1. Deliver concise answers

After your presentation to the screening committee or dinner meeting, you will have a Q&A session. Keep your answers brief and to the point. You want to maximize the number of questions and engage the most people. You can always ask whether you answered the person’s question completely. Avoid long-winded answers.

2. Technology is only one piece of the puzzle

Entrepreneurs must balance and prioritize limited resources. Success depends on reducing Company risk factors, not just technology risk

• Market Risk: how big is the market? Are customer motivations well understood? Who makes the buying decision? What’s the sales process and customer acquisition costs?
• Team Risk: Proven CEO? Executive Team? Sales and Marketing expertise? How do you compensate for missing skills or expertise?
• Product/Service Risk: Will it work? Will customers use it? Does it address a significant pain point?
• Business Model/Barriers: Is the business model scalable? Can you erect protectable barriers to competition? Are barriers formed by patents, data ownership, network effects, etc.?
• Financial Risk: Funding milestones? Exit strategy? Total investment required? Bottoms up financial projections?

3. Validate market need

Entrepreneurs must understand the difference between features and benefits. What key pain points do you solve? Is your solution “must have” or “nice to have?” What are your customer’s other options (doing nothing is an option)? Who are the early adopters? What drivers will expand your customer base beyond early adopters?

4. Underestimating time and resources is a common mistake

Most first-time entrepreneurs dramatically underestimate the time and resources needed to gain market acceptance. What must you demonstrate to drive uptake? Unrealistic expectations can cause missed milestones, disastrous follow-on financing terms, and leadership changes.

5. The right investors are worth more than money

Is the largest investment at the highest valuation your best choice? Not necessarily. The wrong investors can negatively impact the company and vision, especially at critical junctures. The right investors add value and positive influences for company success.