How do you pitch your startup to angel investors in the pre-seed stage?

Prepare a story around the founder, team, vision and how can you disrupt an existing market. Emphasise on the founders more because at Pre seed, the investors can bet just that.

There are a couple important steps here: researching potential customers, getting real world feedback from them, and finding out if the solution your startup offers is something they will pay for. Fundamental first steps.

The pre-seed stage – it's like the salad phase of a startup buffet. You've got a handful of ingredients (ideas), a dash of dressing (passion), and you're hoping it all comes together into something investors would want to take a bite of. Picture this: startup founders armed with enthusiasm and a spreadsheet that looks more like a ransom note. They're like mad scientists trying to create the perfect potion of product-market fit while avoiding the dreaded curse of running out of funds. So there you have it, the pre-seed stage: where startups are born, dreams are nurtured, and everyone's just hoping they don't trip over their own shoelaces of ambition.

From my early and ongoing stage saas tech work days within supply chain and logistics. -if you’re in a niche industry showcase experience, team, expertise -go deeper on vision and full thoughts/case on your go to market approach -line item to the best of your ability exactly where the money is going to be going -how your approach / the market is wrong or different, and how it can be improved -include case studies and financial implications/impact -don’t worry about the length of the presentation, given you’re targeting the right players with expertise in your space -add more product/support/success costs especially if you’re plg

Before you consider raising any kind of capital from angel investors - or even friends and family - it's important to not only validate your ideas, but to grow the business as much as you can on your own. This will show investors that you're dedicated and committed to the success of your business. Always be asking yourself this question: "Would I invest in my company?" It's easy to say yes, but be honest with yourself - does your business have the traction necessary to make your company attractive to investors? This might include early revenue, a competitive advantage like a unique partnership, or fast organic growth.

Founder-investor fit is critical here for a companies (and its investors) success. Like any long term relationship, there will be ups and downs and challenges along the way. Both sides need to understand one another and what they are building as a true partnership, as opposed to passive investing.

If you can bootstrap (start without any outside capital) then do it. We've all bought the narrative that we MUST raise investment before we can start something, this isn't true, we can build the most basic MVP version (minimal viable product) then test it with as many users as possible and potentially even land a couple of sales. This way we enter those investor conversations with the ball firmly in our court.

At the angel stage, warm intros are critical. Talk to other founders, investors, and ecosystem participants in your market. Find out who is writing angel checks, and find someone who can make a warm intro for you. At this stage, it's about you as a person and leader, not your idea or traction. If you can't network your way to a warm intro, then why would an angel want to back you?

There are tons of resources available on the web now to help you find the right communities and syndicates to join - and pitch. Examples: Angel.co Crunchbase Pitchbook Local meetups (start one if you can’t find them easily)

In my experience, building from scratch a network when I moved to the US, LinkedIn and Twitter were crucial to finding angel investors. Explore and leverage your LinkedIn profile, build in public, share progress and challenges, and use Twitter intentionally, searching for investors and analyzing their asks, and thesis, and you might be surprised at how many angel investors are open to cold outreach as well.

If you are at the angel investor stage, the most important thing is to show investors why they should invest in you. It's rarely about the idea or team or traction at this stage. It's about convincing investors that you are someone they need to back. You want them to understand you are a winner by showing them you've been a winner in the past. You want them to feel your passion to solve a problem. You want them to know you'll do everything it takes to build a great business.

At the early stage, the investors are simply betting on the team. Prove to them that there is founder-market fit by showing how you as a founder get the market you're pursuing. While the product might evolve, proving that you are the founder to bet on is a compelling proposition. Demonstrate how your background or lived experience supports your mission and why you are best positioned to solve this problem. Your determination to find the solution matters more than the solution itself!

The most common mistake I see is not understanding who the investor is and what they like to invest in. Do your homework. See what else they have written checks for. Try to figure out why they wrote those checks. Ask them about their criteria and tailor your pitch. And if they are not a good fit, don't waste their time.

First, consider a wide network. Second, rank them. Third, your investors are your family; not a transaction. Treat them accordingly. Finally, be responsive, efficient, and straight forward. And honest. “Honesty is the first chapter in the book of wisdom." -Thomas Jefferson.

Choose investors that you align with your mission, vision, and values. It's tempting to accept anyone willing to write you a check, but that's a huge mistake. This is just like marriage. Choose the investor you can live with for the long haul. The question I ask myself is: "Would I be thrilled if this investor got rich off my business?" You want an investor you are thrilled to celebrate with instead of someone you become resentful of. Don't let scarcity dictate your decision.