#1 Create a compelling story
People are more likely to invest in a business that they are already passionate about or a story that is too compelling to ignore. Your Crowdcube pitch should be one, or both, of these things. What makes your business unique? And how will you take advantage of this opportunity?
It is important that your story is clear and easy to understand. Don’t overcomplicate what you are trying to achieve, be articulate and professional. Wherever possible you should look to build trust in your pitch. Use images, references and cite your own track record and past successes. Creating a video pitch is a great way to build trust and credibility. Remember to be honest and polite and check for spelling and grammar before you publish your pitch.
#2 Who is on your team?
It may seem obvious but the more people you have working to promote your pitch the greater the likelihood of success. Do you know of any individuals or communities who are already passionate about your cause? Management, employees, suppliers and existing customers are all likely to be big advocates of your brand and what you are trying to achieve. Encourage these people to join your team and teach them how to spread the word effectively.
#3 Making a video pitch
You don’t need to have a video to publish a pitch on Crowdcube but it can make the difference between success and failure. A promotional video is a powerful tool for you to communicate what you are trying to do in a succinct manner. It will help bring your pitch to life, show that you are serious and add credibility to your pitch. This is your opportunity to show potential investors that you are articulate, passionate and worthy of their investment – don’t waste the opportunity.
You don’t need to be Steven Spielberg to make a short video nowadays and by doing one you will surely increase your chances of success. A video should be no longer than a couple of minutes maximum.
#4 Tell people what you plan to do with the money they invest
People work hard for their money and they will definitely want to know how you are planning to spend it before investing in your business. You need to tell people exactly what your need the money for and how you will spend it once you reach your target.
#5 Reward people for their generosity
Projects with rewards are likely to be more successful than those without. By adding good value rewards to your project you’ll attract a different type of investor. Rewards will allow investors to realise some return on their investment in the short term. It is amazing the power behind giving away something unique or getting access to the next must have product before it hits the shelves. Have a good think about what people are likely to find compelling and tier your rewards to entice people to invest more.
#6 Be prepared to spread the word
Once your project has launched, you and your team need to actively promote it and spread the word. Successful projects are those where the Entrepreneur doesn’t sit back but is very active in letting everyone know about the opportunity they are offering potential investors. It is important that you have a burst of activity for launch but that you also plan ahead to try and maintain a drip feed and future bursts of activity. You need to manage your campaign so that you maximise every opportunity.
Simplified crowdfunding model
Email is still a very effective tool for telling your personal and professional contacts about what you are doing. Ensure that your email contacts are up-to-date. Also, Crowdcube offers social media tools on your pitch page to help you tell people about what you are doing. This is a really good way to virally spread your message on the web.
It is crucial for you to target key influencers – bloggers, journalists, brand advocates to name but a few – as part of your campaign. These people will be key when helping you to get your message out there and encourage people to invest.
#7 Updating funders on progress
Make sure that you keep you followers up-to-date with progress. We recommend updating you followers at least once a week to help maintain the momentum behind your campaign. Remember that these people already believe in you and want you to be successful; they are therefore a good source of help when spreading the word. Keep them updated and they will spread the word for you.