A short summary—typically less than two-minutes—used to quickly describe a business to

investors

An extremely concise presentation of an entrepreneur's idea, business model, company

solution, marketing strategy, and competition delivered to potential investors. This should not
last more than a few minutes or the duration of an elevator ride.

An elevator pitch is a short summary used to quickly and simply define a product,
service, or organization and its value proposition.

Creating the "Elevator Pitch"

Six questions your "Elevator Pitch" must answer:
1. What is your product or service?
Briefly describe what it is you sell. Do not go into excruciating detail.

2. Who is your market?

Briefly discuss who you are selling the product or service to. What industry is it? How large of a
market do they represent?

3. What is your revenue model?

More simply, how do you expect to make money?

4. Who is behind the company?

"Bet on the jockey, not the horse" is a familiar saying among Investors. Tell them a little about
you and your team's background and achievements. If you have a strong advisory board, tell
them who they are and what they have accomplished.

5. Who is your competition?

Don't have any? Think again. Briefly discuss who they are and what they have accomplished.
Successful competition is an advantage-they are proof your business model and/or concept work.

6. What is your competitive advantage?

Simply being in an industry with successful competitors is not enough. You need to effectively
communicate how your company is different and why you have an advantage over the
competition. A better distribution channel? Key partners? Proprietary technology?

The Art of the Elevator Pitch

By Robert Pagliarini of SeekingCapital.com

What is an "Elevator Pitch"?

An "Elevator Pitch" is a concise, carefully planned, and well-practiced description about your company
that your mother should be able to understand in the time it would take to ride up an elevator.

What an "Elevator Pitch" is not:

It is not a "sales pitch." Don't get caught up in using the entire pitch to tell the Investor how great your
product or service is. The Investor is "buying" the business, not the product. Tell him/her how you will
run the business.
Creating the "Elevator Pitch"
Six questions your "Elevator Pitch" must answer:
1. What is your product or service?
Briefly describe what it is you sell. Do not go into excruciating detail.

2. Who is your market?

Briefly discuss who you are selling the product or service to. What industry is it? How large of a
market do they represent?

3. What is your revenue model?

More simply, how do you expect to make money?

4. Who is behind the company?

"Bet on the jockey, not the horse" is a familiar saying among Investors. Tell them a little about
you and your team's background and achievements. If you have a strong advisory board, tell
them who they are and what they have accomplished.

5. Who is your competition?

Don't have any? Think again. Briefly discuss who they are and what they have accomplished.
Successful competition is an advantage-they are proof your business model and/or concept work.

6. What is your competitive advantage?

Simply being in an industry with successful competitors is not enough. You need to effectively
communicate how your company is different and why you have an advantage over the
competition. A better distribution channel? Key partners? Proprietary technology?

What your "Elevator Pitch" must contain:

1. A "hook"
Open your pitch by getting the Investor's attention with a "hook." A statement or question that
piques their interest to want to hear more.

2. About 150-225 words

Your pitch should go no longer than 60 seconds.

3. Passion
Investors expect energy and dedication from entrepreneur

Example of an "Elevator Pitch"

Here is what I'd use to "pitch" SeekingCapital.com:
SeekingCapital.com is changing the future of private equity investing.
Private equity is a $100 billion a year market, with over 400,000 entrepreneurs aggressively seeking
capital at any given time.
SeekingCapital.com offers entrepreneurs and investors an efficient and uniquely interactive method for
obtaining or investing capital in pre-IPO companies.
SeekingCapital.com is not an "Internet only" company, but supports its online community with local
franchises in the United States and internationally.
Our team has decades of experience in the securities industry, investment banking, private equity, and
executive management. My partner and I have worked together side by side for several years co-
managing and running the entire Internet operations of a publicly traded brokerage firm.
Our competitors such as XYZ Corp. and ABC Capital have had much success-ABC Capital was recently
valued at $550 million . . . despite several limitations.
SeekingCapital.com isn't just a listing or matching service, we offer a community that breeds interaction,
education, and discussion. We work with companies globally, through all stages of funding, and across
all industries.
We are anticipating $XXX million this round to be used for employee building, increased office space, and
marketing.
We have a compelling two page executive summary that I would like to send you. Can I get your
address?

