Business Plan Preparation Frank Moyes Leeds College of

Business Plan Preparation Frank Moyes Leeds College of Business University of Colorado Boulder, Colorado Business Plan Preparation: Elevator Speech

Elevator Speech Ø What is the objective? Ø Who are you talking to? What motivates them? Ø Must be exciting and compelling Ø This is a conversation, not a speech Business Plan Preparation: Elevator Speech 2

Elevator Speech Ø Explain the problem or need, size of the opportunity Ø Describe the target customer Ø Explain proposed solution. Why unique? Ø Tell why the customer cares Ø Describe the management team Ø Describe the competitive environment. Who are the competitors? How are you different Dorf & Byers, Technology Ventures and better? Plan Preparation: Elevator Speech ØBusiness Numbers 3

The Elevator Pitch Based on material developed by: Business Plan Preparation: Elevator Speech

The Elevator Pitch Ø Goal: Buy-in 4 Investors 4 Employees 4 Customers and partners Ø Critical Attribute: Focus 4 What do you want remembered? Ø Result: Motivate 4 Listener wants to hear more Business Plan Preparation: Elevator Speech 5

The Elevator Pitch Ø The order is flexible, but cover these points: 4 What market are you in? 4 What urgent problem are you solving? 4 What is the size of the opportunity? 4 Value proposition 4 Why will you win? 4 Where is the validation (customers, investors, etc. )? Business Plan Preparation: Elevator Speech 6

Elevator Pitch Communication Imperatives Ø Show passion, energy, and enthusiasm Ø Use appropriate eye contact when face -to-face Ø Slow down and speak clearly Ø Be brief (target 60 seconds) Ø Be Confident Ø Use understandable vocabulary Business Plan Preparation: Elevator Speech 7

Elevator Pitch – Example P 1 Diamond develops proprietary thin film diamond products and equipment that dramatically improve heat dissipation on microprocessors, solving one of the highest priority pain points in the industry. We address growing markets that will exceed $1. 5 B by 2006 and will become the dominant supplier with the best team having the most comprehensive patent position in the industry. Intel is our largest current investor, and we are actively engaged with other Business Plan Preparation: Elevator Speech top target 8

How Do You Get Immediate Attention? Reduce to one sentence or question what is unusual, interesting, exciting or dramatic. Business Plan Preparation: Elevator Speech 9

Elevator Pitch Exercise Ø Your name and the name of your firm Ø Your pitch Ø Evaluation by class on a scale of 1 to 10 4 Urgent pain 4 Large growing market 4 Unique, defensible position 4 Validation 4 Communication skills 4 Plan Desire to hear Business Preparation: Elevator more Speech 10

Be Prepared to Answer Questions About Ø Product and technology Ø Marketing strategy Ø Market research Ø Revenue and profitability Ø Funds required Ø Valuation Business Plan Preparation: Elevator Speech 11