This lecture presents tips, examples, techniques and tools for building the five essential communication documents for entrepreneurs including: The Elevator Pitch, Executive Summary, Company Presentation, Technical White Paper, and the Business Plan. Learn how to create these communication tools and how to use them effectively to grow your business from an idea to a funded business.

2. COMMUNICATION
TOOLS:
HOW
TO
MAKE
YOUR
IDEA
CREDIBLE
AND
UNDERSTANDABLE

3. AGENDA
1.
Why
do
you
need
the
toolkit?
2.
How
to
create
and
use
your
toolkit?
3.
What
is
in
the
toolkit?

4. WHY
DO
WE
NEED
THE
TOOLS?
Solicit
Communicate
investment
to
partners
Communicate
B-­plan
Communicate
to
employees
Exec
Summary
to
customers
PPT
Deck
White
paper
SLIDE 4

5. INVESTORS
MUST
UNDERSTAND
WHAT
YOU
DO
AND
WHO
CARES
Clear
Investment
Focused
Company
Message
Opportunity
Slide 5

6. EXPLAIN
HOW
YOUR
BUSINESS
WILL
WORK
South
Park
Clip:
From
18
min18
sec
-­‐>
To
19:00
min

7. USERS
NEED
TO
UNDERSTAND
HOW
YOU
SOLVE
A
PROBLEM
THAT
THEY
HAVE
Product-­‐Market
Repeatable
Fit
Sales
~40%
of
users
will
be
very
upset
if
your
product
does
not
exist
Slide 7

8. HOW
DO
THE
TOOLS
WORK?
The
tools
EXPLAIN
and
ILLUSTRATE:
 What
is
unique
about
your
business?
 Who
cares?
 How
will
you
execute?
DIFFERENTIATED
SUSTAINABLE
VALUE
PROPOSITION
Slide 3

9. SELLING
VS.
PLANNING
VS.
Slide 9

10. HOW
TO
CREATE
AND
USE
THE
TOOLKIT

11. HOW
TO
CREATE
YOUR
TOOLKIT?
Do
not
start
by
building
your
business
plan
 You
will
not
have
the
informa[on
you
need
 You
will
examine
issues
out
of
priority
 You
will
expose
lack
of
understanding
Use
the
PowerPoint
Deck
as
receptacle
for
all
ideas
and
informa[on
that
comes
to
light
–
easy
to
manipulate,
organize
and
adapt
Build
your
execu[ve
summary
and
eventually
your
business
plan
based
on
your
PowerPoint
deck
Give
investors
your
exec
summary
and
offer
to
walk
them
through
the
PowerPoint
slides
in
person
or
on
the
phone
Develop
visual
assets
(diagrams,
videos)
to
use
on-­‐line
and
in
your
pitch
deck
Slide 11

12. LEAN
START-­‐UP
1. Customer
discovery
2. Customer
valida[on
3. Customer
crea[on
4. Company
building

13. MATCH
YOUR
TOOLKIT
TO
THE
STAGE
OF
YOUR
COMPANY
DEVELOPMENT
P W E B

14. MAKE
YOUR
MESSAGE
MEMORABLE
ENGAGE
your
audience
Make
informa[on
meaningful
to
them
 Case
studies,
tes[monials
Address
knowledge
gaps
 Visuals,
charts,
graphs
Let
them
arrive
at
their
own
conclusions
 Pace
your
delivery
Re-­‐iterate
value
proposi[on
Slide 8

15. POWER
OF
STORYTELLING
LEFTY
THE
SALESMAN
TRIES
TO
SELL
ERNIE
AN
INVISIBLE
ICE
CREAM
CONE
Sesame
Street
Clip:
http://www.youtube.com/watch?v=Xk365oP1tiM&feature=related
From
1
min
14
sec
-­‐>
To
2
min
20
sec

16. YOU
ARE
THE
MOST
IMPORTANT
COMMUNICATION
TOOL
Understanding
‘Honest
Signals’
in
Business
-­‐ Tone
of
voice,
variability
-­‐ Level
of
energy
-­‐ Pacing
your
delivery
“This
‘second
channel’
of
human
communica3on
acts
in
parallel
with
that
based
on
ra3onal
thinking
and
verbal
communica3on,
and
it
is
much
more
important
in
human
affairs
than
most
people
like
to
think”
Alex
Pentland,
MIT

