Startups Stack Exchange Archive

Standing on the front-lines if finance

What play the important roles in pitching a great way to build capital? Other than the facts such as return,cash flow, revenue, etc.

Answer 5979

Answer

Speak to those things which are most important to your audience:


Investors seek a return on their entire portfolio

When considering finance and the best method of building capital, you should always evaluate the relationship between risk and return.

When pitching, consider speaking to a common language of the best trained in the industry when it comes to risk-return models. This means you should have some familiarity with Modern Portfolio Theory and the Efficient Frontier.


Individual deals must be attractive

If you are pitching to raise capital for a startup, consider answering at a minimum the following questions:

These are all important questions to the finance and investment community when they evaluate a prospective deal.


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