The Nine C’s of an Effective Elevator Pitch

Now that you have a high-level sense of what an elevator pitch is, and what an elevator pitch is designed
to do, let me drop down a level and discuss the characteristics of an effective elevator pitch.
After working with hundreds of would-be entrepreneurs, and studying hundreds of effective and
ineffective elevator pitches, I have found that an effective elevator pitch is nine things.
1. Concise
2. Clear
3. Compelling
4. Credible
5. Conceptual
6. Concrete
7. Customized
8. Consistent
9. Conversational

I discuss each of The Nine C’s at length elsewhere, but in the interests of repetition -- and one of the
themes of this book is that repetition is good -- let me give you quick sense of what I mean.

1. Concise
An effective elevator pitch contains as few words as possible, but no fewer.

2. Clear
Rather than being filled with acronyms, MBA-speak, and ten-dollar words, an effective elevator pitch can
be understood by your grandparents, your spouse, and your children.

3. Compelling
An effective elevator pitch explains the problem your Solution solves.

4. Credible
An effective elevator pitch explains why you are qualified to see the problem and to build your Solution.

5. Conceptual
An effective elevator pitch stays at a fairly high level and does not go into too much unnecessary detail.
6. Concrete
As much as is possible, an effective elevator pitch is also specific and tangible.

7. Customized
An effective elevator pitch addresses the specific interests and concerns of the audience.

8. Consistent
Every version of an effective elevator pitch conveys the same basic message.

9. Conversational
Rather than being to close the deal, the goal of an elevator pitch is to just set the hook; to start a
conversation, or dialogue, with the audience.

• Write a very short story that illustrates what you do for people. If necessary, the story can be long.
You will boil it down later. Paint a picture with words.

• Write down your objective or goal. Do you want to make a sale, gain a prospect, enlist support for
an idea, earn a referral, or something else?

How do you put yours together?

Just like a personal brand statement, you first have to know the purpose of the pitch. Whether it’s to sell
yourself as a consultant, get an investment for your company or getting a job interview – you have to be
clear of your value and audience. In case you have a number of professional objectives you might want to
consider different pitches for different situations.
To put a good pitch together you can ask yourself a few questions and the answers to these will be a
good start. These questions are:
• What value do you provide?
• How do you provide this value?
• What is unique about your offer?
• What is your target market?

Four step process for crafting an elevator pitch

This is the process devised by sales trainer James Nudelman a.k.a. the Noodle.
Step 1 - Begin with an ACTION PHRASE that is NOT a noun. (”I am a X” — but don’t use a “label” in the
blank. You don’t want people to put you in a box.)
Step 2 - Add a one sentence statement about what you DO. (”I do Y” — What do you help people or
businesses do?)
Step 3 - Give a statement of the SPECIFIC IMPACT. (”People who utilize my process find Z” — list one
or two things from the perspective of your potential employer.)
Step 4 - End with a CALL TO ACTION. (”I am looking to be introduced to A” — be specific! If you ask for
something non-specific you are likely to get it. What good it that?)

When you deliver an elevator pitch, you have to clearly and succinctly
address the following points:
1. What’s the idea?
2. What’s the status of the idea or business?
3. What market or markets does the business address and are there any testimonials or
customer feedback?
4. Why do you believe you have the advantage in the marketplace relative to the market needs?
5. What’s the competition in the marketplace?
6. What’s the revenue model (such as “e-commerce,” or “wholesale”)?
7. Who’s the team that's going to make the business succeed?
8. What’s the longer term vision, the “end-game,” for the business and the projected return on
investment for investors? (some examples are: "the business will distribute big profits to
investors from cash flow by year X", or "the business will be acquired by another company for
$XYZ")
9. What’s the total funding required to execute the business plan?
10. What amount of financing are you seeking initially and what are the terms of investment?

