Startups have been the hyped up success stories in the past decade. While some of them have been successful and even changed the face of how we do business in the process, numerous others have not been so lucky. For every successful startup, countless others fail.
According to Forbes, 29% of the startups fail because they run out of cash, 14% due to poor marketing and 8% due to little or no financing and a lack of investor interest. New startups obviously lack the experience and skill required to survive and to especially get investors on board to help them get on their feet. More often then not, they fall short when pitching their idea to potential investors and stakeholders.
Even if they do get an investor to meet with them, what should they be prepared about to answer? Do you know what you are trying to sell? What’s your market size? Do you see yourself using your own product?
These are just a few of the questions you should prepare before even thinking about anyone funding your startup. But how can you do that? That’s where Pitchbot comes in.
What is Pitchbot?
Pitchbot, as the name implies, is a bot that is designed to simulate a meeting with either an angel, incubator, seed fund or VC firm. Your objective is to answer multiple-choice questions about your startup and to impress the investor. At the end, you might even land yourself an investment!
For most founders, having to raise money from investment is the most difficult parts of starting up. Usually, when investors pass on a startup, they aren’t direct about their reasons.
This, of course, means that the information founders want in order to get better is most difficult for them to get.
Over at Pitcbot, you can choose a meeting between four different type of investors:
- Angel Investor
- Seed Fund
- VC Firm
All of these investors will have different sets of questions to ask. In Pitchbot, as your engagement with them progresses, you can see and gauge your progress via a meter. This meter on the right hand side indicates how much the investor is actually interested in what you have to say. Which is helpful for first-time entrepreneurs!
At the end of the chat, it will tell what you are doing well and even highlight the areas where your pitch needs work. You will also get notes on what investors are looking for and why they care for those things.
Pitchbot is extremely educational because of the fact that it is based on the blog of top 20 investors and the question that Pitchbot ask are similar to what any other investor would ask.
So, pitch your own startup to Pitchup and see whether you get an offer or a pass! It is not only an enducational tool but offers startups a chance to see where they can improve and accommodate the necessary changes when it comes to pitching just that killer idea of theirs.