The executive summary is the first and most important slide of your pitch deck. It's your chance to grab the attention of potential investors and convince them to learn more about your venture. But what should you include in the executive summary of your pitch deck? Here are some tips to help you craft a compelling and concise overview of your business.
The first thing you need to do is to clearly define the problem that your target market is facing and how your product or service solves it. You want to show that you understand the pain points of your customers and that you have a unique value proposition that addresses them. You also want to highlight the size and potential of your market opportunity and how you plan to capture it.
Clearly and simply lay out the problem that you are solving for. It should be easily understandable in one sentence. Ideally explainable to a middle schooler. Here is the problem. Here is the solution.
It may be a problem or an efficient way / product / process ; Which you can address ; and create value for the end user ; and at the same deliver value for your enterprise. You need to mention this in one line each. Don’t go in to details. Just the broad idea to keep the reader interested.
How do you perfect the Problem & Solution Slide? - Showcase a strong problem statement and explain how you are well-positioned to understand it. - Explain how you plan to tackle this problem, highlighting how your approach is different and better than all existing solutions. - Get your TAM, SAM, and SOM right. Be realistic with your figures and always quote your sources.
You also need to think through the other materials you're using. Don't put every word in the deck! Think through the verbal delivery that goes with what you've got on the visual. So potentially an executive summary, but likely not needed.
In the cover slide, state what your business does in plain language below the title. Then organize the executive summary into 6 blocks. 3x2 layout. Each has a title and paragraph. Market Size: Size of the opportunity. Traction: Show early indicators of success. Revenues and growth rates. If pre-revenue, write metrics such as user retention, LOIs, NPS etc. Solution: Main features. Also mention any IP. Team: 2-3 skill composition of the team. If possible, also experience to solve the problem. Financial Projections: Your revenue potential in 4-5 years. Include the percentage of market share that makes it possible. Funding: Specify the amount of capital you are seeking to raise. Also the key milestones you plan to achieve with this funding.
The next thing you need to do is to demonstrate that your venture is not just an idea, but a viable and scalable business. You want to showcase your traction and validation, such as revenue, growth, user engagement, customer feedback, partnerships, awards, or press coverage. You also want to highlight your competitive advantage and differentiation, such as your proprietary technology, intellectual property, network effects, or brand recognition.
I have coached hundreds of founders over the past decade and can't stress enough that pitch deck should ALWAYS include a strong exec summary that focusses on traction. No matter how early the startup or idea, if you can show proof that others are interested or, even better, willing to pay (or have already paid) for what you are offering, investors will bend over backwards to give you their money. If you have a patent, won an award or made thousands in a pre-sale without marketing: include it as early on in your pitch deck as possible!
Y más que palabras, el dato mata la opinión. Si la startup realmente tiene datos que muestren tracción, conexión entre famoso "market fit" entonces uno tendrá menos espacio para cuestionar a la startup
TAM - Total Addressable Market is a metric that VCs tend to look for. However, I firmly believe having a problem that 100 users will be highly engaged about vs 1000 user who will be moderately engaged, the 100 user problem will succeed in the long run. Companies need advocates to share the solution and be driven to make an impact
Now it's time to showcase your traction and validation! - Highlight your wins (growing revenue, users or stellar customer feedback). Show us those medals. - Focus on engagement and impact. Show testimonials from users or partners. - Got some awards or media coverage? Flaunt your venture's charm. - How are you different? - Show us your secret sauce whether it be tech, IP or brand. - Prove that you're not just another business, but a winner that's thriving for more.
In the recent fundraising landscape, there has been a significant increase in focus on the traction section, emphasizing the importance for startups to showcase their business momentum. This trend highlights the need for startups to align their fundraising strategies and business solutions with the latest developments in disruptive technology and the broader economic environment. The indicators of validation differ depending on the startup's stage. For early-stage companies, strong feedback from ICP interviews can be crucial. In contrast, for more established startups, metrics like high usage, low churn rates, and reaching a certain amount of ARR are key indicators. The goal is to demonstrate some capabilities that set the startup apart.
The last thing you need to do is to introduce your team and your vision. You want to show that you have a diverse and experienced team that has the relevant skills, expertise, and passion to execute your vision. You also want to share your vision and mission, such as your long-term goals, social impact, or exit strategy. You want to convey that you have a clear and compelling vision that aligns with the interests and values of your potential investors.
