and we are live welcome everybody to
another YouTube hangout super excited to
be here with you I have a new friend
with me his name is Dave Meltzer what to
say about this guy he is an author he is
a speaker he is a humanitarian he
partners up with Hall of Famers he is an
investor and he has a new show on untrue
current work they can find in a whole
bunch of different places around getting
pitched it’s called the elevator pitch
and he is one of the four investors on
the show that basically makes the
decision whether you’re gonna get
funding or not it’s a cool concept and
it’s great to have him on board Dave
welcome aboard man thank you great way
to start my day Evan cool so we’re gonna
have a bunch of people joining in there
already join in guys as you’re watching
you have questions for Dave around
raising capital the art of the pitch let
us know we’ll get to them today but Dave
I love this concept so for those of you
who haven’t heard of this show yet the
elevator pitch you can go to
entrepreneurs website on trend calm I
think we linked it up down the
description below and these
entrepreneurs get on and they’re in this
elevator and they’re looking at a camera
on the ceiling somewhere and they have
60 seconds to pitch their idea and Dave
is in in studio with three other
investors and if they like your idea
that the elevators door is open and then
you get a chance to pitch Dave longer if
they don’t like the idea the doors don’t
open you get sent back down to the
ground floor which I thought is an
awesome concept and so Dave what I want
to talk to you about the art of the
pitch it happens so often that when
you’re meeting an investor they’re busy
they don’t have a lot of time what do
you need to hear in 60 seconds to say
yeah I want to learn more I want to I
want to hear more from you I want that’s
an interesting concept what do you need
to hear in a great pitch yeah so there’s
two things that that two schools of
thought and two ways to go one is simply
stimulate interest right you could leave
the cliffhanger no real details but just
make it so stimulating that we had to
open the doors right like I don’t know
how much money you’re looking for I
don’t know what percentage of the
company I’m gonna get I have no idea the
ROI side of it but it was just so
intriguing like you know I could you
know do this with this and if then the
idea itself is so stimulating in 60
seconds that’s what you want to do you
want to stimulate someone with
really good idea or the other school is
the ROI side make a clear and compelling
business case that look this is what I’m
looking for this is how much you’re
gonna get for it and this is how I make
money or I’ve been making money and you
can you see any reason why you wouldn’t
want to open these doors those are the
two ways to do an elevator pitch you
only have 60 seconds you need to make it
clear concise but in the end you’re
either stimulated by wow this is really
interesting I got to hear more or wow
this is really interesting because I can
think I can make us shoot load of money
I like it now the first question I had
for you in watching the episode so you
guys can go check it out the first
episodes up it’s a great episode it’s
about 16 17 minutes long so it doesn’t
take you a long time to consume is how
do you know how much to ask for and how
to value your company because you have
one person on and you’re like you’re not
asking for enough money you need
millions to get this thing going and you
have another person on who you’re saying
like you’re giving up too much of the
company it should be right so like if
you make the wrong decision there you
could potentially really screen yourself
over those over as an entrepreneur so
how do you decide how much they ask for
and how much your company is worth going
into these kinds of pitches you know
that’s a really difficult thing and
that’s where situation or knowledge
comes in I believe there’s only one way
to figure that out as an entrepreneur
because normally entrepreneurs unless
they have a lot of exits they have no
experience at that so the only way to do
it is to ask for help and what I find is
the biggest mistake with these
entrepreneurs and the reason and purpose
of the show is actually to give help I
like to think that we’re kind of like
Shark Tale is soul we’re not there
fighting against each other we’re a team
trying to figure out if we’re all going
to invest together we actually have a
backup cause with IndieGoGo if we don’t
invest in you you actually are featured
on IndieGoGo and the public can be the
judge but with the specific part about
like how much to ask for you need to go
ask people that have experience for help
because equity sometimes more important
than the actual business itself I like
it now we’re getting some I maybe should
have done this at the beginning but
we’re getting question what is
elevator pitch so for the people who
aren’t familiar with that concept I’m
from the venture capital world too but
quickly in your words what is an
elevator pitch elevator pitch the term
comes from really the old days of
salesmen that you would practice all the
solution selling spin selling all the
great zig ziglar of the world would tell
you that you need to be able to pitch in
60 seconds or in an elevator because you
never know when you meet a prospect and
you need to have your elevator pitch
down to get funked somebody interested
in buying what you’re selling right the
idea is like you get on the top floor
building with an investor they happen to
walk in the elevator with you and you’ve
got to catch their attention with time
you hit the ground floor initially
working yeah roars in 60 seconds so it’s
really cool the elevator goes up 60
floors and that’s all you get and the
doors either open or they don’t come
when I first side I watched earlier
today I think that’s a great concept I
love it
Rocky is right in to ask the guys you
have questions for Dave leave them in
the comments here we’ll bring them up
Rocky’s asking if you only have an idea
how do you pitch that you have the
skills but you don’t have the money what
advice you have for somebody who’s kind
of just getting started with an idea
versus already having some progress well
the first definition is you need to
understand and ideas and innovation and
the idea of an innovation and an
innovator is someone that can take their
idea and make it real that’s different
than an entrepreneur and entrepreneur
takes their own or somebody else’s
innovation and figures out how to
monetize it and so those are two
different steps so if you have an idea
you need to now first make that idea
real or show the clear path of how
you’re going to make the idea real and
then have a team or help or yourself if
you do on the second component how do I
take that now real idea and monetize it
or materialize it because the idea of
taking in money is that it’s a simple
thing if I asked you Evan hey I’m gonna
send you $100 will you send me twenty
invariably 99.9% of the people are gonna
say yes
the other point one’s gonna say what’s
the catch but I I break down every pitch
into that format that am i providing
more value than I’m asking for and is it
100% clear and convincing so I
ask that closing question of mine can
you see any reason you won’t want to
move forward and then when you’re
pitching that investor there has to be
room for them to make money they have to
see you wait for them to be able to exit
you know not necessarily every business
should have an investor with them just
because the scales in their the growth
isn’t there so how do I know if I’m an
entrepreneur getting started is this a
business that I should be going out and
getting investors for or not you need to
go talk to investors right so you need
to start pitching you need to get
feedback it’s an evolutionary not a
revolutionary process and there’s a
learning curve involved and so what you
want to do is pick the right starting
investor to start pitching to and you
can start with your own narrow now I
also believe that all entrepreneurs or
you entrepreneurs when new business
should first form an advisory board they
should have some sort of incentivized
equity plan – for the advisory board and
you pick your advisory board with the
situational knowledge or relationship
capital that you’re looking for so what
I always do is if you have an idea or an
innovation or business go get five
people and give them one specific action
item of why you’re putting them on the
advisory board let them earn some
options or warrants or interest in your
company become an investment of your
advisory board and then exponentially
accelerate your success by leveraging
the help of your advisors so when you
get when when you give that advice and
people say well I don’t know anybody I
don’t know who to ask to join my board
you know nobody my family’s an
entrepreneur you know I don’t have the
connections what what do you then
recommend as a result great question
because I have a very specific strategy
that I utilize what I do is I use Google
or some sort of access and I find the
one person I think that could help me
and I look to see what they’re involved
with I look to see where they went to
school or graduate school most of all I
look to see what charities or community
involvement they have and then I
actually join that group that charity
and I offer my help knowing that I will
organically be of service just something
that’s important of that person and I
actually allow the univer
to attract that person to me to give me
the opportunity that’s in the right
energy the right format and
statistically I’m so successful and
that’s how I became what you call the
philanthropist I’m actually a
philanthropist I pimp out more
celebrities athletes and rich people to
get money for charity but thank you
that’s how I got involved with charities
is I started realizing well if I put my
first step forward and donate my time
money and energy to something that’s
important to this person invariably
they’re gonna want to help me too and
that’s how I would get my first advisor
on my board then ask them who else would
you like or think I should have on the
Board of Advisors and all you need is
one person to start and you’ll have 25
board of advisers and so part of that
lesson too is you know you don’t need to
have a lot of money to go and help a
charity just giving your time as an
entrepreneur at ease if you’re a
programmer you can help with their
website if you’re a designer you can
create stuff for them lend your
expertise and if you have money that’s
great but if you don’t just your time
can be really helpful yeah it changed my
life as you know you know my life is a
true entrepreneur you know every average
millionaire in America has gone bankrupt
twice I lost everything
you know in 2008 you know the genius
that I was living my life the wrong way
wrong principles but the first thing
that I did is you know concussions were
real important to me and I’m in the
sports world you know representing with
Leigh Steinberg you know Warren Moon
Steve Young Troy Aikman guys that
concussions really affected so what I
did is I wanted to meet guys like Steve
Wynn you know I wanted to to help out so
I saw that they had keep a memory alive
foundation I went to Vegas volunteered
my time for Larry Ruvo from Southern
Wine & Spirits and within a week I was
back on my feet from all the
opportunities just from volunteering you
know and bringing celebrities do what I
could do whatever I could do for them
they all wanted to help me I love it
we’re getting tons of great feedback in
the comments people saying thank you so
much this is so useful right now so it’s
great when it gets a couple more
questions the most common question is
coming up over and over again is around
what is the best pitch you’ve heard and
why was it so good what lessons can we
learn hands down like I can’t spoil it
on the show
but there is a young woman that at 20
years old adopted a 12 and a 13 year old
because nobody else would help these two
kids Wow so what she did is realize that
people buy on emotion for logical
reasons so she took her personal energy
and experience and tightened into a
business and she all of us were in love
with her she sold herself and all of the
judges simply were in the format of oh
my gosh I don’t care what idea or what
business this woman has she she already
quickly explained that she had since she
did that you know two different exits of
other businesses this is her third
venture I mean she was so clear and her
energy was so high you were so attracted
to her it just felt confident that she
could take a paperclip and make millions
of dollars somehow and we were all just
like okay whatever you want you know
here’s our money it was awesome I loved
it
and now the first episode is up when did
it go up was this week right it’s new at
