How to Show Financials in a Pitch Deck Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. The financial projection is a key element in the presentation to investors. Many founders cut and paste cells from the financial model spreadsheet into a slide. This renders the information unreadable as the spreadsheet doesn’t fit with the presentation format. To show your financial projections, consider the following: Don’t cut and paste from the spreadsheet. Investors cannot take in a detailed spreadsheet on a slide in such a small font.   They can only take in the high-level information. Choose specific numbers from your financial model and place them into the slide using the same font and format as the rest of the deck. Choose three sets of numbers: revenue, costs, and profits. Show last year, this year, and the next three years in your presentation. This yields a five-year window into the company. Create a line graph showing each one. The revenue shows what growth rate you are projecting.  Avoid hockey sticks as investors will discount those numbers as unrealistic. Show the costs and then the profit line. Include 1-3 key metrics as well.  Also include additional fundraises proposed in the model. Investors will look for the growth rate you are projecting.   They will look to see when you go cash flow positive. Investors will look at the burn rate on the profit line and then check the fundraise to see how much cash runway you are proposing. The key to presenting the financial projections is to call out three key numbers such as the growth rate, months to cash flow positive, and the number of months of cash runway. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let’s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at:   Check out our other podcasts here:   For Investors check out:   For Startups check out:   For eGuides check out:   For upcoming Events, check out   For Feedback please contact [email protected]   Please , share, and leave a review. Music courtesy of .

Thank you for joining us today for our TEN Capital Fundraise Launch Program. In this program, we help startups prepare for a fundraise. We provide templates, tools, eGuides, and advice to founders who are working towards raising funding. We'll kick off the session with a short overview on a fundraising topic, then we'll answer questions from the founders. I hope you enjoy this episode. ________________________________ Thank you for joining us for the TEN Capital Fundraise Launch Program where we help startups prepare for a fundraise. For more episodes, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Music courtesy of Bensound

Assumptions and Drivers in the Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. In building out your financial model, make explicit the assumptions you are using and identify the drivers in your business. Create a tab on the spreadsheet for assumptions and drivers for the investor to review. As you build out the revenue forecast, capture the assumptions behind the growth rate. For the costs, make clear which are fixed and which are variable costs. Identify the drivers within the business. Typically this is the number of products sold or the number of customers signed up. This drives the revenue line as well as the variable costs. For example, the more customers targeted for revenue, the higher the cost of sales and sales commission. Investors look to see if the costs align with the revenue forecast. Understanding what drives your revenue and costs will help you build out your financial model and create more accurate projections. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let's go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.

Assumptions and Drivers in the Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. In building out your financial model, make explicit the assumptions you are using and identify the drivers in your business. Create a tab on the spreadsheet for assumptions and drivers for the investor to review. As you build out the revenue forecast, capture the assumptions behind the growth rate. For the costs, make clear which are fixed and which are variable costs.  Identify the drivers within the business. Typically this is the number of products sold or the number of customers signed up. This drives the revenue line as well as the variable costs. For example, the more customers targeted for revenue, the higher the cost of sales and sales commission. Investors look to see if the costs align with the revenue forecast. Understanding what drives your revenue and costs will help you build out your financial model and create more accurate projections. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let’s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at:   Check out our other podcasts here:   For Investors check out:   For Startups check out:   For eGuides check out:   For upcoming Events, check out   For Feedback please contact [email protected]   Please , share, and leave a review. Music courtesy of .

Thank you for joining us today for our TEN Capital Fundraise Launch Program. In this program, we help startups prepare for a fundraise.  We provide templates, tools, eGuides, and advice to founders who are working towards raising funding. We’ll kick off the session with a short overview on a fundraising topic, then we’ll answer questions from the founders. I hope you enjoy this episode. ________________________________ Thank you for joining us for the TEN Capital Fundraise Launch Program where we help startups prepare for a fundraise.  For more episodes, please visit the site at: http://investorconnect.org  Check out our other podcasts here: For Investors check out: For Startups check out: For eGuides check out: For upcoming Events, check out   For Feedback please contact [email protected] Music courtesy of

How Investors Use the Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Investors use the financial model to understand not only the business but also to learn about the founder and their skills. Here are some key points investors look for: Salaries -- investors look to see how well the team is compensated and if it fits the stage of the business. Customer acquisition and retention -- investors look to see you have built a system for acquiring customers and retaining them. Traction -- investors look to see what traction you have going so far. Knowledge of the business -- investors look at the numbers to see how well you know the costs of running the business and what factors drive revenue. Scale factors -- investors look at the costs and customer acquisition model to see how well the business can scale. Use of funds -- investors look to see how you are going to spend the funds raised and if it makes sense for the stage of the business. Potential outcome -- investors look to see if this is a venture business or a lifestyle business. Consider how the investor will view your deal in building out your financial projections. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let's go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.

