How to Create a Compelling Video Pitch that Attracts Investors

A video pitch is one of the first ways to introduce your business to investors.

Video pitches are no jokes, due to their visual elements, and that is why there is usually pressure on the part of the entrepreneur to create a compelling pitch that gets investors signing cheques.

A video pitch would either get investors competing to get a piece of your pie, or get them looking the other way.

So, you have to put your best foot forward. In fact, to put it more clearly, you have to put all you have, in terms of knowledge and skill, to create a good enough video pitch.

So, how ready are you?

In this article, we’ll be looking at a few steps to creating a compelling video pitch that gets investors interested in you and your business.

It is my hope that you can get over the pressures of making a video pitch and just show the best of yourself and your business.

If you can do so, many benefits await you.

Creating the Right Foundation

Before making your video pitch, you have to prepare the setting. 

What location do you plan to use?

What equipment would you be needing for a successful video shoot? Etc.

Here are some things to consider:

Quiet Location

A quiet Location is important to have a distraction-free video shoot.

Whether you are filming at home, the office, or a rented space, you need a place that is devoid of vocal and visual noise.

Lightened Ambience

A lightened ambience brings out the quality of your visuals.

You want the investors you are pitching to see you clearly without zooming in or straining their eyes.

Audible Microphone

A video is not a selfie. So you need sound to project the content you are showcasing.

That is why you need a good microphone.

You could use the microphone from a regular earphone, or a lavalier mic with amplification capacity.

The choice is yours to make. Just make sure that the microphone is as audible as possible.

Clear Video Camera

An unclear video pitch is like a blurred image. Not only is it disrespectful to your audience, it shows how serious you handle your business.

So, your video pitch must be clear enough so as to help investors focus on other areas of your pitch.

Use a clear video camera with high pixel. A 4k camera would help you do that.

The content

Without the content, there would be no need to make a video pitch in the first place.

Your content should be ready and rehearsed before preparing the setting for your video shoot.

Crafting the Right Pitch

The content of your pitch is the most important part of your video pitch.

It is what investors want to hear, and what they would judge you on.

Investors cannot judge you based on information that you did not provide. So, you have to bring as much information as possible within the shortest time.

That means you have to cut out a lot of fluff and unnecessary information. Just go straight to the point and provide useful information that investors can work with.

Here are some ways to craft the right business pitch:

Give a Business Overview

A business overview is like an introduction of yourself and the business.

It shouldn’t be more than 20 seconds.

E.g. Hello, my name is Solomon. I’m the Managing Partner of Solomon Enterprises, a company that manufactures all kinds of footwear and leather accessories in Lagos, Nigeria.

Now, that’s smooth.

Convince with your Qualifications

The next step in your business pitch is to buttress your qualifications.

Why are you the person to solve this problem or fill this need?

What skill set or education do you possess that gives you an advantage in the industry?

This is your chance to market yourself.

Show the Unique Aspects of your Business

Why is your business different from other businesses in the same industry?

What are you doing differently? And why should customers and investors choose you?

Here, you have to show a unique angle of your business proposition.

It doesn’t matter whether you are into a generic business like farming, supermarket, or boutique. 

You just have to find a unique angle that your business is relying on to satisfy its customers.

Show your Business Traction

Now, to the meat of the pitch.

Investors want to know what traction your business has achieved so far. No matter how small.

How many customers have you acquired?

How many sales have you made?

How many distributors do you have waiting in line for you?

Do you have a patent that would help you create a competitive advantage or overcome the market competition?

The question is, what have you done so far?

No matter whether you are a new business or one that is a few years down the line, investors want to see traction.

No traction, no investment.

Account for your Market Size

Market sizes are indicators for how big your business can grow.

Savvy investors like to know the market size of your business industry before making any financial commitment.

The truth is that investors are greedy. If you ask an investor to choose between a business that has a market size of $2 million and one that has a $20 million dollars market size, all things being equal, the average investor would pick the latter.

Why?

Because a big market size represents an opportunity to grow their investment further.

So, you have to give account of a market size that shows great promise for growth and scale if you want to convince investors to invest in your business.

Show Proof of Demand

Nobody wants a business that is not in demand.

The same applies in investing. The higher in demand a business is, the more investors would fight to invest in that business.

There are times when a highly demanded business would get several deals from more than one investors.

In this case, the ball is in the court for the business. They either have to choose the most lucrative deal or merge more than one investor into a single deal.

When you show proof of demand for your products or services, you are telling investors that you will definitely make money with or without their investment.

Those are the kind of businesses investors love to invest in.

Show your Numbers

If you have any sales or acquisition achievements, here’s where you need to showcase it.

For example;

“Over the past 12 months, we’ve acquired 3,000 customers on our premium plan of 20,000 Naira per month”

“During our market survey and beta testing, we’ve attracted 20,000 first users who are willing to pay for our products once we start manufacturing”

Numbers. Numbers. Numbers.

Investors need numbers to punch into their calculator in order to ascertain if your business is worth investing in.

Why not give them what they want?

Indicate your Business Resource Needs

Now, what do you need to continue running your business or to scale?

You have to be straightforward about it and mention exactly what you need to do with it.

For example;

“Currently, we have more than 10,000 customers in Lagos, but we are looking to scale our manufacturing and marketing efforts so as to capture market share in other states. We need N5million to achieve that.”

Predict the Future of your Business

Now, investors want to know what their money can do for your business.

In other words, how much growth can your business achieve if provided the necessary cash and resource investment.

In this case you have to project your business into the next 1 to 2 years.

What do you envision that your business could achieve within that timeframe using the capital injection?

You could say, for example:

“With a N5million capital injection, we could set up 2 extra manufacturing plants outside of Lagos, scale up our marketing, and grow our sales from 10,000 products to 50,000 products monthly.

Conclusion

Once you are done with the main parts of your pitch, you have to close optimistically.

You don’t want to conclude without a strong point or something to show that you are determined to continue growing your business.

Don’t conclude with sentences like this:

“With these few points of mine, I hope I’ve been able to convince you to invest in my business”

“My business depends on you to make it work, please consider investing in my business.”

That’s the wrong way to conclude your pitch video. It shows that you are either too desperate for the money or you have no plans to utilize the money for your business.

Either way, you wouldn’t get the investment because investors only invest in serious businesses.

Instead, end strong with something like this:

“We’ve surveyed our new manufacturing sites, designed our marketing plan and we are looking to commence the next step of our business by next month. We hope through this platform, we’ll be able to get the necessary funds to move forward and achieve our goals. Thank you for this opportunity.”

That makes for a great ending to a video pitch for your business.

Share: