If you attend enough pitch meetings you have been subject to the pain and rigors of a slide presentation. Whether you are presenting, or you are part of the intended audience, these events can become uncomfortable because, all too often, there is an expectation that certain elements must be included (for the worst reason: “because we’ve always done it that way.”)
However, there is a new model emerging in the M&A market that employs logic and empathy for the audience to achieve a positive outcome. The modern pitch book addresses two key questions: “What does the audience need to know in order to make a decision in my favor? and “How can I deliver that content as painlessly as possible for me and the audience?”
Typically, a firm looking for an investment bank takes seven meetings before selecting a banker. Attend enough of these meetings and you are likely to see all manner of mistakes in pitch decks:
1. Confusing a slide deck with a pitch book.A pitch deck should be a visual guide to the story you tell; a pitch book is an organized reference manual to the proposed solicitation. We’ve seen bankers attempt to present the book as a narrative, and frankly, it is akin to selling someone a car by reading them the owner’s manual. Ensure that the content you present reflects its purpose, whether it is a pre-meeting reference or in person persuasion.
2. Presenting the “Where’s Waldo” customer logo slide.Almost every sales slide deck includes the pedigree slide, and most are poorly presented. Usually, it is a semi-organized assortment of recognizable logos that indicate your firm is capable (or why would so many prestigious firms engage you?) The irony is, if you’ve reached the point of an in-person pitch, your competence is most likely not in question. Instead, the logo slide should focus on what the audience is looking for: the 2-3 relatable logos that indicate that you have experience with similar organizations. It is better to go deep on presenting the similar projects, than overwhelm with a litany of tangential (at best) experiences.
3. Not having the right person in the room.This mistake is related to mistake number two. When you are crafting the presentation deck, you want to tell stories that relate to the audience. Even with a mid-size department, you may have a larger collective experience than you might first suspect. The problem occurs when you don’t have those experiences organized. Building an “experience database” could be the most impactful investment your department can make. So even if you can’t have every associate with related experience in the room, you can be sure to share their story if you have a searchable content repository. In fact, many of those experiences may have taken place when the associate was with another bank.
3. Running through the mandatory slides.Recycling is not always a good thing. Most firms have their “standard deck” that includes 20-30 slides that provide a history of the firm, investment philosophy. No one ever felt cheated by seeing fewer slides than expected. If you find yourself thinking “I just need to get through these background slides before I get to the meat of the presentation” start paring down the slides.
5. Too much info…too little slide.This one is another basic: if you find yourself reading the slide to your audience, you have to many words on the slide. It is important to balance visuals with the narrative.
6. Not having the end game in mind. Remember why you are in the room. It isn’t to demonstrate your eloquence or design skills, it is to persuade your audience to action. If you find that your deck does not support a cohesive story that draws your audience toward the desired action, it is time to rethink your presentation.
Summary
Keep your persuasive goal in mind and make your train of thought easy to follow. Finally, remember, less is more…the deck is a visual guide to your presentation, not an all-encompassing record: less words, fewer fonts, and minor graphic diversity.
Avoid these six-pitch deck mistakes will allow you to present a more concise and ultimately more influential story. The best decks are organized, relate your firm’s experience, and don’t require the audience to hunt. A great deck is the result of solid preparation, access to your collective organizational experience, and demonstrates empathy for the audience.
Learn more at pitchly.net/blog.
Tim Dubes is CMO at Pitchly.
FAQs
The career is challenging, often demanding analysts or associates work over 80 hours per week. Most investment bankers are very ambitious and competitive because the jobs are prestigious and earnings have the potential to be enormous.
What typically goes in an investment banking pitch deck? ›
Pitch books typically contain sections on the merits of the transaction, an analysis of potential buyers or sellers, pricing and valuation information, and key risks to mitigate. A well-tailored pitch book is a secret to bagging multi-million-dollar deals.
