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Unformatted text preview: ritical content as the Summary Memo. Most investors consider the face-to-face presentation a natural part of the process, most frequently coming after they’ve read the Summary Memo but before they analyze the complete business plan. They want to see the management team in person, listen to a summary explanation, and ask questions. Important: A presentation is not a plan. It’s a different medium, so you need to use different communications. Use PowerPoint or similar presentation software. • No more than 10 words per slide. Use pictures. Use charts. • Don’t read bullet points. Show pictures and talk. Don’t copy texts from your business plan into your presentation. Texts kill presentations. • Keep it short. A standard presentation takes 20 minutes. Expect to be interrupted. If you don’t get 40 minutes of discussion with a 20-minute presentation, they’re not really interested. • Highlight investors’ return on investment. You Probably Also Need an “Elevator Speech” Many professional investors refer to the entrepreneur’s “elevator speech” as a quick explanation of the key concepts and main points. The phrase comes from the idea that an entrepreneur should be able to explain the business plan in the very short time of a ride up or down the elevator. The underlying thought is that if it doesn’t come out clearly in 30-60 seconds, it may not be that good. If you are looking for investment, be aware of that phrase and know what it means. And prepare your elevator speech. Keep it in mind as you develop your plan, summary memo, and presentation. Target Your Investors Carefully Do not ever submit your plan to potential investors who have no reason to be interested. Information on mainstream venture capitalists is readily available, so you should always limit your submission to firms that have interest in the industry, geographic area, and deal stage you’re in. Information on venture capital firms is readily available on the Web, so there is no excuse for submitting a plan to a firm whose interests don’t match. Look at the discussion earlier in this chapter for more resources on where to get lists of venture capitalists and how to find angel investors. We have mixed reports on the growing numb...
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