#121465 BRICKSTONE -51601 -17 199 -14 -43 310 -31 624 237 6270 612 824 295 700 -36 80 -318 -2 240 -805 -298 745 Guide to Developing INVESTOR PRESENTATION For Large Projects 2017 © Brickstone Partners Limited All information contained in this publication has been researched and compiled from sources believed to be accurate and reliable at the time of publishing. However, in view of the natural scope for human and/or mechanical error, either at source or during production, Brickstone Partners Limited accepts no liability whatsoever for any loss or damage resulting from errors, inaccuracies or omissions affecting any part of the publication. All information is provided without warranty, and Brickstone Partners makes no representation of warranty of any kind as to the accuracy or completeness of any information hereto contained. WHITEPAPER A BRICKSTONE PUBLICATION#2Why you need an Investor Presentation Introduction 2 Investor presentations are an important but often overlooked aspect of entrepreneurial efforts to secure financing for their businesses. Often times, entrepreneurs may have wonderful startup ideas or business models however their Investor Presentation let them down. A good Investor Presentation may just be as important as the Business idea itself. Poor investor presentation may close the door on potential avenues of financing, even if the entrepreneur's idea for a new business or product is a good one. Getting a winning Investor Presentation may not be as easy as it seems but we are here to help. BRICKSTONE#3How is the Investor Presentation Organized? The Investor Presentation Format The investor presentation must be clear, concise and compelling to: ■ Generate investor interest and build confidence ■ Lead to additional investor meetings should be 20-30 minutes in length Charts, graphics, pictures and verbiage should be simple and easily read (no "eye tests") Each slide should have between 3 and 6 bullets that are succinct (no paragraphs, uncluttered) 3 Presentation format may vary depending on the company but the following format provides a reasonable order and flow -it is but one approach to making investor presentations.#4Outlining the Investor Presentation Order of Presentation 4 ■ Introduction Problem Solution Market, Customers Competition and Advantage ■ Business Model and Marketing Plan Management Team Financial Projections ■ Timeline Summary BRICKSTONE#5Introduction This is a very important slide that requires lots of time to create because it must be succinct, comprehensive and COMPELLING Briefly introduce yourself and your company Company name and company logo Presenters names (give titles if pertinent) Brief overview of company (elevator pitch) What exactly the company does (stated succinctly) What products or services are offered What problem is being solved, and Why these products or services are compelling, e.g., "...the only product that enables [solution] to [the problem]..." BRICKSTONE SLIDES: 1-2 slides TIME: About 2 minutes 5#6The Problem/Opportunity/Need The Problem needs to be very clear and properly described to allow investors to understand your Value Proposition ■ Define the problem or need in the market ■ Describe how significant or prevalent the problem may be If appropriate, describe why now is the right time for a solution Provide a "problem" scenario that provides a basis for your company's product or service BRICKSTONE SLIDES: 1-2 slides TIME: About 2 minutes 6#7The Solution This Section needs to show the Solution your company is providing to solve this problem in a sustainable manner Clearly and succinctly describe the company's product or service that will address the problem Illustrate the company's solution with graphics, pictures or videos as necessary (keep this very simple) Provide brief list of features, benefits and advantages What is the value proposition for the customer (How well will the product or service solve the problem)? Cost savings, convenience, reliability, etc. (be specific) Describe "barriers to entry" created by your product (e.g., patents) ■ Provide an understandable, practicle example of how your product/service works or what it does. SLIDES: 1-2 slides TIME: About 2 minutes BRICKSTONE 7#8Company Status/Progress This Section needs to show your Company and the Governance in place to drive the implementation of the product. Build investor confidence in your company Domain expertise of management and staff ■ Customers and contracts established (letters of intent) Strategic partnerships established ■ Product development status-describe milestones achieved to reduce risk (e.g., alpha or beta testing) ■ Other significant information to validate or reduce risk BRICKSTONE SLIDES: 1 slides TIME: About 1 minutes 8#9The Market This Section needs to show your Company's ability to penetrate the market and drive sales Market for [your product/service] Nigeria Market with key segments Region Demand (US $ MM) % Globe City World US $ MM % Country % World Rank Abuja 1700 32 Ikeja 1 865 22.8 5.3 Lagos 1500 30 Port Harcourt 3 300 8.3 1.9 Calabar 4 285 8 1.8 Rivers 1300 25 Ibadan 21 105 2.8 0.64 Cross River 415 8 Benin 22 104 2.8 0.63 Oyo 200 4 Jos 23 103 2.7 0.62 Others 64 1 Uyo 26 100 2.6 0.61 BRICKSTONE SLIDES: 1 slides TIME: About 1 minutes 9#1010 10 Customers This Section needs to show your Company's Current Customers and the Future Customers that is planned to be acquired