10 a.m. Pacific 1 p.m. Eastern Time guys
so went up yesterday I wash it this
morning how many episodes are there and
how often is it coming out so there’s 12
episodes all all pop you know done and
comes out every Wednesday same time 1
p.m. is through time on the hunt preneur
Network and the variety of all the other
different Amazon to YouTube etc very
accessible getting great reviews as you
know Evan is pretty pretty unique took
this same idea that people have been
doing and turned it into a really unique
format so we love you know everyone’s
feedback and participation the cool
thing is you be the judge on our show if
you don’t agree with me and the rest of
my judges we have some cool celebrity
judges
you know we fit them in but the cool
thing is go on IndieGoGo and prove us
wrong if I if I’m there saying there’s
no market for this and all of a sudden
the cool thing is our judges we get to
go circle back we can reinvest if we’re
wrong I love that you have IndieGoGo
campaign to everybody so to the artists
and go vote as well I’m cool and again
guys we have the link in description go
check it out if you want to watch the
first episode next question coming from
Brandon for you personally how much of
the success
the pitch is based on polish verses
concept he has the concept and is
practicing but he has nerves he gets
nervous when he’s presenting so how much
is it the concert versus the Polish
presentation so there is a balance there
and I would say that it’s almost 60 60
for the content 40 for the Polish we had
you know 1 that the content was so good
but he was reading from cards and so
nervous and we almost didn’t open the
doors because he was reading from cards
and he was so nervous I would say you’re
better off reading from cards and being
nervous if you have good content because
there were some really great
entrepreneurs because now that they’re
on IndieGoGo we missed some big deals
because they were so nervous they
couldn’t get their point across I think
you saw that on the first episode people
like oh you know like I didn’t even know
what the business was about so I think
you’re better off if you can’t get it
out at least let us know what the
business about you’ll give yourself at
least a 60% chance of getting on got it
and and and also like you guys are
pretty it’s not Shark Tank we got Kevin
O’Leary like telling you that you suck
and you’re gonna get swatted at the sky
like it’s it’s still a pretty you’re
giving good feedback it’s not all it’s
not all softball but it’s like you said
it’s like Shark Tank was so like you
actually care what these guys who wanna
seem to be successful yeah you know
we’ll tell you if your pitch sucked but
we’re gonna then tell you how to make
your pitch better we’re going to explain
to you some resources where to go funds
and IndieGoGo or just techniques that we
feel and we have some really seasoned
veterans are not only investors but
great business people from you know
Sprint and Denny’s and tap out in Asian
box you know people that have done it on
their own so I really like the
mentorship portion of the show I think
it’s also a more realistic scenario of
what to expect in the world of angel
investing like me being an angel myself
and connect with other angels most most
angels are not going to be the kevin
O’Leary yell at your face and tell you
how much you suck it makes for great TV
but I think what you’re doing is more
kind of realistic of what to expect when
you’re dealing with an angel investor
yeah I think that’s you know
entrepreneurial to give them credit that
that was why they asked me to be a key
judge because I kind of have
that spiritual like you I’m an
empowerment person alright I’m I’m here
not only to invest in you but I want you
to accelerate and to help people because
we can help our communities by creating
great entrepreneurs and entrepreneur
magazine provide so many resources
here’s just really to them another
resource to help empower entrepreneurs
kind of Anthony is writing in who are
some investors that you have learned
from and have helped you a great
question so you know Steve Wynn was one
for me that had been a great great
mentor just understanding the
relationship and the energy to money and
the transparency of how to get to the
point I used to be an over seller a
back-end seller even you could say well
I hate to say this but a bush you know
and and I thought that I was fooling
everybody and Steve Wynn taught me I’d
rather people hate you for who you are
and love you for who you’re not because
if it’s not there yet they’re gonna let
you know and then the back end the truth
always comes out so especially as Dan
entrepreneur just tell the truth
as painful as it may be because they may
have a solution and they’re going to
most of all trust you and help you
beyond in the back end having it back
end sell someone because you oversold
them yeah a lot of questions coming in
just around other questions that are
typically asked like what is one of the
most common questions that you will ask
entrepreneurs or expect them to answer
maybe not in the pitch but then
afterwards as well what do you want to
hear and know of all the hardest thing
for people to articulate is how much
money you want and why and I’m totally
surprised because you brought this up
earlier how do they know what to ask for
ninety percent we had ninety ninety
different pitches over the twelve
episodes nine percent of those didn’t
really know what they wanted and what
they were willing to give up Wow
I make an economic decision if you don’t
know what you’re off now
I’ll gauge it and you see on the show
some people were like you know what
we’re not gonna take that it would hurt
you would never be able to raise money
if you did that that would
it’s called down round you know we don’t
want to take your initial investors and
put them in a worse position so we
educate but I was amazed I just want to
know look here’s what we’re looking for
here’s what you get and here’s what we
do and this is what we expect the
outcome to be those four components if
you can articulate that to me I can
evaluate maybe you don’t have it quite
right
but because of the relationship capital
I have or my partners or the situation
or knowledge I have or my partners you
know what I can adjust or evolve your
business and we can make a fortune or
create abundance together so those four
components are what I think you need to
really hit home it seems crazy that 90%
