Investor Pitch Video in Raising Money for Your Start-up Business
Let's find out why you should consider it!
You know how significant funding is in terms of growing fast as a start-up company! Nowadays, it has been challenging to catch the eyes of the investors from hundreds of emails. So, what should you do to convince the investors? Here, an investor pitch video opens an excellent opportunity for you.
Let us now find out why it is crucial to make a video pitch to raise money for your start-up business. In addition, you will get to know how you can prepare a quality video pitch.
What’s the Purpose of a Pitch Video?
The prime purpose of an Investor Pitch Video is to represent your business ideas to potential investors. A video pitch helps them know what you to work with and what you expect from them.
This is about offering your ideas or products coherently to motivate the investors to be your valuable partners.
As an entrepreneur, you should be the pitch person of the video because you know best about your business and your demands to describe them adequately. You may also consider a celebrity or a representative from your company to be the presenter.
A Pitch Video gets very little time to fascinate the viewers. However, this is a very effective way of doing it in messaging or presentations because hundreds of messages might be the reason for disturbance for the angel investors.
What types of Companies should create a Pitch Video?
If you have started a company and it is in its initial stage of development, you may need capital for rapid growth. As an Investor Pitch Video is a convenient way of raising capital, you should step forward to create one for yourself. That is how every start-up company should think and work.
Different NGOs, as non-profits, need regular funding to stay in action. So, these organizations should also target pitch videos to convince the donors.
At the same time, whatever type of business is, it should target the investors with pitch videos if there is a necessity for resources.
Should you do it yourself or hire a professional?
That is important here to decide whether you want to make it yourself or hire someone with expertise. Remember that a small video clip will determine your chance of getting funds for your business.
So, you cannot just say ‘’ah, oh, hmm, yeah’ in your Investor Pitch Video. Every word of the pitch should be relevant to your business. This should also represent the benefits investors will be getting if they decide to invest in your project.
Can you meet those criteria? Yes? Go for it. If not, then do not even think of doing it. You better find ‘’Someone Else’ who is a professional in making pitch videos.
Who should be ‘’Someone Else’? We recommend you get the help of a well-known agency to avoid any issue and get top-quality work.
Things to Consider Before Picking an Agency…
Look for the videos that are made for different campaigns by the agency. This will give an overview of what type of video you want and whether the agency can provide that or not.
If everything suits your company’s demand, then go for the pricing. Compare your already decided budget with their packages. If it matches, then check the additional criteria, such as how much you need to be involved in the process of making the Pitch Video.
Get the information of how much time they will take to complete the work.
Let them know your plan about how you want to see it happen. In addition, you should provide transparent information about your business idea along with any materials they ask for.
Do not forget to discuss the procedure of getting revisions to redesign the Investor Pitch Video if necessary.
Things to Consider to Avoid an Agency…
If you find that an agency cannot provide a proper plan of how your video pitch will be organized, better avoid it.
Google reviews may help you understand the quality of the agency alongside customer satisfaction. Consider the overall response time along with clarification in terms of pricing.
Do not step forward if you think that the agency has not done anything as you want before.
What are the benefits of creating a Pitch Video?
It is time to know some of the great benefits a video pitch will generate for you:
Grabs the Attention Quickly
Grabbing the attention of the investors is vital in the first few seconds of your introduction. Because that will motivate the viewer to move forward. In this case, a video pitch is a perfect option for you.
It is proved that more people become eager to buy any service or product after watching a video rather than specifications or anything else. This happens only because videos grab the attention magnetically. An Investor Pitch Video works similarly for you.
A video pitch does not generate tons of information like traditional presentations. However, all the vital points are there for fascinating the viewers. So, a little time does the trick for you to grab the attention of the investors swiftly.
Superb Engaging & Customizable
When you directly talk in a video, it creates a kind of situation that is real and engaging. So, the investors think like they are discussing your business with you. This is far better than cold calling and some boring presentations or messages.
Notably, a Pitch Video increases the chance of getting clicked by the investors. Hundreds of messages might be available to them every day. So, it is tough to get noticed by them easily without producing something different and attractive.
As the video pitches become tiny, you may customize them easily. This is crucial because you should not send the same video to every potential investor. You may need to add additional information for any of them.
Contains the Human Element
Just think about the presentations you used to send before. What did precisely they contain? Much information, images, animations, several slides, and many more things. As most entrepreneurs tend to do similar things, this may become irritating for the target audience.
Nevertheless, the situation changes dramatically when you or your representative is present in a video pitch with an artistic style. This is because a human element is now present there who is explaining the overall business idea. The format is also changed to a video that is more viewer-friendly.
Consumes less amount of Time
Preparing an Investor Pitch Video does not require an extended period if you have the plan ready. It may differ depending on your experience and expertise.
This is like ‘’Lights, camera, action”, and you start recording according to your script. Isn’t this easy that way? If you have experience, it will seem very easy for you.