How Investors Use the Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Investors use the financial model to understand not only the business but also to learn about the founder and their skills.  Here are some key points investors look for: Salaries -- investors look to see how well the team is compensated and if it fits the stage of the business. Customer acquisition and retention -- investors look to see you have built a system for acquiring customers and retaining them.   Traction -- investors look to see what traction you have going so far. Knowledge of the business -- investors look at the numbers to see how well you know the costs of running the business and what factors drive revenue. Scale factors -- investors look at the costs and customer acquisition model to see how well the business can scale. Use of funds -- investors look to see how you are going to spend the funds raised and if it makes sense for the stage of the business. Potential outcome -- investors look to see if this is a venture business or a lifestyle business. Consider how the investor will view your deal in building out your financial projections. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let’s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: Check out our other podcasts here:   For Investors check out:   For Startups check out:   For eGuides check out:   For upcoming Events, check out   For Feedback please contact [email protected]   Please , share, and leave a review. Music courtesy of .

Characteristics of a Good Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. The purpose of the financial model is not to predict the future with great accuracy but rather to understand the business and how it works. Here are some characteristics of a good financial model: The model shows what drives the business, such as leads generated, products launched, or sales reps on the team. The customer acquisition and retention model is defined so it's clear what must be done to reach a sales target or performance metric. The financial model shows what actions must be taken by the team such as website traffic and conversion rates, sales closure rates, and more. The model has clear logic to it so investors can follow it easily. It should be flexible and allow for changes in assumptions. It should be accurate, which means you applied a bottoms-up approach and not a top-down. It contains instructions on how to read it if it's not readily apparent. It should be visually appealing with a clean design that exudes professionalism. Finally, it should be printable so that it comes out neatly on a page. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let's go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.

This is Investor Perspectives. I'm the host of Investor Connect, Hall T. Martin, where we connect startups and investors for funding. In our new Investor Perspectives series entitled "Faith-Based Investing in a Post-COVID World", you'll hear about changes expected in the coming 12 months and our guests' final thoughts. As the COVID pandemic passes, we emerge into a new era. The faith-based investing space is now undergoing tremendous change as we shift to a post-COVID world. Faith-based investing takes precedence with many investors in the financial industry. We have investors and startup founders describe the changes coming up. Our guests are: Steve Gatena, Founder and CEO, Pray.com [01:26]Shane Enete, Associate Professor of Finance at Biola University and Investment Analyst at Inspire Investing [05:31]John Siverling, Director of Private Markets, OneAscent Capital [10:58]Endel Liias, Founder and Managing Principal, Nexus Impact Advisors [15:48]Jeff Shafer, CEO, CommonGood Capital [17:20]Kenn Kelly, CEO, Never Settle [21:22] We hope you enjoy the show. _______________________________ For more episodes from Investor Connect, please visit the site at: http://investorconnect.org Check out our other podcasts here: https://investorconnect.org/ For Investors check out: https://tencapital.group/investor-landing/ For Startups check out: https://tencapital.group/company-landing/ For eGuides check out: https://tencapital.group/education/ For upcoming Events, check out https://tencapital.group/events/ For Feedback please contact [email protected] Please follow, share, and leave a review. Music courtesy of Bensound.

Characteristics of a Good Financial Model Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. The purpose of the financial model is not to predict the future with great accuracy but rather to understand the business and how it works. Here are some characteristics of a good financial model: The model shows what drives the business, such as leads generated, products launched, or sales reps on the team. The customer acquisition and retention model is defined so it’s clear what must be done to reach a sales target or performance metric. The financial model shows what actions must be taken by the team such as website traffic and conversion rates, sales closure rates, and more.   The model has clear logic to it so investors can follow it easily. It should be flexible and allow for changes in assumptions. It should be accurate, which means you applied a bottoms-up approach and not a top-down. It contains instructions on how to read it if it’s not readily apparent. It should be visually appealing with a clean design that exudes professionalism. Finally, it should be printable so that it comes out neatly on a page. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let’s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at:   Check out our other podcasts here:   For Investors check out:   For Startups check out:   For eGuides check out:   For upcoming Events, check out   For Feedback please contact [email protected]   Please , share, and leave a review. Music courtesy of .