of the people would come on the show and
not know exactly how much they want to
give up and how much they’re worth I
mean you just see me do some research
you know you know a little bit more than
the average entrepreneur because you’re
going to go pitch but they still don’t
so it just speaks to the kind of
financial IQ I guess of most
entrepreneurs out there what do you I
mean so watching the show is a great
education resource for people what do
you recommend for people to kind of up
their investment our financial IQ so
that you know you guys you guys are
being the nice ones and telling them hey
listen like your ass you giving away too
much they may not get that deal when
they go and talk to another angel so
what advice would you get give for
people to increase their IQ in that area
two things one’s a shameless plug lay
out that you gave me of course you
should go to entrepreneur magazine in
that photo calm they got a ton of great
stuff on there to read about and you
know mocking some of my associates and
mentors like Gary Vee and Tom Ferriss
you know those guys give great advice
David Corbin is on there this week you
know just great guys that give great
advice but I have a secret that really
helped me and I go to trade shows and I
because there’s hundreds of companies
there right and I go there and I ask
questions I go and I want to understand
their business model and I start
understanding and if I ask equity
questions to because a lot of those
companies are looking for money I start
getting a really good feel on how that
compares to what I’m doing so the more
experience I have of looking at
companies kind of it’s a vacuum of what
you do right as an angel you’re a deal
flow guy you’re like me I see deals
every day
but you can manufacture that by going to
a trade show and plus you’re building a
relationship capital channel partners
associates all types of even investors
you can find so going to trade shows is
my second piece of advice but of course
use entrepreneur and entrepreneur com uh
that’s what she’s interesting just talk
about timing how do you know when it’s
the right time to go and pitch it’s not
too soon it’s not too late kind of
determine like now is the time to go
yeah so there’s there’s a bigger
question behind that right how do I know
when to raise money right he’s more than
just where to pitch that’s the bigger
question for most entrepreneurs is gosh
should I give up so here’s my litmus
test of making money if at all possible
don’t raise any money if you’re not
making money right like if you’re not
eight now some ideas are so big you you
have to have the R&D etc but most
businesses get to a point where you have
a clear path to revenue and then see if
you can just materialize a true
valuation because if you give up too
much too early it won’t you I and I have
so many different boards that I’ve sat
on and I coach wheat I had a helmet
company called Zenith and the CEO is a
Harvard guy great genius innovator for
concussion helmets forty million dollar
raise Evan
he ended up now stood from the company
with no equity after he finally got it
got going so really try to determine try
to make his money as much cuz you don’t
spend 80% of your time raising money if
you could spend eight of your time
making money and then when it comes time
to scale ask for the money and we sure
you see this too Dave you know most of
the business concepts that come across
the plates of angels there’s it’s just a
concept there’s no revenue so even if
you have one sale it’s way better than
zero sales like that zero to one not a
million just one sale showing that
somebody watch you spend dollars on what
you have put you already in a new league
and yes you need money to expand and
grow but just showing that somebody’s
willing to pay you for what you have
already makes it I mean what do you
think about that are you
things I’m looking for and I’m
with pilots pain pilots you don’t have
to make a lot but if you could get the
bigger customer to do a paid pilot I’m
all over that or just have like you said
one customer that you can scale and say
wow this is how it’s working and there’s
a thousand or a million or ten million
or a billion other people just like this
customer that’s why we’re gonna make
money but yeah I there’s a million great
ideas out there it’s the guy who knows
how to monetize it and I’m looking for
that monetization or materialisation
piece next question this guy is really
excited hey David all caps with three
exclamation marks hey David what is
something you wish you knew when you
were 21 oh that’s an easy question for
me
two words radical humility I wish
somebody would have taught me the
ability that I did no it’s the biggest
problem I have with my interns and young
associates of my business you don’t know
what you don’t know so feel good about
asking for help
asking for help is giving a gift to
people like me you know when you ask for
help you become an investment of that
person and then don’t forget like you
said earlier just because you don’t have
a lot of money or experience doesn’t
mean you can’t help that person so
whenever if someone would have told me
David be radically humble ask for help
and then provide help to others and know
that’s my signature teaching tool here
is hey ask for help and then always
follow up with what can I do for you I
love that I wish I learned that lesson
when I was younger I was struggling a
lot in my very first business when I was
19 and I was too afraid to ask for help
I would tell my friends
yeah I’m crushing it I’m entrepreneur
lifestyle you know I’m just working
really hard meanwhile like I’m barely
making any money and can’t afford the
growth of beer and pizza with them and
so it would just make things a lot
easier if you’re you’re upfront honest
David is asking the importance of a
business plan how much do you look at it
how much do you care about and how much
to invest time into making one so
executive summary to me especially early
on is much more important than a
business plan a business plan is what
you perceive to be your future
and it’s it’s an appendix I think too
that you have the elevator fit pitch
first and then an executive summary and
so those are the two things that are
most critical to me because if you don’t
stimulate interest you’ll never be able
to transition interest or share vision
which is what the business plan is for
and so make sure you have the best
