Financial Projections in Pitches

𝗧𝗵𝗲 #𝟭 𝗠𝗶𝘀𝘁𝗮𝗸𝗲 𝗙𝗼𝘂𝗻𝗱𝗲𝗿𝘀 𝗠𝗮𝗸𝗲 𝗪𝗵𝗲𝗻 𝗣𝗶𝘁𝗰𝗵𝗶𝗻𝗴 𝘁𝗼 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿𝘀   When I ask founders, “𝑊ℎ𝑎𝑡’𝑠 𝑚𝑜𝑟𝑒 𝑖𝑚𝑝𝑜𝑟𝑡𝑎𝑛𝑡 𝑡𝑜 𝑖𝑛𝑣𝑒𝑠𝑡𝑜𝑟𝑠: 𝑡ℎ𝑒 𝑝𝑎𝑠𝑡, 𝑡ℎ𝑒 𝑝𝑟𝑒𝑠𝑒𝑛𝑡, 𝑜𝑟 𝑡ℎ𝑒 𝑓𝑢𝑡𝑢𝑟𝑒?”, they almost always say “𝑡ℎ𝑒 𝑓𝑢𝑡𝑢𝑟𝑒.”   They’re right, in theory.   But then they walk me through their deck, it’s typically focused on the present. What the product looks like now, who their current customers are, and what revenue (if any) they’ve already generated. All important, but it misses the mark.   As investors, we’re not backing where you are; we’re backing where you’re going.   Your pitch is often the very first interaction we have with you. It’s your opportunity to show us the vision, scale, and ambition for what this company can become. If you want to be part of the 20% who make it through to the next round of meetings, you need to sell us on the future.   𝐇𝐞𝐫𝐞’𝐬 𝐰𝐡𝐚𝐭 𝐭𝐡𝐚𝐭 𝐥𝐨𝐨𝐤𝐬 𝐥𝐢𝐤𝐞 𝐢𝐧 𝐩𝐫𝐚𝐜𝐭𝐢𝐜𝐞:    🔹 𝐏𝐫𝐨𝐝𝐮𝐜𝐭 𝐕𝐢𝐬𝐢𝐨𝐧 Don’t just say “here’s what we’ve built.” Say: “This is what we’re building towards. This is the holy grail we’re aiming for. Here’s the journey we’re on, and this is where we are today.” Give us a reason to believe your product can become truly transformative. 🔹 𝐅𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐏𝐫𝐨𝐣𝐞𝐜𝐭𝐢𝐨𝐧𝐬 I don’t care if the numbers are perfect, in fact, I probably won’t believe them! But show me your appetite. What does success look like in 3 years? Show me the scale you’re chasing, even if you're pre-revenue. If you’re projecting $100k, I’m probably out, not because that’s bad, but because it’s not VC-backable.    🔹 𝐑𝐞𝐯𝐞𝐧𝐮𝐞 𝐌𝐨𝐝𝐞𝐥 If you’ve only one revenue stream today, that’s fine, but tell me how it will expand. What does your monetization roadmap look like? Investors want to understand not just how you make money now, but how that scales.    🔹 𝐌𝐚𝐫𝐤𝐞𝐭 𝐎𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐲 Too many founders lead with “We’re starting in Singapore” or “Jakarta is our target.” That’s the beachhead, not the big picture. Start by showing the global problem and total market size. Then tell me why this entry point gets you there. If your vision stops at one city, so will investor interest.   Ultimately, fundraising is storytelling. And the story investors want to hear is this: Can this company deliver a VC-return (10x, 20x, or more)?   Do these founders have the vision and appetite to get it there?   The present is important. But the future is what gets us to say yes.   #CocoonCapital #PitchingGuide #EarlyStage #Founders #SeedStage #PreSeed #FundingStrategy #Fundraising

