketing, inventory, R&D, general and
administrative, regulatory requirements, etc.
<30 seconds>
“Business LogoTM”
Milestones after Funding

Development Plan



Milestone 1
 Detail
Milestone 2
 Detail
...

Critical Success Factors



Critical Success Factor 1
 What must happen for MS1
Critical Success Factor 2
 What must happen for MS1
…
What progress will investors see for their investment?
What must go right to be successful?
If this financing round gets you to cash flow positive, mention that as a
milestone or in conjunction with a milestone.
Are there any contingency plans if a Critical Success Factor does not happen?
<1 minute>
“Business LogoTM”
Future Financing

Future Funding Round 1


Expected Valuation
Future Funding Round 2


Expected Valuation

Milestones that must be
completed to achieve expected
valuation in FFR1
Milestones that must be
completed to achieve expected
valuation in FFR2
Describe the projected funding rounds with the expected valuations.
Include milestones that must be completed to achieve expected valuations.
This will give investors a sense of value creation and if/how much dilution they should
expect in future rounds.
<<Use this slide if you anticipate needing future funding rounds.>>
<30 seconds>
“Business LogoTM”
Cash Flow Projections
Table of Cash Flow Projections, example below
<30 seconds>
Company XYZ
Cash Flows - in 000's
Revenue
Units sold
Gross Margin
% Gross Margin
Operating Expenses
Operating Income
Funding
Cash Flow
Cumulative Cash Flows
Year 1
100
10
10
10%
250
(240)
540
300
300
Year 2
200
20
50
25%
350
(300)
(300)
0
Year 3
300
35
100
33%
400
(300)
400
100
100
Year 4
650
80
460
71%
450
10
Year 5
1200
1000
900
75%
600
300
10
110
300
410
“Business LogoTM”
Ownership - Valuation

Current ownership



Debt structure


Owners and their equity %
Current valuation (Pre-money Valuation)
Outstanding balance and terms (time and interest)
Post investment ownership


Owners and their equity %
Valuation (Post-money Valuation)
Valuation is often one of the most contentious discussions an entrepreneur will have with
potential investors. It’s best to be prepared to discuss; however, only discuss Valuation if
you are ready and can back up your assumptions. Many investors do not expect an
entrepreneur to discuss valuation during their presentation, though it often comes up
during the question and answer session afterwards. A back-up answer, if investors are
pushing for one, could be to suggest a range the valuation could fall within, though that
can result with investors focusing on the low-end of the range given.
<30 seconds>
“Business LogoTM”
Exit Strategy

Exit Strategy


When/How can your investors cash out
Expected valuation
<15 seconds>
“Business LogoTM”
Company Name/Logo
Short Positioning Statement
Contact Name, Title
Email Address
Phone Number
www.web-address.com
Wrap up by restating the company’s main objective.
<15 seconds>