executive summary and elevator pitch
that you can have right an executive
summary is the one the three pages at
the beginning of the business plan we
used to see it as a pasta grandmother
test and that like your grandmother can
understand it because a lot of times
people talk in so much technical jargon
that to them it makes sense but to an
outsider it doesn’t make any any sense
so there are any key things you look for
and in that executive summary yeah so
number one I look for the team side of
it because I invest in people not
products I think that in 18 then kill it
with the B product every day of the week
I’m looking for a clear path to revenue
so like you said you know one customer
or a pilot something like that I am
looking to see what you want you know
how much money what am I gonna get
what’s the ROI that you perceive and
then what I like a little bit different
and it comes in that team side is I
still think that people miss the most
important path part and it’s that lesson
that people buy on emotion for logical
reasons and so if somehow you can give a
little B role a little background of
emotionally not only why you created the
company but why people will be compelled
to participate in your company
emotionally either as a customer as
investor you’re gonna win me over and so
don’t forget the emotional side because
a lot of entrepreneurs almost everyone
have a really great story of why they’re
creating the business why there’s a need
out there and it stems from all kinds of
great things that people will not be
able to resist that emotional thing you
buy on emotion for logical reasons I
love it
next up Beverly I think you can relate
to this one really well they’ve cannot
relate this information to a non-profit
and I know you do a ton of nonprofit
stuff philanthropy a pimp now remember
that line flanca pimp so how does the
art of the pitch relate to a non-profit
100% except for I believe that you have
an easier easier job to raise money to
help others than it is to help your
company and so that’s why I actually try
to always combine everything our motto
Warren Moon the Hall of Fame
quarterbacks my business partner I had a
really long mission statement and he
went through it it was like a leveraged
relationship Capital situational not
only by blah blah
the MBA like yeah it man Warren said oh
so Dave you want to make money help
people and have fun I said yeah he goes
okay that’ll be our mission statement
but right and the tie-in was we will not
do any business without some sort of
charitable effort cause of purpose I’d
do it something about social change and
I wrote a book called compassionate
capitalism based off of this component
so use the exact same methodology that
you would for raising money for for a
company that you would for raising money
for a cause I just think it’s a lot
easier because of that emotional
attachment is I spoke of earlier got it
and you mention Warren Moon your
business partner he’s on the show at
least is on the first episode there’s
some funny moments on there so you guys
if you’re a Warren Moon frenchie check
it out talking about books so you have
your book compassionate capitalism a
bunch of people in asking what advice or
what books are do you recommend people
to read either to learn about getting
investment or just as an entrepreneur
anything you’ve read that you recommend
passing on yeah you know some really
great books number one book that’s in my
library is thinking Grow Rich Napoleon
Hill every time I read that I felt like
I made more and more money any time I
feel like I’m in a slump or my energy
shifting I read Think and Grow Rich
there’s also a book called surrender
experiment that I really like it’s about
getting out of your own way
surrendering I think outliers is a great
book because I believe in repetition if
you focus in on something every day and
repeat it it affects your physical
conscious your subconscious mind which
creates neural pathways but it also
shifts your energy so those are three of
my favorite books and then of course
reconnecting to goodness which is my
first book that has some systematic ways
to manifest everything you want very
cool I hadn’t heard of surrender
experiments on
add that to to my reading list to Davis
creasing how quickly half an hour flies
by we’ve got tons of people still asking
questions wanting to learn more
final message final thoughts you know
one last thing you want to share with my
audience as a takeaway message like this
is what I learned from Dave today to
spark my week you know for me there’s
two things one be more interested than
interesting as an entrepreneur be more
interested than interesting and then
secondly be kind to your future self and
what that means is leave every person
place or thing that you meet better know
that somehow it’s all going to come back
to you if you are kind to your future
self if you’re kind helpful and observe
as’ and so those two things are two
simple ways to be more interested than
interesting and be kind to your future
self those takeaways will change not
only your business but you’re like very
cool I love it well guys go check out
the show it was a fun first episode you
can check it out weekly every Wednesday
morning the link is in the description
here below and day for people to learn
about you dave meltzer calm or where we
where we send in people we got emails
are not down but we have youtube.com
backslash David Meltzer 11 and at David
Meltzer great places you can always go
to sports one marketing.com my company
there’s several ways to find me or just
google me we’re gonna get you know we’re
here if service I answer all my own
emails Instagram snapchat
I’m technologically advanced even though
I’m old I love it Dave thank you for the
time thank you guys so much for watching
check out the show continue to believe
and we’ll see you soon
right on
another YouTube hangout super excited to
be here with you I have a new friend
with me his name is Dave Meltzer what to
say about this guy he is an author he is
a speaker he is a humanitarian he
partners up with Hall of Famers he is an
investor and he has a new show on untrue
current work they can find in a whole
bunch of different places around getting
pitched it’s called the elevator pitch
and he is one of the four investors on
the show that basically makes the
decision whether you’re gonna get
funding or not it’s a cool concept and
it’s great to have him on board Dave
