Howto“sell”yourbusinessproposition- Anintroductiontotechniquesforpitchingtopotentialinvestors

Webinar30June2017

Remembertoclick“Connecttoaudio”tohearaswellasseethepresentation!

Yourpresenters

SusanneColes IanTracey KeziaWilliamson

EuropeanProgrammes– OCEANERA-NET

HeadofAccesstoFunding&Finance

AccesstoFunding&Finance

• Introduction• Yourinvestmentstrategy• Developinganimpactfulelevatorpitch• Whatgoesintoapitchpresentation• Hints&tips• Followup&Questions

Theslidesandrecordingwillbemadeavailableafterthewebinar

TheWebinar

• TheOceanEnergyEuropeanResearchAreaNetwork(ERA-NET)• 15researchandinnovationprogrammefundingbodiesand

managersfrom8EUmemberstates• FundingfromtheEuropeanCommissionforcoordination

activities• 4yearprogramme:December2013– November2017• Objective:tocoordinateresearchfundingprogrammesbetween

Europeancountriesandregionstosupportresearchandinnovationintheoceanenergysector

THEOCEANERA-NETPROJECT

OCEANERA-NETPARTNERS

Belgium:FlemishGovernment,AgencyforInnovationbyScienceandTechnology(VLAIO)France:EnvironmentandEnergyManagementAgency(ADEME)Ireland:SustainableEnergyAuthorityofIreland(SEAI)TheNetherlands:NetherlandsEnterpriseAgency(RVO)Portugal:FoundationforScienceandTechnology(FCT)Spain:CentreforDevelopmentofIndustrialTechnology(CDTI);EconomicDevelopment

AgencyofAsturias(IDEPA);OceanicPlatformoftheCanaryIslands(PLOCAN);RegionalDevelopmentAgencyofCantabria(SODERCAN);BasqueEnergyAgency(EVE)

Sweden:SwedishEnergyAgency(SWEA)UK: InnovateUK,EngineeringandPhysicalSciencesResearchCouncil(EPSRC),Scottish

Enterprise(SEN)

OCEANERA-NETACTIVITIES

JointCall2014• 10partnersfrom7countries• €7Mfundingcommitment• 9projectsselected,7commenced

JointCall2016• 12partnersfrom7countries• €6.4Mfundingcommitment• 7projectsselected

OtherJointActivities• Exchangeofbestpracticeonfundingandaddressingbarrierstojointcalls• CollaborationwithotherERA-NETsandJointERA-NETevents• Identifyingwaystoengage,supportSMEs• Jointcallprojectevents• Mappingofcompetencescentres,testcentres• Knowledgesharingandtransfer• Developingconsistenttechnologydevelopmentpathwaysandstagegatecriteriafor

oceanenergy

TheUK’sinnovationnetwork

CrosssectorcollaborationConnecting

peopletodriveinnovation

Events&introductions

DeliveringUK

economicgrowth

Expertadvice&insights

TheUKlandscape

Department of Business, Energy, Innovation and Skills

STFCExport Control

Organisation

GREAT.gov.uk

UK Export Finance

Department of International Trade

Export Control

Organisation

GREAT.gov.uk

UK Export Finance

Department of International Trade

Department of Business, Energy, Innovation and Skills

STFC

BlueSky&Applied

Research&Facilities

Enhancethecompetitive-nessofUKcompaniesthroughoverseastrade,

investments&paymentforworkexported.

UK’sInnovationAgency:remittosupportwealthcreationof

UKplc

TheUKlandscape

Export Control

Organisation

GREAT.gov.uk

UK Export Finance

Department of International Trade

+Regionalprogrammes:Scottish/H&IEnterprise,InterfaceBusinessGateway,ScottishFunding

Council,InnovationCentres

Department of Business, Energy, Innovation and Skills

STFC

BlueSky&Applied

Research&Facilities

+Privatesector&Others:Accelerators,Incubators,CrowdfundingLegal,Accountancy,HRfirms,BanksAngels,VCs,Corporates,PE,AIM/IPO

Enhancethecompetitive-nessofUKcompaniesthroughoverseastrade,

investments&paymentforworkexported.

