Question

You need to be ready at any time to explain your business to a potential investor. Entrepreneurs
have to be able to “pitch” or explain their ideas to investors quickly and effectively. Writing an
“Elevator Pitch” is a great way to do that. Imagine you are in an office building, and an investor
walks into the elevator with you. You would need a one (1)- minute speech that effectively and
dynamically explains your business idea and why it will be successful?

Answer 1

SOL.) “Elevator Pitch” is a great way to explain your business to a potential investor. Entrepreneurs have to be able to “pitch” or explain their ideas to investors quickly and effectively . An elevator speech is a 30- to 60-second answer to the question, “what do you do?”

This can be done by including the following points in your elevator speech:-

• Firstly start with The problem your company solves - the problem you are solving is something investors can relate to.And your goal should be to connect with your audience and get them nodding along in agreement.

• The Market you Target- The type of customer you target to solve their problem.All the successful companies target specific types of customers .

• Solution- This is the part where you tell what solutions your company provides to the customer for their problem. In this also include the value you provide to the customer while giving solution i.e the reason why your customer is going to want your product or service.

• Your experience and your progress so far- A great idea is nothing without the right people to turn it into a business and tell them about your past experience with the customers and also include the award you have won recently or any achievement.

• Your future goal-This include the changes or your plans that you will make to increase your sales or upgrading your product .Your goal should vary according to the person sitting in front of you . For example, If you’re talking to a potential investor or someone who might know investors, mentioning a fundraising goal can be a good idea. Even if you’re not looking to raise money, you might have other goals such as your first sale, or closing a big account.

Elevator speech example:-

Did you know that nearly 40 percent of buses in Shimla,India aren’t carrying any passengers because they can’t find them to carry on return trips? This leads to more than $50 million in wasted fuel costs alone.

We’ve created a technology company that matches empty buses to travelling companies looking to move or travel people, so that the bus companies can generate business from previously empty trips. So far, we’ve landed contracts with two of the largest bus firms.

Now, we’re hoping to raise additional capital so we can expand our operations and grow into countries outside of the India. My team and I have more than 20 years experience in the bus industry and are well positioned to grow this business significantly.