welcome aboard man thank you great way
to start my day Evan cool so we’re gonna
have a bunch of people joining in there
already join in guys as you’re watching
you have questions for Dave around
raising capital the art of the pitch let
us know we’ll get to them today but Dave
I love this concept so for those of you
who haven’t heard of this show yet the
elevator pitch you can go to
entrepreneurs website on trend calm I
think we linked it up down the
description below and these
entrepreneurs get on and they’re in this
elevator and they’re looking at a camera
on the ceiling somewhere and they have
60 seconds to pitch their idea and Dave
is in in studio with three other
investors and if they like your idea
that the elevators door is open and then
you get a chance to pitch Dave longer if
they don’t like the idea the doors don’t
open you get sent back down to the
ground floor which I thought is an
awesome concept and so Dave what I want
to talk to you about the art of the
pitch it happens so often that when
you’re meeting an investor they’re busy
they don’t have a lot of time what do
you need to hear in 60 seconds to say
yeah I want to learn more I want to I
want to hear more from you I want that’s
an interesting concept what do you need
to hear in a great pitch yeah so there’s
two things that that two schools of
thought and two ways to go one is simply
stimulate interest right you could leave
the cliffhanger no real details but just
make it so stimulating that we had to
open the doors right like I don’t know
how much money you’re looking for I
don’t know what percentage of the
company I’m gonna get I have no idea the
ROI side of it but it was just so
intriguing like you know I could you
know do this with this and if then the
idea itself is so stimulating in 60
seconds that’s what you want to do you
want to stimulate someone with
really good idea or the other school is
the ROI side make a clear and compelling
business case that look this is what I’m
looking for this is how much you’re
gonna get for it and this is how I make
money or I’ve been making money and you
can you see any reason why you wouldn’t
want to open these doors those are the
two ways to do an elevator pitch you
only have 60 seconds you need to make it
clear concise but in the end you’re
either stimulated by wow this is really
interesting I got to hear more or wow
this is really interesting because I can
think I can make us shoot load of money
I like it now the first question I had
for you in watching the episode so you
guys can go check it out the first
episodes up it’s a great episode it’s
about 16 17 minutes long so it doesn’t
take you a long time to consume is how
do you know how much to ask for and how
to value your company because you have
one person on and you’re like you’re not
asking for enough money you need
millions to get this thing going and you
have another person on who you’re saying
like you’re giving up too much of the
company it should be right so like if
you make the wrong decision there you
could potentially really screen yourself
over those over as an entrepreneur so
how do you decide how much they ask for
and how much your company is worth going
into these kinds of pitches you know
that’s a really difficult thing and
that’s where situation or knowledge
comes in I believe there’s only one way
to figure that out as an entrepreneur
because normally entrepreneurs unless
they have a lot of exits they have no
experience at that so the only way to do
it is to ask for help and what I find is
the biggest mistake with these
entrepreneurs and the reason and purpose
of the show is actually to give help I
like to think that we’re kind of like
Shark Tale is soul we’re not there
fighting against each other we’re a team
trying to figure out if we’re all going
to invest together we actually have a
backup cause with IndieGoGo if we don’t
invest in you you actually are featured
on IndieGoGo and the public can be the
judge but with the specific part about
like how much to ask for you need to go
ask people that have experience for help
because equity sometimes more important
than the actual business itself I like
it now we’re getting some I maybe should
have done this at the beginning but
we’re getting question what is
elevator pitch so for the people who
aren’t familiar with that concept I’m
from the venture capital world too but
quickly in your words what is an
elevator pitch elevator pitch the term
comes from really the old days of
salesmen that you would practice all the
solution selling spin selling all the
great zig ziglar of the world would tell
you that you need to be able to pitch in
60 seconds or in an elevator because you
never know when you meet a prospect and
you need to have your elevator pitch
down to get funked somebody interested
in buying what you’re selling right the
idea is like you get on the top floor
building with an investor they happen to
walk in the elevator with you and you’ve
got to catch their attention with time
you hit the ground floor initially
working yeah roars in 60 seconds so it’s
really cool the elevator goes up 60
floors and that’s all you get and the
doors either open or they don’t come
when I first side I watched earlier
today I think that’s a great concept I
love it
Rocky is right in to ask the guys you
have questions for Dave leave them in
the comments here we’ll bring them up
Rocky’s asking if you only have an idea
how do you pitch that you have the
skills but you don’t have the money what
advice you have for somebody who’s kind
of just getting started with an idea
versus already having some progress well
the first definition is you need to
understand and ideas and innovation and
the idea of an innovation and an
innovator is someone that can take their
idea and make it real that’s different
than an entrepreneur and entrepreneur
takes their own or somebody else’s
innovation and figures out how to
monetize it and so those are two
different steps so if you have an idea
you need to now first make that idea
real or show the clear path of how
you’re going to make the idea real and
then have a team or help or yourself if
you do on the second component how do I
take that now real idea and monetize it
or materialize it because the idea of
taking in money is that it’s a simple
thing if I asked you Evan hey I’m gonna
send you $100 will you send me twenty
invariably 99.9% of the people are gonna
say yes
