Making a Successful Fintech Fundraising Pitch Deck



Making a successful fintech fundraising pitch deck can seem daunting, but with the right information it can be a breeze. In this article, we will walk you through the basics of a fintech startup, why you need to raise money, the different types of investors, and the due diligence process.

We will also discuss the investment agreement, the term sheet, and the financial projections. Finally, we will give you tips on how to deliver your investor presentation and follow-up with investors.

1.

Introduction
Fintech startups are revolutionizing the financial services industry, and investors are taking notice. According to a report by KPMG, global venture capital investment in fintech startups reached $24.7 billion in 2017, up from $11.8 billion in 2016.

If you are looking to raise money for a fintech startup, you will need to create a pitch deck that showcases your business and convinces investors to invest in your company.

2.

The basics of a fintech startup
So what exactly is a fintech startup? Fintech startups are companies that use technology to offer new or innovative financial products or services.

Some of the most popular fintech products and services include mobile banking, peer-to-peer payments, online lending, and digital currencies.

Fintech startups are often disruptive to the traditional financial services industry, and many of them have been successful in raising money from investors.

So what makes a fintech startup attractive to investors? Here are some of the key factors:

- The market potential: Fintech startups often target large and growing markets, and investors are attracted to the potential for high returns.


- The team: Investors want to invest in teams that have the experience and expertise to execute on their vision.
- The business model: Investors are looking for businesses with a sound business model that can generate profits.


- The traction: Investors want to see evidence that your startup is resonating with customers and generating revenue.

3. Why you need to raise money
There are a number of reasons why you may need to raise money for your fintech startup.

Here are some of the most common reasons:

- To develop new products or services: A good chunk of your fundraising goal should be dedicated to product development and marketing expenses.

This will help you expand your product offerings and reach more customers.
- To scale up operations: As your startup grows, you will likely need more resources to support your expanding operations.

This includes hiring more employees, expanding your sales and marketing efforts, and upgrading your IT infrastructure.
- To fuel growth: Fintech startups typically experience high growth rates, and often require additional capital to support this growth.


- To overcome obstacles: There will likely be times when your startup faces challenges that require additional funding to overcome. Raising money can help you get over these bumps in the road and continue growing your business.

4.

Types of investors
When it comes time to raise money for your startup, you will need to identify potential investors and pitch them your business idea.

There are a variety of different types of investors, each with their own preferences and criteria for investing in startups. Here are some of the most common types of investors:

- Venture capitalists: Venture capitalists are private equity investors who specialize in investing in early stage businesses.

They typically invest large sums of money (ranging from $50,000 to $10 million) and expect a significant return on their investment.


- Angel investors: Angel investors are individuals or groups who invest their own money in early stage businesses in exchange for ownership equity or convertible debt. They are often willing to take on more risk than venture capitalists, and typically invest smaller sums of money (between $10,000 and $250,000).


- Crowdfunding platforms: Crowdfunding platforms allow startups to raise money from individual investors online. This can be a great option for fintech startups as it allows them to reach a large pool of potential investors.


- Banks: Banks are often willing to invest in early stage businesses, especially if they are related to their core business areas.
- Private equity firms: Private equity firms are companies that invest in mature businesses that are not publicly traded. They typically have large sums of money available for investment (ranging from $100 million to $1 billion) and usually take a majority ownership stake in the company they invest in.