What is an M&A pitch? ›
An M&A pitch deck is a marketing instrument that is commonly used in mergers and acquisitions (M&A) transactions. It is essentially a sales document, outlining the main attributes of the entity being transacted. This document is then used by the investment bank's directors to promote the deal transaction.
How do you pitch investment banking? ›
The standard sections of a pitch book in investment banking consist of a situational overview and the background of the firm, specifically the notable members of the group, and any relevant deal experience that pertains to the client, i.e. the purpose of these slides is to make the case that the firm is the most ...
At what age do investment bankers retire? ›
Age Range: It's nearly impossible to reach this level before your early 30's, so we'll say 35-50 for the range. Few MDs continue working until the official retirement age (65-70); it's a stressful, high-pressure job, and past a certain net worth, it's just not worth it.
Why are investment bankers so rich? ›
Investment banks impose a high fee based on the amount of the offering (usually 2-8% of the total deal). They earn millions of dollars in commissions as a result. They are also paid for setting an appropriate price and assembling a solid network of enthusiastic investors about the company's long-term prospects.
What is the pitch deck for M&A deal? ›
A pitch deck is a document that is commonly used in mergers and acquistions (M&As) transactions. It is a sales document, typically drafted by the investor (usually an investment bank), and it outlines the main attributes of the firm.
Does a pitch deck get investors attention? ›
Creating a killer pitch deck is super important when you're trying to get investors on board. It's not just about making pretty slides; it's about telling your business story in a way that grabs their attention.
How do you make a winning investor pitch deck? ›
At the end of the day, I believe a good pitch deck:
- tells a compelling story that follows a logical sequence.
- shows strong business model validation from experiments and research data.
- has a clear ask at the end that is justified by thorough research.
Most of the information in a pitch deck might also be in the pitchbook but with different levels of detail. In fact, you can think of them as concise (pitch deck) vs. detailed (pitchbook). So, whereas a pitch deck shows only the essential information, a pitchbook dives deep into the details.
Investors will usually ask about your company or the product or service you're pitching. The "standard" questions may be easy enough to answer, especially if you've gone over your presentation multiple times and know your business well.
What are the four key components of the investor pitch? ›
However, by focusing on these four key elements - mission and objectives, monetization strategy, value proposition, and customer segmentation - you can create an effective business model that will help persuade investors that your venture is worth their investment.
Do investment bankers use pitchbook? ›
For an investment bank, a pitchbook focuses on all the benefits of the issue, helping brokers and investment bankers demonstrate how the firm can serve the specific needs of their potential clients. It would have more detailed information about how the potential IPO process could playout for the potential client.
What is a bake off in investment banking? ›
What is a Beauty Contest or Bake-Off? Prospective investment banking clients will conduct a “Beauty Contest” or “Bake-Off” as a means of interviewing several investment banks in connection with selecting a financial advisor, underwriter, or placement agent for a prospective transaction.
What is the content of M&A pitch? ›
M&A pitch decks are presentations giving your buyers the what, where, why, and how of your business. By the time your buyer finishes reading your pitch deck, they should understand: What your business does. Your market and competitors.
Is becoming an investment banker competitive? ›
The field is extremely competitive and demanding, so you should consider what investment banking exit opportunities might await you, should you decide to change course.
Is it hard to get a job as an investment banker? ›
Is it hard to get a job in investment banking? Yes! Investment banking is one of the most competitive industries to get a job in. While every situation is different, and clearly there can be outliers, there are a couple common paths into investment banking.
Do you need Ivy League to be an investment banker? ›
While investment banks typically recruit about 80 percent of their hires from Ivy League and other schools with top finance programs, they also recruit from lesser-known, but still quality, programs.
How hard is it to be an investment banker? ›
Investment banking is one of Wall Street's most coveted roles. It is also one of the hardest. It is no surprise that the average day in an investment banker's life is long and stressful. Those who manage to survive the adjustment period often go on to have long and financially rewarding careers.