What investors look to fund in business ideas …… Your Pitch Deck May Be Deterring Investors (Here’s What’s Missing) Investors reject 90% of pitch decks within the first three slides, not necessarily due to a bad idea, but because the story fails to make sense quickly. When a deck opens with buzzwords, cluttered slides, or lacks numbers, investors tend to skim, nod politely, and move on. They are not looking for beauty; they seek belief—your belief that leads to their own. Many founders overlook this reality: Investors read decks not to learn but to validate their conviction. Common gaps I observe include: 1. Financials missing beyond 12 months 2. Burn rates hidden or unrealistic 3. Lack of quantified differentiation (“why us?” is vague) 4. Story misaligned with funding ask Weakness in investor readiness often stems from poor presentation logic and sequence, not from a weak business model. Templates alone won't suffice. For every client, we revise the narrative five to six times to ensure authenticity, sequencing, and vision. Everything must connect. Here’s what investors look for, slide by slide: - Clarity over creativity: If they can’t explain what you do in one sentence, they won’t proceed. - Capital logic: Your raise amount must align with value-creating milestones. No milestone means no rationale. - Financial transparency: Present 24–36 month projections, burn rates, and key assumptions to signal discipline. - Unit economics: Show scalability math: CAC, LTV, margins, break-even. - Quantified differentiation: “Better” isn’t enough; provide numbers on speed, cost, or efficiency. - Narrative coherence: Mismatched story and numbers erode confidence. To improve your deck before the next investor call: - Simplify the first three slides: Clearly explain what you do, who it’s for, and why it matters. - Add a financial runway map: Illustrate how this raise extends runway, achieves milestones, and sets up the next round

Big visions require solid numbers. But numbers alone won’t win trust. You need projections that show both growth and security. Here’s how you can craft financial projections that inspire confidence: 💡 Start with Realistic Assumptions. Investors can spot overly optimistic projections. Ground your estimates in current market trends and reliable data. 💡 Highlight Key Metrics. Revenue, profit margins, and cash flow are non-negotiables. Focus on the numbers investors care about. 💡 Create a Detailed Cash Flow Forecast. It shows how you manage expenses and ensure liquidity. This reassures investors about your financial control. 💡 Include Multiple Scenarios. Show the best, worst, and expected cases. This proves you've thought through uncertainties. 💡 Be Transparent About Assumptions. Break down your assumptions clearly. Transparency builds trust. 💡 Plan for the Long Term. Don’t stop at a year or two. Show five-year projections to prove sustainability. 💡 Use Visuals. Presenting your financials through graphs and charts makes them easier to digest. Share this with someone preparing their pitch for investors. P.S. Investors want security with potential. Make sure your numbers tell that story. #financialprojection #fundraising #investorpitchdeck #financials #pitchdecks

🚀 Your Financial Model Could Make or Break Your Fundraising Round When pitching to investors, your financial model isn’t just a spreadsheet—it’s the story of your startup’s future. But too many founders trip over the same mistakes, costing them credibility and investor confidence. Here’s what to avoid: 📉 Overestimating Market Size Big markets look good on slides, but investors care about where you can dominate. 💸 Ignoring Unit Economics If your LTV doesn’t justify your CAC, scaling won’t solve your problems. 📊 Unrealistic Revenue Projections Ambition is great, but align your numbers with market realities. 💰 Underestimating Funding Needs Growth, CAPEX, and working capital aren’t optional—plan for them. 🌐 No Scenario Planning What’s your Plan B if things don’t go as planned? Your financial model isn’t just about impressing investors—it’s about showing you’re prepared to lead. Want the full breakdown of these pitfalls and how to avoid them? 👉 Read my full article on e27: https://lnkd.in/g8zzKBeP #StartupFundraising #FinancialModeling #Leadership

From one investor to a founder: master your financial projections! (but not the way you think) The financial projections slides in your fundraising deck are the lifeblood and foundation of your company. You gotta know them inside out. More than crazy growth graphs, investors want to see that you really understand your company and have done your homework. Now, making a deck can be a pain. Financials? Yeah, they're a whole other level. You need to dive deep into competitive advantage, your supply chain, production, margins, marketing, growth – basically, everything. But here's the deal: The idea isn't to have super precise projections. The idea is to build a solid foundation that can adapt as your company grows. Early-stage founders stress too much about having flawless financials. And guess what? Investors aren't expecting perfection. They just want to see that you know your stuff. The bottom line: It's cool to tweak your financial projection graphs to give off that hockey stick curve vibe. But make sure you're really honing in on how you describe those projections on slides and talk about them. That's where the real energy needs to go 💰🚀✨ #fundraising #venturecapital #pitchdecks #founders #investors