How to Pitch an App Idea and Secure Funds

A brilliant idea for an app startup can come from anywhere, however, not everyone with the entrepreneurial spirit has the required capital or the experience to effectively pitch to potential investors.

Some of the things that you already know are to keep your presentation short, investors rarely alott that much time; and practice, practice, practice. Check out this short step by step guide on how to show your idea’s true potential.

Let the Product Speak for Itself

There are hundreds of new apps making their debut at the app store every day. This is because the application market is growing and the competition is tough. With a prototype of what you would like to offer your target audience you stand a better chance at convincing investors to partner up with you.

Making a prototype will also give you a realistic view of the expenses that occur in implementation and any unforeseen dips or highs that you would want to share with investors. If you are not well versed in coding it helps approaching an incubator to lend you a hand.

Talk about the Problem

When you were coming up with the app idea you must have thought of a problem you want to address in a community or a certain industry. When you begin your startup pitch it makes sense that you start by highlighting the problem. Make sure that you discuss a meaningful problem which attracts your investors.

You can do this in the form of a short but impactful story that helped you notice the problem, but remember to keep it well timed for impact and short so that it does not overpower the rest of your pitch.

The Competitive Landscape

Penetrating a fiercely competitive market is not easy. When doing your research on the market study, it is crucial that you also do a competitor analysis.

But that information won’t help you alone to win a startup pitch. You have to then jot down everything that your competition is doing and how you are offering something better.

Do an analysis of your strengths and weaknesses and how your strengths have the potential to get a substantial chunk of the marketshare.

If you are bringing a revolutionary product in the market you have to show your investors how you will ensure that it will sustain. It is even possible that you do not have competition because no business has been successful in dealing with that product. You must then make it a priority to gain the confidence of your investors through a drafted plan.

Do Not Forget About the People

Investors will not be putting their faith and money on the app idea but also the management team that will be driving the app startup.

You have to show them that you are capable to head the business, and that you have hired experts to help you in the design and marketing part of the startup. You can also discuss your innovative approach to the modern business model and how it is more productive for your startup company.

Research your Investors

Pitch to the right people. Not all investors are just willing to throw money at any business from any industry. VCs for example have passion points, A particular firm may be on the lookout for a climate solution app, another may be looking for innovative tech, and some may just be interested in FinTech.

By researching what the investors are looking for it will become a lot easier for you to get your pitch audience on the same page and interested from the get go.

That being said, make sure that you pitch to more than just a handful of investors. When you pitch to a hundred individuals five will respond back.

A Revenue Model

You outlines the solution and the people who will download the app. You have to know work out the pricing and the projected numbers once the app is released at the App Store.

The projections will give an idea to all potential investors on how the money will flow and what their return on investment would look like.

When you are discussing what you need in terms of funding, be very specific. It cannot be a ballpark. When you quote a number follow with why you need that amount and how it will help you kickstart your app startup.

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