UK’sInnovationAgency:remittosupportwealthcreationof

UKplc

AccesstoEuropethrough

partnering,legislation,H2020

support&skills

training

11Catapultsprovidingstate-of-the-artfacilities,expertise,

IP&businesssupport

UK’sInnovationNetwork:connectingpeople,

technology,finance

TheUKlandscape

Sourcesof(external)funding

At a glance, funding can be split into 4 categories:

Grants DebtFinance Crowdfunding Investment

Consider carefully what is right for the business

FundingOverview

Webinardeliveredon16th June:”Guidetopublicfundingandprivatefinance”

Fortherecording,pleaserefertotheOCEANERA-NETwebsite:

http://oceaneranet.eu/recording-now-available-for-guide-to-public-funding-and-private-finance-webinar-16-june-2017

InvestmentStrategy

•Publicnetworking•1:1networkingShort

•5,10,15minFormal

InvestmentPitch

•Slidedeck•Document

WrittenBusinessPlan

Fromtheinvestorperspective:

• Scopeoptions• Hearshortpitches

Networking•Longpitches• 1:1meetingsGettoknow

company• Legals,financials,technologyetc• AgreetermsofinvestmentDue

Dil.

Whatwouldyouspendaspare£1mon…

©stocksnap.io

ThisisaSALESprocessWearesellinganopportunitytoinvestinavision

Thinkfromtheothersidewhytheywanttodoit.

©stocksnap.io

Whatarethekeyfeaturesofagoodshortpitch?

Ausefulapproach

1. GrabAttention2. Filter3. Inform&BuildCredibility4. CalltoAction5. ContactDetails

FiveSimpleSteps...

GrabAttention

…IamnotlisteningtoyouIhaveheardafewpeoplebeforeyouandIwanttocheckmyFacebookonmyphone….So,useaquestionorathoughtprovokingstatement:

Howcantheworldhave1Billioncars,yet99%ofthemstillusedirtyfuels?Hydrogenburnscleanly,ineasilymodifiedpetrolengines.

Don’twastetime…

21

Filter

YouhavemyattentionbutamIrightforyou?Youneedtoletthemknowthatyouhaveasolutiontothebigproblem.

OurHydrogenfueltanksolutionwillmakeHydrogencarsaseasytouseasthetraditional1Billioncars.

Gettheselectfewtoreallylisten

22

Inform

Asaninvestor,Ihearalotofamazingstories,allthetime.WhyshouldItrustyou?So,whatwillmakeyoursolutionworkwhereothersmayhavefailed?

OurfoundingscientistdiscoveredthematerialwhileworkingattheUKnationalphysicslab,andwehaveexclusiverightstocommercialise.

Buildyourcredibility

23

Action

Thatallsoundsinteresting,butwhatdoyouwantfromme?Giveaneasytounderstand,clearcalltoaction.

Wearelookingfor£500,000tomoveourbenchprototypeintoacardemonstrator.

What’sthenextstep?

24

ContactDetails

Iftheright1%islistening,thenifonlytheyrememberyou,100%ofthecorrectpeopleknowyou- youarenotTVstars!Leavethemwithwhoyouaresotheycanfollowup.

MynameisIanTracey&talktomeifyouareinterested.

Whoandhowtoconnect

25

TheFullPitchHowcantheworldhaveover1Billioncars,andyet99%ofthemstillusedirtyfuels? Hydrogenburnscleanly,ineasilymodifiedpetrolengines.

OurHydrogenfueltanksolutionwillmakeHydrogencarsaseasytouseasthetraditional1Billioncars.

OurfoundingscientistdiscoveredthematerialwhileworkingattheUKnationalphysicslab,andwehaveexclusiverightstocommercialise.

Wearelookingfor£500,000tomoveourbenchprototypeintoacardemonstrator.

MynameisIanTracey&talktomeifyouareinterested.

26

InvestmentPitch

1. TitleSlide2. ElevatorPitch3. Whatyoudo4. Traction5. MarketSize

6. Competition7. People8. Finances9. TheAsk10.TheExit

Theformalpresentation

1.TitleSlide

Thinkthatthiscouldbeup,whileyouarewaitingtotalk

Image©stocksnap.io Redd Angelo

Whereitallstarts

2.ElevatorPitchKeepitsimple,use30secondpitch

Image©Flickr - Redd Angelo

Image©Flickr - Redd Angelo

3.WhatyoudoTheproduct

ImageWikipeadia

4.TractionVeryimportant– investorswanttoknowthatcustomersarebuyingyourproduct

©Flickr newsbiepix

5.MarketSizeMakesureitisspecific,targeted.Avoid1%...