Describe the company's current and potential customers Profile of the optimal customer ■ Value proposition to customer ■ Validation of Customer Acceptance Customer Feedback, Survey Data, Testimonials Purchases, Letters of Intent Partners Example of customer BRICKSTONE SLIDES: 1 slides TIME: About 1 minutes#11Competition and Advantage This Section needs to describe competitive environment for your company and its product or service Describe the company's competitive position ◉ Profile of key competitors ◉ Description of their product or service Competitor's pricing strategies Competitor's go-to-market strategies Any strategic alliances and partnerships The competitive advantage of your business should be articulated against the competition. BRICKSTONE SLIDES: 1-3 slides TIME: About 3 minutes 11#12Competition and Advantage Competitive Comparison Product Product A ~ N1200/100 units Product B ~N300/100 units Product C ~N170/100 units My Company Product ~N900/100 units Advantages Disadvantages BRICKSTONE SLIDES: 1-3 slides TIME: About 3 minutes 12#13Competition and Advantage Competitive Matrix should also be developed to show your products and services Product Feature A Feature B Feature C Feature D Feature E MY PRODUCT Product 1 Product 2 Product 3 Product 4 Product 5 Product 6 SLIDES: 1-3 slides BRICKSTONE TIME: About 3 minutes 13#14Competition and Advantage A Competitive Positioning Documentation needs to be developed also XXXXXXXXXX Flexibility Yikes Gizmo Zowie Gadget.com Yippee BRICKSTONE Functionality Your Company, Inc. Thingamabob SLIDES: 1-3 slides TIME: About 3 minutes 14#15Business Model and Marketing Plan The business model and marketing plan for be very straight to the point Describe the company's business and revenue model What is the overall business strategy? ■ How will you sell your product or service (distributors, internet)? How will the company generate revenue for its product or service? ■ Describe the sales cycle for the company's product or service Include pertinent info regarding relationship with government agency Describe the Marketing Plan (if appropriate) What is the go-to-market strategy? What is the pricing model? Gross margin? ■ How will you access customers? (including advert. and promo.) ■ How will your product or service be distributed? ■ What customer support will be needed? Note any commitments from partners, distributors, granting agencies, etc. regarding benefits of your product BRICKSTONE SLIDES: 2-3 slides TIME: About 3-4 minutes 15#16Management Team & Advisors The Management Team and Group of Advisers are the key to show investors your level of seriousness Build investor confidence with team ■ Credentials, proven track record, domain experience (do not include weak credentials) ■ Describe skill and experience gaps to be filled. List the company's leadership team Include name, position, experience (abbrev.) ■ These are credentialed experts List of company Directors and Advisors ■ Include name, summary of experience BRICKSTONE SLIDES: 2-3 slides TIME: About 3-4 minutes 16#17Financial Projections Show the Income Statement and Cost Benefit Analysis 2008 2009 2010 Revenue 500 5,207 12,203 2011 25,565 2012 1200 51,894 1000 Break-Even 800 TR = TC COGS 402 3,270 7,179 14,395 29,145 Gross Profit 102 1,937 5,024 11,170 22,749 Revenue | | 600 Fixed Cost - Total Cost 400 - Total Revenue Variable Cost 200 Oper Exp 4,318 3,572 4,229 8,165 16,445 0 0 20 40 60 80 100 Units Sold Net Income (4,216) (1,635) 795 3,005 6,304 BRICKSTONE Total Fixed Cost [B/E(Quantity) = Price per Unit - Var. Cost per Unit per ] 17 17 SLIDES: 2-3 slides TIME: About 3-4 minutes#18Financial Projections Use of Proceeds Breakdown Use of Funding Proceeds 3% 0% 0% 7% 0% 1% 1% 8% 1% 1% BRICKSTONE 78% Salaries (includes payroll taxes) Repairs & maintenance Local Advertising Marketing Accounting and legal ■Rent Internet & Telephone ■Taxes (Real estate, etc.) ■Depreciation Equipment Domain Name Miscellaneous expenses SLIDES: 2-3 slides TIME: About 3-4 minutes 18#19Milestones Timeline Milestones Timeline Milestones Idea Primary Research Feasibility Analysis Relationships Secured Business Plan Prototype Install (Fall Gardens) Funds Raised Neighborhood Mkt. Initial Contracts JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC BRICKSTONE Value-Added Milestones Timeline (Sample) 2007 Development Milestone 1 December 1st Financing $660K 2008 2nd Financing $1Million Product 1 First Sales Break-even Milestone July Sales Milestone December Beta Test Milestone Product 1 Partnered* 2nd Product Development Milestone Sept. SLIDES: 2-3 slides TIME: About 3-4 minutes 19#20Concluding your Investor Presentation Summary What do you want your audience to remember about the company? ◉ Unique and Sizeable Opportunity Unique product or service Competitive Advantage, Strengths Marketing Approach, Customers, Sales Pipeline ■ Intellectual property Management team ■ Other... BRICKSTONE 20 20 SLIDES: 2 slides TIME: About 2 minutes#21Who can help? Contact us @ Brickstone GE To deliver results above and beyond the expectations of our clients" Brickstone Partners Limited Address 9A Ibeju Lekki Street, Dolphin Estate Ikoyi Lagos Midel Center Building Plot 14,Off Oladipo Diya Way, Sector Centre D, Gudu District, Abuja Email [email protected] www.brickstone.africa Telephone Office Line: 01-623-4444 or 09-628-4444 Mobile: 080-3671-3949 www.brickstone.africa BRICKSTONE 21