17. EXAMPLE:
ILLUSTRATIONS
MAKE
COMPLEX
IDEAS
UNDERSTANDABLE

18. EXAMPLE:
TOTAL
ADDRESSABLE
MARKET
$15B
Local
Gap
Online
Represents
2014
$7.5B expanded market for Ad Networks
$6B
new
revenue
for
ISPs
Local
Ads
$100B
$1.5
Billion
for
our
enabling
technology
Total
US
market
for
our
enabling
technology
$1,600
$1,200
Millions
$800
$400
$0
2009
2010
2011
2012
2013
2014
Source: Based on eMarketer 2008 data

19. EXAMPLE:
ACCESSIBLE
MESSAGE,
CLEARLY
STATED
VALUE
PROPOSITION
Not
bad….Opportunity
XYZ
Inc.
medical
device
startup,
is
based
on
the
premise
that
image
guidance
will
be
a
key
element
in
the
successful
deployment
of
emerging
minimally
invasive
therapies
over
the
next
decade.
Beder……Product
and
Benefits
By
providing
3D
imaging
at
low
cost,
we
aim
to
make
the
procedures
of
the
21st
century
safer,
faster
and
cheaper
with
beder
success
rates,
fewer
complica[ons
and
shorter
hospital
stays.
Slide 19

20. COMMUNICATION
TOOLS
HELP
YOU
BUILD
RELATIONSHIPS
Be
strategic
about
what
you
provide
and
when
you
provide
it
 Not
everyone
should
see
your
white
paper
or
business
plan
 Leave
some
details
for
later,
don’t
give
away
everything
in
the
first
mee[ng
Your
documenta[on
should
radiate
professionalism
 Ensure
accurate
grammar,
spelling,
dic[on,
illustra[on,
layout,
etc.
Slide 20

21. KNOW
YOUR
AUDIENCE
 Speak
to
your
audience
in
language
that
they
understand:
 Ins[tu[onal
investor
–
do
not
speak
‘techie’,
[e
everything
back
to
money
 Strategic
investor
–
may
be
more
technical;
will
be
interested
in
your
ideas
as
they
impact
their
business
 Strategic
Partner
–
mix
of
technical
and
business;
understand
how
a
rela[onship
will
be
mutually
profitable
to
both
par[es
 Angel
Investors
-­‐
access
their
background;
understand
their
interests
 Customer
–
understand
their
industry
and
pain
points
Slide 21

22. SOCIAL
MEDIA
TOOLS
• Create
an
engaging
conversa[on
with
bloggers
and
customers
• Let
peers,
partners,
journalists
and
investors
“discover”
your
story
through
the
social
web
• Show
what
you
do
through
images,
video
and
make
it
easy
to
find
through
SEO;
• Many
access
points:
LinkedIn
Group,
Twider
stream,
YouTube,
Flickr
Gallery,
Wikipedia
 Think
of
Twee[ng
as
an
easy
way
to
call
aden[on
to
news
and
a
call
for
ac[on

23. CREATE
CONTEXT
Idea#
1:
“Don’t
Dive
Straight
into
the
Technology”
(Value
ProposiOon)
Don’t
start
with
technology.
Everyone
has
this.
Instead
create
context.
Understand
your
customer’s
pain
points
and
show
them
how
you
offer
a
value
proposi[on
that
is
FASTER,
CHEAPER,
BETTER
Idea
#2:
Maintain
A
Degree
of
Focus
&
Consistency
in
your
Message
(Brand)
Focus
on
just
a
few
of
the
really
good
things
you
can
do
and
lead
with
these
points.
Idea
#3:
“Personify
your
People”
(Profiles)
Profile
Managers
Backgrounds
-­‐
Creates
context
for
poten[al
clients
and
investors.
Idea
#4:
“Provide
Proof
of
Results”
(Case
Studies)
Tell
a
story.
Focus
on
Results
and
the
overall
customer
experience.
Use
tes[monials.