the other point one’s gonna say what’s
the catch but I I break down every pitch
into that format that am i providing
more value than I’m asking for and is it
100% clear and convincing so I
ask that closing question of mine can
you see any reason you won’t want to
move forward and then when you’re
pitching that investor there has to be
room for them to make money they have to
see you wait for them to be able to exit
you know not necessarily every business
should have an investor with them just
because the scales in their the growth
isn’t there so how do I know if I’m an
entrepreneur getting started is this a
business that I should be going out and
getting investors for or not you need to
go talk to investors right so you need
to start pitching you need to get
feedback it’s an evolutionary not a
revolutionary process and there’s a
learning curve involved and so what you
want to do is pick the right starting
investor to start pitching to and you
can start with your own narrow now I
also believe that all entrepreneurs or
you entrepreneurs when new business
should first form an advisory board they
should have some sort of incentivized
equity plan – for the advisory board and
you pick your advisory board with the
situational knowledge or relationship
capital that you’re looking for so what
I always do is if you have an idea or an
innovation or business go get five
people and give them one specific action
item of why you’re putting them on the
advisory board let them earn some
options or warrants or interest in your
company become an investment of your
advisory board and then exponentially
accelerate your success by leveraging
the help of your advisors so when you
get when when you give that advice and
people say well I don’t know anybody I
don’t know who to ask to join my board
you know nobody my family’s an
entrepreneur you know I don’t have the
connections what what do you then
recommend as a result great question
because I have a very specific strategy
that I utilize what I do is I use Google
or some sort of access and I find the
one person I think that could help me
and I look to see what they’re involved
with I look to see where they went to
school or graduate school most of all I
look to see what charities or community
involvement they have and then I
actually join that group that charity
and I offer my help knowing that I will
organically be of service just something
that’s important of that person and I
actually allow the univer
to attract that person to me to give me
the opportunity that’s in the right
energy the right format and
statistically I’m so successful and
that’s how I became what you call the
philanthropist I’m actually a
philanthropist I pimp out more
celebrities athletes and rich people to
get money for charity but thank you
that’s how I got involved with charities
is I started realizing well if I put my
first step forward and donate my time
money and energy to something that’s
important to this person invariably
they’re gonna want to help me too and
that’s how I would get my first advisor
on my board then ask them who else would
you like or think I should have on the
Board of Advisors and all you need is
one person to start and you’ll have 25
board of advisers and so part of that
lesson too is you know you don’t need to
have a lot of money to go and help a
charity just giving your time as an
entrepreneur at ease if you’re a
programmer you can help with their
website if you’re a designer you can
create stuff for them lend your
expertise and if you have money that’s
great but if you don’t just your time
can be really helpful yeah it changed my
life as you know you know my life is a
true entrepreneur you know every average
millionaire in America has gone bankrupt
twice I lost everything
you know in 2008 you know the genius
that I was living my life the wrong way
wrong principles but the first thing
that I did is you know concussions were
real important to me and I’m in the
sports world you know representing with
Leigh Steinberg you know Warren Moon
Steve Young Troy Aikman guys that
concussions really affected so what I
did is I wanted to meet guys like Steve
Wynn you know I wanted to to help out so
I saw that they had keep a memory alive
foundation I went to Vegas volunteered
my time for Larry Ruvo from Southern
Wine & Spirits and within a week I was
back on my feet from all the
opportunities just from volunteering you
know and bringing celebrities do what I
could do whatever I could do for them
they all wanted to help me I love it
we’re getting tons of great feedback in
the comments people saying thank you so
much this is so useful right now so it’s
great when it gets a couple more
questions the most common question is
coming up over and over again is around
what is the best pitch you’ve heard and
why was it so good what lessons can we
learn hands down like I can’t spoil it
on the show
but there is a young woman that at 20
years old adopted a 12 and a 13 year old
because nobody else would help these two
kids Wow so what she did is realize that
people buy on emotion for logical
reasons so she took her personal energy
and experience and tightened into a
business and she all of us were in love
with her she sold herself and all of the
judges simply were in the format of oh
my gosh I don’t care what idea or what
business this woman has she she already
quickly explained that she had since she
did that you know two different exits of
other businesses this is her third
venture I mean she was so clear and her
energy was so high you were so attracted
to her it just felt confident that she
could take a paperclip and make millions
of dollars somehow and we were all just
like okay whatever you want you know
here’s our money it was awesome I loved
it
and now the first episode is up when did
it go up was this week right it’s new at
10 a.m. Pacific 1 p.m. Eastern Time guys
so went up yesterday I wash it this
morning how many episodes are there and
how often is it coming out so there’s 12
episodes all all pop you know done and
comes out every Wednesday same time 1
p.m. is through time on the hunt preneur
Network and the variety of all the other
different Amazon to YouTube etc very
accessible getting great reviews as you
know Evan is pretty pretty unique took
this same idea that people have been
doing and turned it into a really unique
format so we love you know everyone’s
feedback and participation the cool
thing is you be the judge on our show if
