Pitch Perfect: How To Craft a Compelling Investment Pitch as a Female Founder
Landing your perfect pitch is a mix of art and science.
But how? Well, your investors want to see the data and revenue potential, but need to connect to the mission and your vision– this is where the art of storytelling comes in! Before we dive in, we have to share some stats that drove us to write this blog. Did you know that women-led startups received just 22% of VC funding in 2023? This is a growing number, but it still highlights the systematic barriers that are still in place. (Thanks, Crunchbase for the stats). Don’t let those numbers scare you. Let those numbers fuel you to build the pitch that lands the investment! There is no time like the present to secure those dollars and we will help navigate the roadblocks that come with building a business as a female founder.
Are you ready for it? Let’s dive in together and explore key areas to focus on when building your pitch, along with inspiration to bring your whole self into the conversation so your investors connect with your mission and vision.
💭Understanding the Landscape
Investors are taking notice of the untapped and overlooked potential in women-led startups. An incredible number of female-powered investment firms are stepping up, which means more opportunities to align with those who connect with your vision and see the opportunity to be a partner as you scale the business.
How do we know this? Check out these stats :
In 2019, 2.8% of VC dollars went to all-female-founded teams, and 11.5% went to female-founded and mixed-gender teams.
In 2023, women founders and co-founders secured 22.8% of all VC money, up from 18.7% in 2022.
As of December 2023, 17.4% of decision-makers at VC firms with more than €50 million in assets under management were women, compared to 16.1% in 2022.
Research suggests that female entrepreneurs are 70% more likely to be funded when a woman is on the investing team. VC firms with at least 10% female investing partners also have better fund returns and more profitable exits.
📚 Crafting Your Story
Your journey, vision, and resilience play a crucial role in setting you apart and connecting to the investors at the table. At the core, people want to go into business with those that they connect with. As a female founder- we seeeee you! It’s so easy to show up and fit yourself in the box that you think you’re expected to. Break out of that! Bring your whole self in and focus on the why behind your company. Bring your personal connection into that pitch. Perhaps it was a personal challenge that led you to create a groundbreaking solution, or maybe it's your passion for driving social change, or you saw a gap in an area where you’ve been a consumer. Whatever it is, weave it into your narrative!
For instance, Whitney Wolfe Herd, the founder of Bumble, turned her tumultuous experience in the tech industry into the foundation of a dating app that empowered women. Her story resonated with investors, ultimately leading Bumble to become a public company with a valuation of over $7 billion at the time of its IPO.
💪 Demonstrating Your Expertise
As we mentioned, Investors invest in people just as much as they invest in ideas. As you establish your story, make sure you connect your experience and expertise. We’re connecting hearts and minds here, so highlight your relevant experience and any past achievements that relate to building and scaling, along with your unique insights on the market, your audience, etc.. . This is also a great time to discuss how expertise connects with the opportunity in the market and the team you have in place OR want to build to achieve those goals. Do you have a unique perspective on your buyer? What can you do differently than those already playing in the space you’re in? It’s so easy to say you can do it better- think about your POV and how you will do it differently because of your experience.
🦸 Addressing Bias Head-On
While the landscape is changing, biases still exist. Prepare to address them head-on. Research from Harvard Business Review suggests that investors tend to ask men questions about the potential for gains and women about the potential for losses. Forewarned is forearmed. Practice responses that pivot from defensive to offensive, turning potential skepticism into an opportunity to highlight the strengths and potential of your startup.
🔨 Building a Solid Business Case
Your pitch needs to be backed by a solid business case. This means clearly understanding your market size, business model, competition, and financials. Use data and metrics to support your claims. For example, if you're citing a target market, make sure you have credible sources to back up your numbers.
🃏 Mastering the Pitch Deck
Your pitch deck is a critical tool. It should be concise, visually appealing, and easy to follow. According to Guy Kawasaki, a renowned venture capitalist, a pitch deck should follow the 10/20/30 rule — 10 slides, 20 minutes, and no font smaller than 30 points. While these numbers aren't set in stone, the principle behind them is: simplicity and clarity.
Key slides to include are:
Problem: What issue does your product or service solve?
Solution: How does your startup address this problem?
Market Size: How big is the opportunity?
Business Model: How will your company make money?
Traction: What progress have you made so far?
Team: Who is behind the company and why are they the right people?
🎤 Practicing Your Delivery
A compelling pitch is as much about delivery as it is about content. Practice your pitch in front of friends, mentors, or even in front of a mirror. Pay attention to your body language, tone of voice, and pacing. The more confident and engaging you are, the more likely you are to capture and keep the attention of your audience. YOU GOT THIS!
🤝 Leveraging Your Network
Don’t underestimate the power of your network. Seek feedback from fellow entrepreneurs, investors, and mentors. They can provide invaluable insights that can help refine your pitch. Networking can also open doors to potential investors. Warm introductions from mutual contacts can sometimes make all the difference.
Crafting a compelling investment pitch as a female founder involves navigating a unique set of challenges but also offers the opportunity to stand out. By understanding the landscape, crafting a captivating story, demonstrating your expertise, addressing biases, building a solid business case, mastering your pitch deck, practicing your delivery, and leveraging your network, you can create a pitch that not only secures investment but also paves the way for a successful entrepreneurial journey.
Remember, every pitch is a learning opportunity. Whether you secure investment or not, seek feedback, refine your pitch, and come back stronger. The road to funding is rarely straightforward, but with resilience, preparation, and a compelling pitch, you can move closer to turning your vision into reality.
Do you need support crafting your pitch for your bold idea? The Wave team can help! Fill out this form and start the conversation.