24. PRINCIPLES
FOR
BUSINESS
PLANNING
AND
COMMUNICATION
FATCUAL
• No
hype.
Let
investors
become
enthusias[c
on
his/her
own
DYNAMIC
• Business
planning
is
an
itera[ve
and
adap[ve
process
• A
clear,
precise
structure
is
a
courtesy
to
those
inves[ng
their
VISUALLY
COMPLELLING
[me
in
reading
the
proposal
CONSISTENT,
CONCISE,
• The
storyline
and
all
the
facts
presented
must
fit
together
CLEAR
and
generate
a
well
rounded
impression
AUDIENCE-­‐CENTRIC
• Acknowledge
style,
recognize
knowledge
gaps
and
biases
• Those
who
allocate
investment
resources
rarely
are
EASE
OF
UNDERSTANDING
technical
experts
for
the
technology
used
in
the
proposal

25. WHAT
IS
INCLUDED
IN
THE
TOOLKIT?

26. THE
TOOLS
The
Tools
You
Need
to
Raise
Money
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Investor-­‐engagement-­‐The-­‐tools-­‐you-­‐need-­‐to-­‐
raise-­‐money
SLIDE 26

27. THE
ELEVATOR
PITCH
What:
 A
30
second
overview
of
your
business
concept
Why:
 To
get
a
follow–on
meeting
When:
 In
a
cold
call
to
an
investor,
customer,
potential
partner,
etc.
 Good
for
networking
at
trade
shows,
business
functions,
etc.
Dos
and
Don’ts:
 Do
not
spend
forever
practicing
and
re[ining
this
–
should
come
naturally;
 Figure
out
a
few
key
messages
you
would
like
to
get
across
to
use
as
a
loose
script
 Distribute
key
messages
to
outward
facing
employees
–
standardize
message
Slide 27

28. The
Elevator
Pitch
PAIN
POINT
ABC
Inc.
is
a
location-­‐based
advertising
company
focused
on
bringing
A
need
for…
hyper
local
targeting
to
any
website.
VALUE
PROPOSITION
Through
a
unique
privacy
architecture,
Inc's
technology
allows
media
companies
and
advertising
agencies
to
accurately
reach
the
Allow
one
to…
most
relevant
and
responsive
demographics
online.
SLIDE 28

29. THE
EXECUTIVE
SUMMARY
The
Executive
Summary
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Investor-­‐engagement-­‐The-­‐executive-­‐
summary.html
The
Executive
Summary
Template
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Investor-­‐engagement-­‐Executive-­‐summary-­‐
template
SLIDE 29

30. THE
EXECUTIVE
SUMMARY
What:
 3-­‐5
page
summary
of
your
technology,
product,
sales
plan,
revenue
path
and
[inancial
requirements
Why:
 A
‘teaser’
document
meant
to
generate
a
request
for
more
information
or
a
meeting
 Readers
will
want
to
get
their
head
around
the
concepts
quickly
When:
 When
you
have
a
‘warm’
intro
or
an
invitation
to
contact
someone
 Integral
[irst
interaction
with
an
investor
 Rides
the
line
between
con[idential
and
non-­‐con[idential
–
some
degree
of
trust
Dos
and
Don’ts:
 Has
to
have
the
right
emphasis
given
the
maturity
of
the
business
concept
 Keep
it
current
Slide 30

31. THE
WHITEPAPER
What:
 A
fairly
concise
layman’s
summary
of
your
technology,
product(s),
the
uniqueness
of
the
technology
and
products
and
the
value
proposition
Why:
 Helps
investors
to
understand
how
a
concept
or
technology
works
When:
 After
investors
are
curious
about
details
or
have
bought
into
the
big
picture
business
vision
Dos
and
Don’ts:
 Put
the
whitepaper
on
your
website
 Don’t
go
so
deep
as
to
give
away
all
of
your
trade
secrets/IP
–
consult
your
IP
professional
 Keep
it
as
short
as
possible
and
fully
explain
all
acronyms
Slide 31

