Whether you have thirty minutes or thirty seconds, knowing how to sell your business is one of the most important concepts that an entrepreneur will ever learn. After all, how can someone else be expected to support your business model if you cannot effectively describe the concept of what it is you are doing or why you may be doing it.
Because a three-minute pitch isn’t a long time, it is imperative that you understand the importance of successfully articulating your business model. When pitching your business to possible investors or potential clientele, you cannot afford to stumble over words or even lack knowledge in any area of your product or service.
If you’ve never watched an episode of Shark Tank, I encourage you to take a quick peak at the show, doing so will make this topic much more realistic for you. Through the show, you are able to see real life scenarios of what can possibly happen when you successfully, or unsuccessfully, pitch your business to a group of investors.
To avoid any embarrassing mess ups, you must develop a solid business pitch that speaks well of both you and your company. The tips below will assist you with creating a strong business pitch that will leave your audience engaged and wanting to know more.
Step 1: Be Prepared: The most important part in developing the perfect pitch will be your preparation. A lack of preparation will down right lose the interest of your audience, immediately. However, proper preparation will be visible through your pitch and your confidence will be evident. A part of your preparation process should also involve practice. Select a group of peers who understand the concepts of business and some who may not and practice pitching your business to a diverse audience. Be sure to receive open and honest feedback from your audience.
Step 2: Know Your Business Concept: If you are unable to properly articulate each and every part of your business concept, you will be unable to gain the trust of those you are pitching your business to. Your lack of knowledge can display incompetence or a lack of confidence in your vision. The pitch of your business should leave your audience wanting to know more. This goal cannot and will not be achieved if you are fail to gain the trust and attention of your audience.
Step 3: Tell a Story: Although some businesses are truly birthed out of one, or many, bright ideas, each business concept is attached to a story or passion of the individual(s). The story behind your business is what will impel your target audience and peak their interest in learning more about what you do and why you do it.
Step 4: Be Short but Concise: A good story does not always have to be a long one. Learn to speak effectively in a manner that is engaging but also direct and to the point. As you work on remaining prepared, remember, practice makes perfect. Time each run through and remove the areas of your pitch that will not be meaningful to your audience. Also, remove parts that aren’t meaningful to you. Each statement placed in your pitch is one you must be willing and confident in defending when questions arise, because they will.
Step 5: Think Ahead: When pitching your business to an audience, particularly one of investors, they will always think ahead. A bank or investor will always look to the future so that a visible return on investment can be seen. Be prepared to defend not only the present numbers and pricing for your product or service, but the forecasted numbers as well.