This guide is based on Mixergy’s course with Oren Klaff.
Oren Klaff saw that entrepreneurs who make lame pitches can’t raise capital, so he used his experience helping to place over $400 million in capital to write a book about how to pitch. It was all done with effective pitching strategies, so we invited him to teach you how to do it.
Oren is the director of capital markets at Intersection Capital and the author of Pitch Anything: An Innovative Method for Presenting, Persuading, and Winning the Deal.
Here are the actionable highlights from the course.
An analyst was asking Oren lots of nitpicky questions, but Oren viewed himself as the prize of the deal so he had the confidence to turn the questioning back on her and ask how she added value to the deal.
Oren was raising capital for people who built protective ecosystems in Peru, and he started the pitch by saying that to save humanity you have to solve big problems like climate change, pollution, and species loss, and that species loss stands out because it’s irreversible.
Oren recommends describing a generic solution, listing your competitors’ solutions, and then introducing your product and explaining how it solves the problem.
Oren says that one entrepreneur should have disclosed his project’s stage at the beginning of his presentation, but he didn’t so he had to face questions like “Are you profitable?” after going through an hour-long pitch.
Oren recommends meeting with several investors, narrowing the field down to three who are seriously interested, and negotiating with those three simultaneously, because if one insists on terms you don’t like you can sign a deal with one of the others.
Oren says that entrepreneurs who pitch to a hedge fund intake committee should limit themselves to an hour, but some of them talk for three or four hours and it looks like they have nothing else to do.
Oren suggests that an entrepreneur could say, “I’m not sure we’re going to work well together because you might want us to over-focus on products” to grab investors’ attention and then say, “But having some guys who are so focused on products and engineering combined with our business development skills might be a good thing!”
When Oren pitches for a genetic testing company, he mentions that it tests athletes late in the pitch because that’s a novel point and it brings back investors’ attention.
Written by Sarah Brodsky, based on production notes by Jeremy Weisz