Each year, more than 40,000 companies compete for approximately 106 spots on a season of the TV show Shark Aquarium . After nine seasons, four Emmy Awards and hundreds of successful launches, Shark Aquarium continues to be one of the most popular shows in the country. You know the format:contestants plead before a team of millionaires (and a billionaire). For those lucky enough to launch their products, the show's publicity is often more valuable than the investment itself.
Related: The Shark Tank Guide to Surviving the Dangerous Waters of Entrepreneurship
Over the years, as a field coach, I have had the opportunity to help my clients swim with sharks —In addition to appearing on Dragon’s Den (it's Shark Aquarium in Canada) and Shark Tank Australia.
Pitching your business idea to investors might just be the most difficult communication skill of all. Here are four strategies that can help you launch like a pro into your next high-stakes presentation:
1. Choose your shark.
If you continued Shark Aquarium with your idea, who do you prefer as an investor? It's a variation on the "Know Your Audience" theme. Ask yourself who is most likely to support your idea and don't be afraid to personalize your connection. Thinking your past growth or forecast is the only reason someone would invest is a shortsighted approach. If you have a wine-related product, Mr. Wonderful will take note of it. Got a gadget that could really fly on QVC? Talk to Lori Greiner. Remember this, though:where you start might not where you end, but it's OK to play favorites!
2. Throw your first pitch.
As I said in my book, The NEW Pitch Elevator , the best pitch is not a pitch at all. It's a conversation. It's easy to memorize catchy phrases and slogans, but when Mark Cuban wants to get down to business, your mission statement isn't going to cut it. Q&A is where your argument really comes to life. Investors are like you and me:they want a dialogue about what matters most to them. Try "talking" to these CEOs and they'll quickly let you know that their questions are more important than what you memorized in your script. Your pitch has some impact, but the real presentation is a dialogue . The best communicators can stray away from catchphrases and still have a compelling story.
Related: 10 ways to be a better communicator
3. Get the votes, get the investment.
Benjamin Graham said the stock market, in the short term, is a voting machine. In other words, the market shows which companies are popular and unpopular – and that goes for investors too. In front of investors, you will see pattern-matching behavior:products that are somewhat familiar, with an innovative twist, are the pattern that sharks (and dragons) desire. When you get a vote of no confidence, a feeding frenzy can begin. And this is also true in traditional meetings with your team. For successful communicators, familiarity is the best approach to novelty. In his book Impossible to Ignore , Carmen Simon explains that the past is most useful when it helps us predict the future. For a compelling communications strategy, consider this:use what's known to achieve what's new.
4. Keep it simple.
In any high-stakes conversation, the simplest message is the strongest. In front of investors, the most effective argument is never a history lesson or a “how to” – this approach is deadly. Suppose an investor asks, “How does this work?” What they really mean is, "How does it work, to make money for me?" In your presentation, if you're taking an investor to school, you've missed the point. Take them to the bank instead. If your investor is smarter when your pitch is over, but you're not richer, you've made a big mistake. And if your argument is so complicated that you end up saying:You just don't understand , that's exactly what your investor will tell you when you ask for their money!
Executives can learn a lot from Shark Aquarium because it is an excellent showcase for convincing communication. What can you do to ensure your next presentation is a conversation starter? Consider the questions you would like to be asked, as well as some of the difficult questions you hope to avoid. This might be the best way to swim with sharks.
Related: When it comes to goals, don't let perfection get in the way of the good