I am going to DISAGREE with this LinkedIn suggestion of your team being the LAST thing you include in your executive summary. It should go after identifying the problem. Why? Because no matter what the problem is your company is seeking to solve---if they don't have the time to execute solving the problem, none of this matters. None of it. As an investor, I don't care about anything else if you cannot persuade me you have the team to get it done. I don't care how large your market size is, traction and even sales (because that can always change.). I need to make sure the executors (team) can do what you are seeking to do and then I keep reading.
Team slides are crucial. Although having a great business model, innovative ideas, and a well-chosen market is important, the execution by the team matters significantly. Sometimes, team slides merely display titles (CEO, CTO, etc.) and names, which doesn't provide us (investors) with much information. It might seem superficial, but including details such as academic degrees, schools attended, previous experiences before starting the business, and any media exposure can enhance credibility. Whether or not these elements are game-changers is irrelevant. They offer better impressions and can be important to differentiate.
When founders are presenting themselves, I'm always curious to understand their underlying motivations. Are they mainly doing this because they've found a great way to earn a lot of money, or is it also deeply aligned with their personal goals and missions? The best founders usually have a very unique story (which I would like to understand as an investor), and they are trying to solve an important problem because they have a strong motivation for that beyond financial incentives. We can call this a 'founder-problem fit (FPF)', which I think is even more important at early-stage startups than having a good 'product-market fit (PMF)'. Founders should somehow highlight this in their pitch deck and mention it when they are presenting.
When presenting your team ?????? and vision ?? in your pitch deck, strike a balance ?? between brevity and impact. ?? Concisely outline the expertise and experience that make your team uniquely qualified to execute your vision, and persuasively articulate the compelling market opportunity that awaits your startup. ?? Investors seek not just promising ideas but also the driving force behind their success - a team with the capability and passion to transform their vision into reality.
Startups are hard. Most will fail. Finding a team that is both passionate and experienced in the space is important. Being able to pivot and having a bias towards action are also indicators of potential success
The executive summary of your pitch deck should be simple and clear, with no more than 10 bullet points or sentences. You want to avoid jargon, acronyms, and technical details that might confuse or bore your audience. You also want to use visuals, such as graphs, charts, logos, or images, to support your key messages and make your slide more attractive and memorable.
Many VCs will have templates for their most successful pitch decks. Templates are your friend. Communicate the story effectively, simply, and enthusiastically.
Your executive summary should demonstrate that your project aligns with the goals of potential investors and can provide them with a return on their investment. It's crucial to comprehend and address what investors are specifically looking for. The executive summary should be succinct, ideally no more than three pages, and written in easily understandable language. Avoid industry jargon and focus on a concise but comprehensive explanation of the project. This helps in making your pitch accessible to a wider range of investors, including those who may not be familiar with the technical details of your industry
Write a short, crisp, clear and captivating summary. Use this format; core idea, problem, USP; growth potential; all star team; traction; opportunity; partnerships; financial summary & mission.
Simplicity is your best friend in the executive summary. Remember, this is probably the first time the viewer is hearing anything about you. Cut the fluff, ditch the jargon, and make every word count. This is about making complex ideas accessible, not showing off industry lingo. Use visuals not as decorations but as storytellers that complement your narrative. This section is the essence of your pitch, distilled to its most potent form.
It is not an either/or. Think of it this way. If you only had 1 slide to tell everything you wanted to about your venture and get the VC interested, then that content needs to be on this slide. This goes back to the 10-30-180-300-Beyond rule. That's how you break your story down - in seconds. Your Exec Summary should have enough story points to cover all those time scenarios. This does not mean that you need to cram every available pixel on the slide. But a good exec summary will include a bullet each about the problem, solution, research/validation, market potential, product-market fit, team and ask. Crafted properly, all of this information can be compiled in a few bullets (or other creative ways) with still some room to spare.
The executive summary of your pitch deck should be tailored to your specific audience and their expectations. You want to research your potential investors and their preferences, such as their industry focus, stage preference, investment criteria, or portfolio companies. You also want to customize your pitch deck according to the format and context of your presentation, such as online or offline, one-on-one or group, formal or informal, or short or long.
Your job is to close investors, so tailor it to impress your audience. - Do your research on investors and only target ones that are aligned with your venture. - Adapt your pitch based on medium. If it's online make it visually appealing and snappy. If it's in person then engage with stories and enthusiasm. - Match the investor's energy. If they're acting formal then be professional. If they're acting casual then let your personality shine. - Be mindful of the time. Short calls are like a rapid fire round. Long ones will allow you to unfold your narrative.
