Well, it’s been about eight months now since we launched FB, and a lot has changed. It’s almost hard to believe that our original VC pitch was “Evite for cowboys”. Anyway, as we head into darkest winter here in the Midwest, I’d like to join the rising chorus of VC and entrepreneur bloggers and provide my own set of tips for entrepreneurs. Today’s tip is about putting together your powerpoint presentation for the venture folks.
First of all, those stories about “he drew his idea on the back of the napkin and we wrote him a check for 10 million dollars right there” are simply not true. Just try to draw a database schematic or write the word “Disintermediate” on a napkin. The thing will totally rip. Do you think you’re going to get 10 million dollars with a ripped napkin that says XML on it? No. no, you are not. You will definitely need to put together a powerpoint presentation.
Rule 1 of powerpoint presentations is don’t use any of the standard Microsoft Wingdings fonts. Now is no time to be silly. You need to prove to your potential investors two things and two things only: A) you can make them a boatload of money, and B) you know that thing about A where you can really make them a boatload of money? you totally are serious about that. The font that says success more than any other is Trebuchet MS. This font is Arial's charismatic cousin. Trebuchet MS is the confident font that's studied abroad and understands globalization. For the love of God, don’t use Courier New. The only person on planet earth who can get away with Courier is Larry Lessig, and there is no way you are going to beat him at powerpoint. He will kick your ass five ways from Sunday.
Rule 2: Are you trying to figure out how to talk about your company, the competitive landscape, your business model and its defensibility, and your management team's collective experience? Are you wondering how to best communicate your market size, market segmentation approach, position in the value chain, and perhaps even the best way to illuminate your choice of initial industry verticals? Screw that. Rule number two is simply “prove how smart you are”. If your potential investor says “FreeDinner.com tried that strategy and failed miserably. Why will this be any different?” you respond “We’re smarter”. Being smarter is the best way to prove to potential investors that you are more likely to succeed than other possible investments they are looking at. So, be sure to put things on your powerpoint slides that highlight your intelligence. You might include your GPA from high school, brain teasers to which you know the answer, and any other 3rd party verification of your brilliance you may have stumbled into on life’s winding road.
Rule 3: No more than 4 slides. Let’s face it, your potential investors are all smart as the dickens and if they’ve seen one pitch, they’ve seen 1000. you know the old maxim “less is more”? never truer than when you are pitching your company. Build a little interest and momentum with slides 1-3 and then surprise your audience with slide 4: “Term Sheets should be mailed no later than Tuesday at 4pm.” Say “thanks very much, we await your response” then get up and march out. Make sure your cell phone is on because they are going to be calling momentarily with the good news!
Posted by Dick at October 15, 2004 09:20 PM | TrackBack