Preparing for your meeting
We have put together a list of questions to help you prepare for a venture capital meeting and to provide guidance on the areas our team likes to discuss. Of course, these questions should not be interpreted as a strict agenda. You should present in the manner that best conveys your particular opportunity.
"Elevator Pitch"
In a concise manner, describe what your company does:
- What do you sell
- Who do you sell it to
- Why do they buy it
Corporate Information
- Founding date (month/year)
- Location(s)
- Structure
- Number of employees (full-time, part-time)
Management
- A brief overview of all key members.
- Highlight all relevant experience and discuss hiring needs going forward.
Market Opportunity
- Describe the target market.
- How big is the market today?
- How fast is it growing?
- What are the growth/opportunity drivers?
Distribution/Sales Strategy
- What is the value proposition for target customers (why do they care)?
- How will you reach the customers?
- Who are the decision makers within the target customers and how do you gain access to them?
- How much will this sales process cost?
Customers
- Who are your key customers?
- If you are pre-revenue, who are your beta customers or who will you target as beta customers?
- What does your sales pipeline look like?
Product Development
- Status of product?
- Outline key milestones and expected completion dates.
Business and Revenue Model
- What is your economic model?
- List prior year actuals and years one through five revenue and profit margin estimates.
- What is the assumed number of customers per year and what percentage market share would that be?
- What are the key assumptions in your model?
- How and when will you make money?
Competition
- Who are your competitors?
- How do you differentiate yourself?
- What is your sustainable advantage?
Risks
- What do you worry about?
- What could go wrong?
- In particular, you should be prepared to address the following potential risk factors:
- Market Risk
- Product/Service Risk
- Management Risk
- Financing Risk
Historical Financing
- Current investors
- Amount raised
- Date raised
- Post-money valuation
- Option pool
- Current capitalization table
Proposed Financing
- Total amount to be raised
- Amount already committed
- Valuation expectations
- Proposed future financings