Reference no: EM132731957
Question: The time has come to submit your final presentation draft that you created for a group of hypothetical investors! Please consider this following as you continue to prepare the final presentation:
Many startups have a great idea but they may lack the finances to bring the business to life. Angel investors can be a great source of capital and invest in early-stage startup companies in exchange for a stake in the company. Angel investors hope to replicate the high-profile successful investments made in companies like Airbnb, Facebook, Instagram, WhatsApp, Uber, and more. Angel investors typically make small bets ($25,000 to $100,000) with the hopes of getting "home run" returns.
Angel investors understand that startups have a high risk of failure. So ultimately an angel investor needs to feel confident that the potential upside/rewards from investing are worth the downside risks. The first thing the investor will expect is to see a 15-20 slide pitch deck before taking a meeting... is it professional and interesting?Here are the top 8 things investors look at in deciding whether or not to invest in a startup:
1. Who is your target market & how big is the market opportunity?
2. Do the founders understand the financials and key metrics of their business?
3. What are the potential risks to the business?
4. Why do users care about your product or service?
5. Did the startup explain the revenue model?
6. Are the Key activities explained carefully?
7. How will the company market its products/services and stay connected with their customers?
8. What about any Key Partners... are there any that would add to the profitability of the startup?