Pitch like a pro
You don’t have to be a startup founder to want to pitch your business idea – Side gigs need funding too! However, there’s a lot we can learn from how startups pitch to investors that you can apply when pitching your side gig to family, friends, and others.
First impressions
Investors will often decide if you’re worth listening to within the first 30 seconds of meeting you – while your close circle might be more patient with you, brevity can be an ally for you when pitching.
Put yourself in their shoes. What sounds more interesting? A five-minute explanation about someone’s idea for a new cupcake recipe, or the words: “Mango filling.” An interesting hook will get potential investors to ask more questions.
Know your value proposition, get it down to thirty seconds, and avoid overexplaining or getting too in the weeds when initially pitching.
Tell a story
Let’s say you make a low sugar snack for children you want to market at mothers in your community. Results from a local survey are promising, so you begin to look for investors.
If you say something like, “90% of women aged 28-54 in the Westchester area said they want more snack options with less than 5 grams of sugar for their children,” this is true,but it doesn’t tell a very interesting story.
Saying something like “The mothers in our community want to provide healthy diets for their children. Our survey of moms in the area shows that while they prioritize healthy snacks, options are few and far between,” paints a much clearer picture, and gives life to what is otherwise cold data.
While you should have strong research on why your idea is a good one, don’t rely on research to do the talking for you. Your research should prop up a narrative that is compelling and easy to follow.
Go beyond a presentation
While many founders will advise you to have a strong deck prepared to pitch your idea, a presentation can often feel stale with slides as the only video aid.
Go beyond the PowerPoint – bring your presentation to life with demos or prototypes of your product, props, and other elements that lift off the screen if you can. It makes your presentation much more memorable and keeps your audience awake.
Bill Gates once released a swarm of non-infected mosquitos into a crowd at a Ted Talk to make a point about malaria, rather than relying on only statistics and slides on a screen.
Be prepared for a Q&A
This is when details come into play. If your investors like your idea, they will stress test it.
You should prepare for this the way lawyers prepare for cross-examinations. Make sure you can back every claim you make with primary data or facts, address any potential threats or holes in your idea, and clarify any confusing points.
Overpreparing for tough questions means that when they come you won’t be as nervous. You’ll avoid coming across as defensive or unknowledgeable, and your investors are more likely to trust you.
Know how much you’re asking for
Some investors advise asking for double what you need to provide buffer and cover unexpected costs. You should be able to justify the number you ask for and clearly articulate what your investors will get out of your side gig.
You know your circle and what they can offer to you, but you’ll also want to treat discussions about funding like any formal negotiation. Your investors will take you more seriously if you know your worth and collaborate with them.