dollarbreedersPitching a startup to potential investors is one of the most important moments in a founder’s life. It is expected that in minutes or even seconds, a startup founder can convince an investor to bet degrees on his or her business. It is important to answer all key questions about the startup with ease. In today’s highly competitive and high-pressure market, this can be quite a daunting task.
What is the easiest way to stand out and leave a lasting impression? It’s to create promotional videos for your startup. Videos are an effective way to communicate your message. They resonate with people almost immediately and are fun to watch. In short, video campaigns are the best way to attract investors in a fairly short period of time. In this article, we will discuss everything you need to know about creating videos.
Benefits of using video clips when promoting your business
It gets attention
You usually have only a few minutes to grab the attention of your investors. In those few minutes, you must make enough of an impression on the investor to make them want to learn more about your business, and video is perfect for that. While presentations can contain a lot of information, they can often be boring and stale. An interesting, dynamic video that includes video and audio cues can help you attract more eyeballs.
It can raise more money for you
With videos, you can more easily tell the story behind your startup and what motivates you to start your business. They can evoke an emotional response from your audience and allow you to break down even the most complex concepts in a simple way. Compared to campaigns without videos, campaigns with videos on crowdfunding sites raise 66% more money.
It helps to share the startup story
Storytelling is one of the most effective ways to get potential investors interested in your startup. With video campaigns, you can use a variety of narrative techniques and tell people the real story behind your startup.
It provides more room for creativity
Using video, you can decide how much time the viewer should spend on each frame. You can also experiment and try out different video effects, filters and transitions to make your otherwise boring pitch interesting, exciting and engaging.
Easy to customize
You can customize the referral rate of your videos based on the type of investor you want to refer to them. Video pitch is also easily customizable and user-friendly, so you can stand out from the competition. In fact, you can use the web video editor to edit your video pitch and create video templates that you can quickly customize based on the investors you plan to place.
It adds a human element
Most of the usual pitches contain slides with loaded information and a few images in between. Startup founders should send these pitches directly to investors via email, and only a few will be shortlisted to meet face-to-face with investors to explain the pitch and business idea.
Even if you can’t pitch the startup idea yourself, a video can put you in the center, thus adding a much-needed human element to the launch pitch. You can also add a video, speaking directly on camera, to explain your business idea at launch, or incorporate an off-camera voiceover to break down the inner workings of the business idea. This can help investors feel more connected to you, even if you’re not physically present at the meeting.
Expert tips for telling your startup story through video prompts
1. Keep your videos simple
The most important thing you should remember when pitching your startup is to make the entire video pitch as simple and easy to understand as possible. Startups are steadily growing globally, which means that investors usually have a fair amount of options to choose from. In turn, this means that you will not only impress investors, but you also need to explain your startup idea and business model as succinctly as possible.
2. Limit the duration of the video
Optimize the duration of your video pitch so that it is short, simple and yet very effective. There is nothing more frustrating for people than a video that lasts too long. That’s why it’s recommended to stay within the time frame suggested by investors. If you don’t have direct access to a time limit, it is recommended that you keep your pitch video under 5 minutes in length.
3. Share your startup story
It’s easy to add numbers, charts and spreadsheets to your startup, but too much content can bore your audience. If you only add a few facts and figures to your video pitch, you won’t end up capturing the attention of your investors. Even if numbers are important, you shouldn’t go overboard
What sets your startup apart from many others is the story behind your business and the way it has evolved. By sharing your startup story and USP (Unique Selling Point), you can make your pitch unique and memorable, something that investors are bound to remember for a long time.
4. Always remember your main goal
When developing a video pitch, never lose focus of your main goal – to give investors enough of an impression so that they want to put money into your business. Avoid investing energy in other tangents and never lose sight of the core message.
It is important to respect investors’ valuable time. Ideally, your proposal should include all the details they need to know about your business to determine future funding. If investors find the pitch too confusing or doesn’t contain all the details they need, they may end up not contacting you at all.
How do you build a video pitch?
1. Show your enthusiasm quickly
Most investors are often forced to be on time and hear a dozen tones a day. When organizing a video pitch, you should inspire their curiosity about your business idea right from the start. Start your video campaign with the same passion, dedication and enthusiasm as your business. The first few minutes should relate to your core entrepreneurial idea – why pursue it? Why is it worth the investment? How much traction can the business gain once it is up and running?
2. Show specific numbers
When launching a business, numbers are critical. After all, you don’t want to share broad, vague business ideas with your investors without the ability to back up your big proposition. But at the same time, you should avoid throwing away all the numbers you have, which could end up overwhelming investors and taking the focus off your pitch.
Instead, choose specific numbers and statistics that are critical to your business and can immediately grab the attention of investors. Try adding metrics to show the clear appeal of your business, such as growth rates, customer acquisition costs, profit margins and sales figures. In other words, the middle section of your video pitch should convince investors that you have done enough homework and that you know exactly how profitable your business can be.
3. Close the deal
Spend the last 30-60 seconds telling investors why the startup deserves to get the investment for them and close the deal. It’s important to remember that while your idea may be brilliant and unique, investors will only want to invest if they are confident that you can execute the idea correctly.
The truth is that investors are not only betting on your business idea, but also on you and your ability to execute on it. That’s why you should focus on yourself in the last part of your video pitch. To solidify your commitment to your business, show investors that they can trust you to run your startup. You should also share the sacrifices you have made for your business in the past and the risks you are willing to take.
Conclusion
By the end of the launch, your investors should have a clear understanding of what it means to be a startup, who you are as an entrepreneur, and what your main financial goals are. Using a video pitch rather than the usual presentation is the ideal way to stand out and leave a lasting impression on your investors.
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