Each VC will have different criteria that they are looking for in a startup and a pitch. Speak with founders who have been backed by that VC. Do your homework to see what other companies the VC may have backed in the space. The more personal you can tailor the pitch, the more effectively the pitch will resonate
Tailoring your executive summary to your audience is key. Doing your homework on potential investors and understanding what they're looking for is a smart move. Adapting your pitch deck to the presentation format and context ensures you're delivering a message that resonates. It's all about making that crucial connection!
Customize, customize, customize. Know your audience like the back of your hand and tweak your pitch to resonate with their interests and investment philosophy. This isn't about changing your core message; it's about aligning it with your audience's expectations and making it irresistible to them.
The executive summary of your pitch deck is not a static document, but a dynamic one that evolves as you test and refine it. You want to solicit feedback from your mentors, peers, customers, or other stakeholders and incorporate their suggestions and insights. You also want to measure and track the results of your pitch deck, such as the number of meetings, follow-ups, or term sheets you get, and optimize your slide accordingly.
Conduct tests with investors who are not your primary targets for fundraising. Prepare a pre-selected list of 150-200 investors. Rank them from 1 (least preferred) to 4 (most preferred). Consider maturity (e.g. seed), geography, sector, brand recognition, and investment capacity. Rate 1 to investors that are unlikely to invest. Rate 2 that do not have a known brand, nor operational knowledge and might invest. Rate 3 to ones that are a good match, good brand and if possible, operational knowledge. Ranking 4 is for the very top brand VCs that are a good match. Focus on obtaining feedback from investors rated 2 and some of the 3 category to refine your pitch. This process will prepare you for presentations to your most coveted investors.
Your pitch deck and executive summary should be constantly evolving - Gather as much feedback as possible from peers, mentors and customers. - Test it in the real world and analyze the responses. - Adjust and iterate. Found something that resonates? Amplify it. Something doesn't fit? Drop it. - Keep an open mind. There's no set template that you need to abide by. You have free reign to make it unique. - Your summary shouldn't be good but compelling.
Continuously test and refine your executive summary. Seek feedback from mentors, peers, customers, and stakeholders, incorporating their insights. Track outcomes like meetings, follow-ups, and term sheets to optimize your pitch. Remember, you don't get a second chance to make a first impression, so invest adequately in your presentation.
Testing and refining an executive summary is key, reflecting a founder's adaptability—a trait highly valued by investors. For those new to entrepreneurship, understand that this document is more than a business brief. It's a snapshot of the founder's responsiveness to market feedback. Intermediate and seasoned entrepreneurs should look beyond quantitative metrics like meeting counts, focusing also on qualitative feedback and their strategic alignment with the investor's core vision. Importantly, each refinement should not only sharpen the pitch but also ensure it resonates with the company's long-term objectives and values aligned with those of investors.
The executive summary is a living document, constantly evolving based on feedback and results. Treat every piece of advice as gold, every critique as a gem. This is about relentless iteration, driven by the pursuit of perfection. Every tweak, every adjustment, is a step closer to a pitch that doesn't just inform but captivates and convinces.
Three things Why this is an important problem to solve? Why you are the best people who can solve this? Why will a consumer pay to get this problem solved?
What an Investor needs to get out of your pitch: 1. Clear idea on customer profile 2. Clear sense on how sizeable the opportunity is (bottom up market sizing). 3. Not necessarily a full sense on the product (product demo may be required) but definitely why the product is critical and what value it unlocks. 4. Business model 5. Team's unfair advantage (could be in the product building, GTM...)
IF YOU KEEP YOUR DECK SMALL AND TIGHT, YOU DON’T NEED AN EXECUTIVE SUMMARY. Go check out the AirBNB pitch deck. No executive summary and no need for an executive summary. Don’t let the AI fool you into thinking you need to create slides you don’t.
Top 3 things VC's look for - Tales of previous ventures. Did you exit successfully? It's a badge of honour. - Got any IP or Patents? Show us what sets you apart from the competition. - Won any Hackathons? If you did then it shows your team's skills and creativity under pressure.
Just answer 4 questions. 1. ESG compliant. (Hygiene factor) 2. What do you want to do ? ( problem and solution) Maybe add industry size / competition ) 3. How much money. (Funds needed for point A to point B) and if possible ROCE / ROI) 4. Who are you ?? (Management team and experience & why are u best suited for this ) Nothing additional is required. If this gets the investor interested good. Else move on. Most investors are stressed for time. So early on it’s always a good idea to keep it short and simple.