Slide from©http://slidebean.com/

BottomUpStartoffwithoneandworkupwards

33

68Millionhttp://www.statisticbrain.com/cars-produced-in-the-world/

£100 15%MarketShare

£1BillionPeryear

Topdown

AutomotiveMarket$1.7Trillion

FuelSystems$58Billion

Fueltanks$17Billion

http://tinyurl.com/hyav4a6

http://tinyurl.com/h6b2533

http://tinyurl.com/zu7lx4v

15%MarketShare

£2.5 Billion Per year

6.CompetitionNo competition is a bad thing – bleeding edge

©http://archive.mondaynote.com/wp-content/uploads/2015/05/366_Spar_us_final.pngFromDonnaGriffit http://tinyurl.com/z42ssns

7.PeopleThe‘Aclass’team

8.FinancesBecarefulaboutthelevelofdetailyouprovide

©http://www.slideshare.net/QuintinAdamis/newdeck

9.TheAskHowmuchmoneydoyouneed?Whatfor?

Slide from©http://slidebean.com/

10.TheExitPossiblythemostimportantslide!Tieittorealcompanies,notjustanaspirational10X

Slidefrom©http://thehustle.co/the-first-pitch-decks-from-billion-dollar-companies

PitchFocusCommonforpublicsectorfunding

What MarketWho UseoffundsTeam Finances ExitTraction

InvestmentPitchFocusWhataninvestorwantstosee

What MarketWho UseoffundsTeam Finances ExitTraction

BusinessPlanFocusWhataninvestorwantstosee

What MarketWho UseoffundsTeam Finances ExitTraction

TopTips1.Focusonbusinessnotproduct

ü Aninvestmentpitchistoshowhowyourproductwillmakemoneynottodiscusshowgreatitis

2.Haveanelevatorpitchreadyü Beabletograbattention,saywhoyouareandwhatyouwant

inlessthanaminute.Sellyourselfaswellasyourbusiness

3.Beclear&conciseü Avoidjargon,acronymsandtechnical

terminologyanddon’toverfillyourslides

4.Berealisticü Especiallywhenitcomestovaluingyourcompanyandyour

runway

5.Beconvincingü Whydoyouneedthemoney?Askyourself– wouldyou

invest?

Focusonbusiness

Beclear&concise

Berealistic

Haveanelevator

pitchready

Beconvincing

TopTips6.Consideryourexitstrategy

ü When,howandhowmuchmoneydoyourinvestorsstandtomake?

7.Quantify&justifyü Providenumbersandevidencewherepossibletobackup

yourclaims

8.Checktimings&deadlinesü Sticktoyourtimeslotandcheckwhetheryouneed

tosubmityourpresentationorotherdocumentsinadvanceofyourmeeting.

9.Getadvice&feedbackfromKTNü Weareheretohelpandourserviceisfree– wecanprovide

independent,objectivefeedbackandadvice

10.Don’tleaveittoolatetogetsupportü Contactusearlytogetthemostvaluefromthesupportavailable

Consideryourexitstrategy

Checktimings&deadlines Speakto

KTN!

Quantify&justify

Don’tleaveittoolate

Fitwithinscope

Beclear&concise

Makearealisticplan

Agreekeypointswithpartners

Beconvincing

UPCOMINGOCEANERA-NETEVENTS

Workshop4-5th July2017,LasPalmas(Spain)OceanEnergy:TurningLessonsintoConstructiveActions

WorkshopsduringFinalProjectConference,Edinburgh(UK),datetbc• IntellectualProperty&TechnologyTransfer&Internationalisation• InvestorReadiness

http://oceaneranet.eu/

Followup

Ifyouhaveaquestionpleasetypeitintothechatbox.

Forfurtherinformationorifyouhavequestions,pleasecontact:

SusanneColes:susanne.coles@ktn-uk.org

THANKYOU