What Investors Really Want to Hear
Hosted by Oli Barrett, a recent session gathered a panel of seasoned professionals to delve into the nuances of securing investment. The group included Louise Hill, Founder of GoHenry, who has expertly scaled and exited a high-growth fintech business; Richard Bearman, Chief Development Officer at the British Business Bank, dedicated to improving access to finance for UK enterprises; Louise Doyle, Founder of Needi, a fast-growing gifting platform that has successfully raised venture capital; Ian Merricks, an investor and adviser with specialization in Series A and B funding; and Kieran Burke from Swoop, assisting SMEs in navigating loans, grants, and equity options.
Together, they offered a rare, behind-the-scenes perspective on what truly happens when founders step into the room to pitch their ventures.
The discussion opened with a pivotal question: Is funding essential to grow a business? The audience was divided, highlighting the complexity of the issue. Indeed, while funding can accelerate growth, obtaining it is far from straightforward. It demands clarity, confidence, and a deep understanding of what investors seek.
You Have Five Minutes. Use Them Wisely.
Investors make decisions quickly, often within minutes. This means you have only a brief window to capture their attention.
Louise Doyle described this as a delicate balance: “It’s quite a Goldilocks situation. If you’re not confident enough, why would they invest? But if you’re too confident, it can feel high risk.” Founders must avoid appearing either too cautious or overly bold to maintain credibility.
Ian Merricks highlighted a frequent pitfall: “Lack of preparation… VCs are trained to focus on the numbers, and they will get there really quickly.” This lack of preparation is immediately apparent through vague funding requests, unclear metrics, or inconsistent numbers.
Kieran Burke added that many founders falter right at the start: “If you can’t articulate what you do quickly, you’re going to lose them.” Louise Hill echoed this by warning against “waffle,” which can sap a pitch’s power before it truly begins.
Start with the Problem. Always.
A compelling pitch begins not with what you do, but why it matters. Louise Hill emphasized: “You start with the problem. What are we fixing?” This approach anchors your story and gives investors a reason to care. Without grounding your pitch in a real-world problem, even the most innovative ideas can seem directionless.
Show the Numbers Early
While vision opens doors, numbers keep investors engaged—and they expect to see them early on.
Ian Merricks pointed out how quickly credibility can erode: “We’re looking to raise £4 to £7 million… well, which is it?” Such ambiguity is a clear red flag.
Kieran Burke reinforced this pragmatic view: “They’re not here to like you. They want to make money.” Clarity on revenue, growth, and precise funding asks from the outset is essential.
You Are Not Pitching a Business. You Are Pitching an Opportunity
This distinction is where many founders miss the mark. Instead of focusing solely on how great their business is, founders must understand what investors truly want.
Louise Hill stated, “You’re pitching how brilliant your business is and forgetting what the investor wants out of it.” Ian Merricks elaborated that the first meeting is less about securing an immediate yes and more about discovery—assessing fit and potential returns.
Know Your Funding Route
Not all funding is created equal, and choosing the right path is critical.
Richard Bearman explained succinctly: “Debt is built on past performance… equity is much more about the future growth story.” Savvy founders often blend approaches and explore every available option.
Kieran Burke advised, “Don’t blindside yourself to any one route.” From startup loans and government grants to SEIS schemes, many funding avenues remain untapped by entrepreneurs.
Be Honest About Risk
Contrary to intuition, openly acknowledging risk can strengthen your pitch. Investors expect transparency.
Richard Bearman noted, “Call out the risks early… and explain how you mitigate them.” This demonstrates awareness, builds trust, and eases internal backing among investors.
Pitching Is a Skill. Treat It Like One.
Delivering a strong pitch is about more than just data—it’s about how you communicate.
Richard Bearman emphasized, “You’ve got to snap attention.” The only way to get better? Practice. Louise Hill shared that pitching is ingrained in her daily life: “I pitch pretty much every day of my life.” Every conversation is an opportunity to refine your message.
So, What Really Attracts Investment?
Ultimately, funding follows confidence, but confidence springs from various sources.
- Kieran Burke: “If you can show growth… that momentum will attract.”
- Ian Merricks: “Capital flows more easily to founders who have got choices.”
- Louise Doyle: “The best founders take people on the journey with them.”
- Louise Hill: “Capital still flows to the people who are best connected.”
The Bottom Line
There is no perfect script for pitching, but the best founders consistently excel at a few key areas:
• Clarity in messaging
• Thorough preparation
• Understanding the investor mindset
• Communicating opportunity, not just ideas
Most importantly, as Ian Merricks reminded the audience, “you are the opportunity. You’re the thing they’re looking for.” Nail that, and the rest becomes significantly easier.