Differentiate your Business from Other’s
Can you count the number of start-up businesses around you? It will not be easy indeed. So, the competition is quite high, and you are to stand up to them. That means you should do something dissimilar to differentiate your business.
As most companies use pdfs or presentations, you may use a Pitch Video to be differentiated from others. This will help the investors think that you are resourceful and innovative. So, the initial impression will be on your side. Then, the content of the video will do the rest.
Ultimately, Brings Capital for Your Start-up Company
This is what you will want to see happening again and again. When you have prepared a great video pitch, it will certainly be easy to draw the attention of the investors.
As I have said earlier, if appealing content is present in the video pitch, you can be sure to get appointments. Afterward, it will be up to you to complete the paper works.
What are Crucial things to include in your Pitch Video?
Don’t miss a single point to produce a masterpiece for your start-up!
Hit the Heart
Your viewer does not have time for Ewe, Aah! So, do not waste time. Try to hit the areas that will hypnotize the viewer.
The first 30 seconds will be the most critical time for you. Within this period, you are to guide your viewer to a position from where he/she can take your video pitch seriously and think for appointments.
Keep it Simple
Do not be too much excited! Make everything simple and cool for the viewer. Your Investor Pitch Video is not for a debate or any funny purpose. So, it should be professional.
It would help if you were 100% sure about what you are presenting. Clear your start-up idea, which is going to be beneficial for the investors. Be sure to have respect for them as well.
Keep It Short in Length
This is a mandatory requirement for a start-up video pitch. When investors see video pitches, they will be motivated to click on them. Nevertheless, when they get something very long and tedious, they will lose interest and click on ‘’Close’’ immediately. So, make sure the video is succinct and exciting.
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Remember that you are not discussing how much capital you will get or a whole business plan. You are in the process of motivating the investors for an appointment to discuss them later.
What should be the length then? That depends on you and your business idea. Please cover everything within 2 to 2.5 minutes. You may take more time as long as you are not making it irrelevant.
Show More, Talk Less
This is where you must be smart to organize your content. Do not just try to show how much beautiful you are by keeping yourself on the screen.
Showcase concrete proof of what you do and what you are planning to do. That may include photos, testimonials, or any clips related to your start-up. Whatever you think is essential can be added to a Pitch Video.
Focus on Your Goals & Benefits
Be specific about where you want to use the investment. If possible, you may give an overview of your whole plan. Importantly, it would be best to talk about the investors’ benefits from your start-up idea.
Do not try to be overconfident about providing too many benefits to them. Be logical and honest while offering anything. Try to build trust. Funds will come automatically.
Be Absolutely Clear about Your Points
While doing everything above, you should keep in mind that every investor can hear you. You are to ensure that everybody understands your concepts and your language.
First, try to define your target audience. Do a little research to gather knowledge on their language, dialect, or culture. Then start working on the video pitch accordingly.
What Are the Things to Exclude from Your Pitch Video?
Avoid these small but vital issues to increase the quality of your video pitch:
Generic Words or Concepts
‘’My start-up company is a top-class company’, ‘’You can believe me to ‘invest’, etc., etc., etc. These are useless sentences! They do not generate a minimum of value to your Investor Pitch Video. Instead, they make the pitch a generic one that lets you down.
So, be explicit about the areas where you want to hit the potential investors. Express your plans smoothly and let the investors make their decisions.
Repetition of the Same Concepts
When you have talked about a concept, that is the end of it. If necessary, that may come in another sentence for a second time.
However, if it comes for the third time, that is a punishable crime! Do not do that ever in your Pitch Video. After hearing repetitive concepts, potential investors will mark your video as prosaic and go for alternatives.
Too Much Defensive
While treating the investors through your words, do not be too defensive. You need not present everything in a way that reveals that you are flexible in doing everything to get funding.
The approach should not be neutral as well. It would help if you use both ways effectively. Show flexibility in those areas where necessary. At the same time, be strict but calm in some cases to show a strong personality.
Use of Irrelevant Materials
Recommendations have been given above to use different types of material such as images, clips and, animations, etc., within a Video Pitch. Nevertheless, anything irrelevant should be removed from the pitch.
Sometimes, we tend to think that we must use superb and attractive images or statistics to grab the attention of investors. Yeah, that can be done, but they should add value and represent what you express vocally.
Good content, and excellent materials, but flop in the end! Is it possible? Yes, because the presentation is an art. That is where a problem may occur even if you have quality resources.
So, if you think that you can make the video pitch exciting, there is no issue. If not, let someone else avoid the boringness of the whole pitch to ensure that you get appointments.
Final Words – Investor Pitch Video
As you have now a clear understanding of why you should create a Pitch Video, you can undoubtedly go for it to collect funds for your start-up company.
If further help is needed to prepare a superb video pitch, feel free to let us know. We will be back with solutions.