32. THE
POWERPOINT
Elements
of
a
Pitch
Deck
http://www.marsdd.com/entrepreneurs-­‐toolkit/articles/
Investor-­‐engagement-­‐Elements-­‐of-­‐a-­‐pitch-­‐deck
Building
a
Strong
Presentation
http://www.marsdd.com/entrepreneurs-­‐toolkit/articles/
Investor-­‐engagement-­‐-­‐Building-­‐a-­‐strong-­‐presentation.html
SLIDE 32

33. THE
POWERPOINT
What:
 A
~15
slide
outline
of
the
key
aspects
of
your
business
plan
Why:
 Provides
an
overview
of
the
business
plan
in
point
form
 Allows
people
to
absorb
a
lot
of
key
information
in
a
short
period
of
time
When:
 Usually
the
second
piece
of
information
an
investor
receives
after
the
executive
summary
 Investors
love
these
because
they
can
[lip
through
them
very
fast
and
get
highlights
Dos
and
Don’ts:
 Critical
document
in
the
fundraising
process
–
present
a
sound
story;
make
it
look
good
 Practice
speaking
to
it,
preferably
in
front
of
friendly
people
who
will
ask
lots
of
questions
 Use
graphics
as
much
as
possible
Slide 33

34. THE
BUSINESS
PLAN
The
Business
Plan
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Investor-­‐engagement-­‐The-­‐business-­‐plan.html
The
Business
Plan
Template
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Investor-­‐Engagement-­‐Business-­‐Plan-­‐
Template
Business
Plans
for
SE
and
SPBs
http://www.marsdd.com/entrepreneurs-­‐toolkit/
articles/Business-­‐plans-­‐for-­‐SEs-­‐and-­‐SPBs
SLIDE 34

35. THE
BUSINESS
PLAN
What:
 A
rigorously
prepared
and
executable
description
of
how
you
will
build
your
business
Why:
 This
is
your
roadmap
for
how
you
are
going
to
build
your
business
 Describes
roles
and
responsibilities
for
building
various
aspects
of
the
business
When:
 When
you
have
assembled
enough
solid
information
to
write
it
 Highly
proprietary;
later
stages
of
diligence
 Wait
for
the
investor
to
to
ask
for
it
Dos
and
Don’ts:
 Often
made
a
condition
of
[inancing
or
a
board
action
item
 Re-­‐write
with
every
major
change
in
strategic
direction
 Avoid
the
temptation
to
turn
this
into
a
sales
tool
–
preserve
its
integrity
as
an
execution
plan
Slide 35

36. BUSINESS
PLAN
Outline
 Executive
Summary
 Company
&
Opportunity
Summary
 Product
&
Technology
 Market
Size
and
Growth
 Sales
and
Marketing
Plan
 Competitive
Overview
 Operations
Plan
 Management
Team
 Financials
&
Investment
Requirements
SLIDE 36

37. POWERPOINT/INVESTOR
DECK
Outline
 Company
Description
(1
paragraph)
 Company
Overview,
Management
&
Vision
(2-­3
slides)
 Need
&
Existing
Solutions
(1-­2
slides)
 Technology,
Products
and
Product
Rollout
(2-­3
slides)
 Market
Opportunity
(1
Slide
,Graphical)
 Competitive
Overview
(1
Slide
,
Largely
Graphical)
 Sales
Strategy
&
Channels
(2-­3
slides)
 Partnerships
and/or
Partnerships
strategy
(
1
slide)
 Financials
&
Path
to
Liquidity
(2-­3
Slides
(Largely
Graphical)
SLIDE 37

38. EXECUTIVE
SUMMARY
Outline
 Company
Description
(1
paragraph)
 Basic
Need
&
Company
Solution
(1
paragraph)
 Technology
and
Product(s)
(1
paragraph;
diagram)
 Value
Proposition
(couple
of
bullets)
 Market
Size
and
Growth
(diagram)
 Sales
Plan
(1
paragraph)
 Competitive
Advantages
(couple
of
bullets)
 Management
(detailed
bullets)
 Revenue
Growth
Projections
(diagram)
 Financing
Requirements
(1
paragraph)
SLIDE 38

39. Veronika
Litinski
Advisor,
MaRS
Discovery
District
T
416-­‐673-­‐8113
E
vlitinski@marsdd.com
W
www.marsdd.com