Step 2
Write down this formula and start filling in the blanks customizing it to your business.
Secret Elevator Pitch Formula – I am in the _____________ (XYZ business), and I help
_______________ (specific market) _______________________________ (insert most compelling
benefit that encompasses what you do that would be valuable for the person on the receiving end of
this statement).
If You Sell A Physical Product – I am in the _____________ (XYZ business), and I created a product
for __________ (specific market) that (helps/teaches/etc.) people
____________________________ (insert the most compelling benefit that makes people want to
learn more about your product)
Example – (For Product) – I am in the toy business, and I created a product for children that
effectively teaches them their ABC’s in less than 5 minutes without any work on the parents part no
matter what age the child is.
One thing you want to make sure is that you want this to be as compelling as possible, so always
place yourself on the receiving end of this statement as your market, and if it doesn’t make you
curious to ask the person who says it to you more questions…keep working…you will get it…it will
just take time!
Always put yourself in each part of pitch.

Q1: How do you do this?

A1: I first examine all of the marketing that the client is doing, and then find the holes in all of their
marketing processes. Once I thoroughly look at every marketing asset they are using, and what they
are exactly doing, I provide the recommendations and implementation necessary that will help them
achieve the results that they are wanting to create…which more often than not is increasing their
sales without increasing their budget. Most of the time clients are doing a lot of things right, but there
are crucial parts to their marketing processes that need to be improved, or just plain revamped
altogether to generate the best result. I help them with that and marry their entire process together
so it runs seamlessly and more importantly gets results.
Q2: Who have you worked with, and what specific results did you create?
A2: I have worked with a manufacturer who sells direct through their website and within the retail
channel, and helped them increase their direct to consumer sales through their website by 25%. I’ve
worked with a celebrity nutritionist and created a lead generation and sales process that converted
at 6.5% for her weight loss system. One last client that I worked with was a New York Times
bestselling author, and the last I spoke with them their business is at the capacity where they can’t
take on anymore clients. I have also worked with clients where I have helped them generate 20,000-
70,000 visitors a month through their website using only free methods.
(There are more questions that I have written down

1. What your business makes/does. This should be very brief: "My company makes water- and weather-proof
solar-powered outdoor lights" or "My business does custom upholstering for automobiles."
2. What market you serve. You should be very specific about this: "Fifteen- to 30-year-old men who regularly play
Dungeons and Dragons" or "Small businesses with five to 10 employees."
3. How you plan to make money. This is very important if you're giving your elevator pitch to potential investors.
You need to be very explicit about the business model you plan to employ to bring
in more than you pay out. For example, the line "We will set our retail prices 50% above cost" provides a direct
explanation of how you plan to achieve profitability.
4. How your business compares to other, familiar businesses. If you don't compare your business to other
similar businesses, people may not understand what your product or service is all about. On the other hand, if you
don't show how your business differs from familiar companies, you'll have trouble getting anyone's attention. The
following examples strike the right balance between both: "Like Facebook for law firm employees" and "Better service
than XYZ automotive."
5. Why you will succeed. This is the most important part of the elevator pitch: what are the market conditions that
make your idea a sure-fire success? You need to use all of your powers of persuasion here. If you have any hard
numbers to back up your assertions, so much the better. "Census figures show that families with young children are
moving into this area at a rapid pace, and those families will require high-quality childcare."
6. Your ultimate goals for the business. Do you want to eventually run a multinational corporation? Or do you want
to keep it relatively small and contained? You should be prepared to articulate your vision for the business' size and
reach.
It takes some thinking to decide which aspects of your business to mention in an elevator pitch. Even more
frustrating, you have to decide which parts of your company to leave out. Often, these can be the things you're most
excited about—a new technology, a great location, and the fact you get to go to Europe on buying trips. But if they're
not central to the core of your business, they don't belong in an elevator pitch.
START-UP HOW TO: Step 1: Think like an entrepreneur
STEP 2: What kind of entrepreneur are you?
STEP 3: Ways to raise money to start your small business
STEP 4: Refine you business concept, develop your pitch