Email Pitch Tips For Startups and Corporates
Do you have any issues contacting VC via phone or email? as you have built your business?
Your product is now worth billions, and you want to expand. To do this, you’re seeking VCs and investment firms that can invest in your vision of the future. But how can you gain their attention and approach them?
Is it already a difficult task for technical individuals who are excellent at building things but lack the sales or marketing skills to persuade a busy VC Firm to learn about your firm and how it may solve problems?
Do not panic; you have already done what most people would be terrified to do. I am certain that you have a product or services that are both boast-worthy and profitable for investors to invest in now that you are thinking about funding.
In order to increase your chances of receiving a response from a venture capitalist, I’ll lead you through the process of composing the ideal cold email.
I’ll attempt to offer you a few examples to help you better grasp it and how they operate. You can utilise some of the free designs I’ll share with you as models.
Things Which Should be Included in Investor Cold Email Pitch
The crucial thing to keep in mind is that investors and venture capitalists comprehend your product or service providing and what you are asking for when assessing your company to determine whether it is investment viable.
According to research by the Harvard Business Review, interacting with businesses that are looking for funding—also known as “creating deal flow”—is the very first thing a VC does. Similar to how you’re trying to connect with them, without the right information, support, and network you’d be lost and unsure of how to go, whereas someone else with knowledge and network could be able to rapidly connect with VCs and close the sale.
VCs don’t have time to go through all the pitches that come to their desk. So the clear your preposition is to understand, the better your chances of them opening your email and responding.
I generally follow the KISS method and if you are old like me as they say Keep it Simple, Stupid.
Let’s start with the steps mentioned below which can also be used as a checklist to steer clear of running into a worse email to lose your chance.
1. A subject line no longer than 6 words (or under 45 characters)
If you can describe your product or services in less than 6 words, both users and investors will find it simpler to understand and relate to your offering.
Avoid using topic lines that are used by every newcomer in the industry to attract attention. (Are you willing to alter the [blank] industry? Arrive early! as those are likely to be moved to the garbage without being opened.
Instead Use your pitch’s information, the name of your goods or services, and the asking price.
- Unique pet health subscription platform seeking $100k
- Like Uber for Guides: $40 Ask
- [Product name & one word brief]’s Raising $500k for Expansion
When someone else opens your email, it’s always best to greet them with something that will make them feel unique and cared for.
2. K.I.S.S method to introduce yourself and your product in a sentence
In comparison to what you see on Dragon’s Den or Shark Tank, where you highlight how committed and driven you are for the startup and how your hard work will take it to the next level, REAL life and REEL life are in fact very different. VCs don’t have time to read through lengthy paragraphs only to learn that you are a dedicated individual rather than learning about your product.
Use your education from Elite Schools or previous work experience with Fortune 500 companies in the introduction to set yourself apart from the millions of emails that VCs receive every day. Make it worthwhile for them.
- I’m from Trident Technolabs, one the top 5 Indian design agencies that are making the world know Indians is more than just developer.
- As one of the co-founders of Passio, a business that is leading Edge AI platform that emphasises AI-driven sales and UX experiences. …
- Our app makes it easy for elderly people to stay organised with their fitness regime.
Now that you have established who you are and what your business does, it should pique their interest to know more about your business.
This might be your elevator pitch moment, however instead of being in an elevator with a VC, you are in their email box. It is crucial that you keep on task and are clear about what you want to accomplish with this email and what information a VC needs to know. You should just include the essential details. It’s like playing poker where you don’t have to reveal all of your cards at once. Send them the teaser, making sure it is only a quick description of the product and how it addresses the issue, so they are aware it isn’t the entire business plan.
Write no more than 2-3 succinct phrases on the K.I.S.S Method and the reason why your brand even exists. You may use this to write a brief description of your company to post on social media.
Selling your pitch will be simpler the better you are at explaining what your brand does and the problems it solves.
- Like what Ramp says: Your finance software should work for you, but let’s face it—it hasn’t evolved in decades. We help you solve that.
- Like Duolingo says: Teaching a language to large populations in a cheap and self-sustaining way was pretty much impossible.
- Like what StockX says: Collectors of rare shoes had nowhere to buy and sell.
Some VCs will like and be interested in your brand and some might not. What really matters, in the end, is that you show them the numbers your business is running with which will make them interested in whether to invest in your business for good returns or not.
4. Data doesn’t lie (with concrete numbers)
The addition of specific data points and stats can help others learn more about your firm, much like a compelling back story and your resume. Additionally, it helps if VCs can tell whether your company is growing or still needs more time to become profitable in the near future.
To help potential investors understand your existing and future possibilities, highlight a few key areas.
If your company is new and you lack reliable financial information or the ability to crunch numbers and calculate DAU, MAU, etc., do not worry; simply include a few crucial statistics about your target market, such as their spending patterns.
- Our company has grossed $500.000 Year to Date (YTD) and will forecast $1.390.000 for the next year, $2.780.000 for the following and $4.753.800 for the third one. From three founders to over 200 employees…
- Only 40% of startups are able to become profitable in 5 years and we have achieved this in under 15 months.
Now comes the part that you have been waiting for.
Email Marketing Services
5. Define your ask
When it comes to financial problems, whether you are asking for something or giving something away, it might be beneficial to be direct and to the point. Clarity regarding what they expect in return for the investment is exactly what you want from your investors. Don’t squander time since it costs money.
You must recognise and specify if you are emailing a VC for suggestions, funding, or a referral to someone else in their network.
Ask yourself this question: Could VC’s assistant react to your email in one line or a short sentence? If so, you are headed in the right direction.
It’s critical that someone in a lower rank be able to comprehend and read what you are asking for so they can filter it out and send it to someone in a higher rank. This increases the likelihood that your request will be approved by the VC rather than being sent directly to the junk or delete box without being seen by a gatekeeper.
- I’d love your guidance and feedback about how we should scale for profitability in the market.
- We’re looking for $30k to meet our $100,000 yearly goal.
- I’ll be happy to connect to discuss further and get your expert opinion.
Before you click send, don’t forget to add your contact information that is clearly visible and make sure you are reachable using those details.
6. Close with a signature and your contact info
We’ve all had the problem of enjoying music and still being unable to identify the vocalist or the title of the song because no information was provided. The same applies to your impressive email pitch and attention-grabbing headlines, but you don’t give investors your contact information so they may get in touch with you and discuss things further.
A great email signature should include:
- Your first and last name and title
- Phone number
- Calendly link to schedule a call
- Company address
- Website address
- Work-related social media links (i.e., your LinkedIn page)
Here’s something like your handwriting and first impression. If you fail to impress and provide enough information your chance to stand apart fails. And if you pass the test of marketing yourself, you’re a step ahead of most cold emailers.
7. Lastly but not least: strong CTA
Don’t give the VC any more work until they throw the ball onto your court after you have completed all of the difficult work and moved the ball to the other team. At this point, the VC should be considering your business proposition, funding needs, and ROI timescales, among other things.