you don’t agree with me and the rest of
my judges we have some cool celebrity
judges
you know we fit them in but the cool
thing is go on IndieGoGo and prove us
wrong if I if I’m there saying there’s
no market for this and all of a sudden
the cool thing is our judges we get to
go circle back we can reinvest if we’re
wrong I love that you have IndieGoGo
campaign to everybody so to the artists
and go vote as well I’m cool and again
guys we have the link in description go
check it out if you want to watch the
first episode next question coming from
Brandon for you personally how much of
the success
the pitch is based on polish verses
concept he has the concept and is
practicing but he has nerves he gets
nervous when he’s presenting so how much
is it the concert versus the Polish
presentation so there is a balance there
and I would say that it’s almost 60 60
for the content 40 for the Polish we had
you know 1 that the content was so good
but he was reading from cards and so
nervous and we almost didn’t open the
doors because he was reading from cards
and he was so nervous I would say you’re
better off reading from cards and being
nervous if you have good content because
there were some really great
entrepreneurs because now that they’re
on IndieGoGo we missed some big deals
because they were so nervous they
couldn’t get their point across I think
you saw that on the first episode people
like oh you know like I didn’t even know
what the business was about so I think
you’re better off if you can’t get it
out at least let us know what the
business about you’ll give yourself at
least a 60% chance of getting on got it
and and and also like you guys are
pretty it’s not Shark Tank we got Kevin
O’Leary like telling you that you suck
and you’re gonna get swatted at the sky
like it’s it’s still a pretty you’re
giving good feedback it’s not all it’s
not all softball but it’s like you said
it’s like Shark Tank was so like you
actually care what these guys who wanna
seem to be successful yeah you know
we’ll tell you if your pitch sucked but
we’re gonna then tell you how to make
your pitch better we’re going to explain
to you some resources where to go funds
and IndieGoGo or just techniques that we
feel and we have some really seasoned
veterans are not only investors but
great business people from you know
Sprint and Denny’s and tap out in Asian
box you know people that have done it on
their own so I really like the
mentorship portion of the show I think
it’s also a more realistic scenario of
what to expect in the world of angel
investing like me being an angel myself
and connect with other angels most most
angels are not going to be the kevin
O’Leary yell at your face and tell you
how much you suck it makes for great TV
but I think what you’re doing is more
kind of realistic of what to expect when
you’re dealing with an angel investor
yeah I think that’s you know
entrepreneurial to give them credit that
that was why they asked me to be a key
judge because I kind of have
that spiritual like you I’m an
empowerment person alright I’m I’m here
not only to invest in you but I want you
to accelerate and to help people because
we can help our communities by creating
great entrepreneurs and entrepreneur
magazine provide so many resources
here’s just really to them another
resource to help empower entrepreneurs
kind of Anthony is writing in who are
some investors that you have learned
from and have helped you a great
question so you know Steve Wynn was one
for me that had been a great great
mentor just understanding the
relationship and the energy to money and
the transparency of how to get to the
point I used to be an over seller a
back-end seller even you could say well
I hate to say this but a bush you know
and and I thought that I was fooling
everybody and Steve Wynn taught me I’d
rather people hate you for who you are
and love you for who you’re not because
if it’s not there yet they’re gonna let
you know and then the back end the truth
always comes out so especially as Dan
entrepreneur just tell the truth
as painful as it may be because they may
have a solution and they’re going to
most of all trust you and help you
beyond in the back end having it back
end sell someone because you oversold
them yeah a lot of questions coming in
just around other questions that are
typically asked like what is one of the
most common questions that you will ask
entrepreneurs or expect them to answer
maybe not in the pitch but then
afterwards as well what do you want to
hear and know of all the hardest thing
for people to articulate is how much
money you want and why and I’m totally
surprised because you brought this up
earlier how do they know what to ask for
ninety percent we had ninety ninety
different pitches over the twelve
episodes nine percent of those didn’t
really know what they wanted and what
they were willing to give up Wow
I make an economic decision if you don’t
know what you’re off now
I’ll gauge it and you see on the show
some people were like you know what
we’re not gonna take that it would hurt
you would never be able to raise money
if you did that that would
it’s called down round you know we don’t
want to take your initial investors and
put them in a worse position so we
educate but I was amazed I just want to
know look here’s what we’re looking for
here’s what you get and here’s what we
do and this is what we expect the
outcome to be those four components if
you can articulate that to me I can
evaluate maybe you don’t have it quite
right
but because of the relationship capital
I have or my partners or the situation
or knowledge I have or my partners you
know what I can adjust or evolve your
business and we can make a fortune or
create abundance together so those four
components are what I think you need to
really hit home it seems crazy that 90%
of the people would come on the show and
not know exactly how much they want to
give up and how much they’re worth I
mean you just see me do some research
you know you know a little bit more than
the average entrepreneur because you’re
going to go pitch but they still don’t
so it just speaks to the kind of
financial IQ I guess of most
entrepreneurs out there what do you I
mean so watching the show is a great
education resource for people what do
you recommend for people to kind of up
their investment our financial IQ so
that you know you guys you guys are
being the nice ones and telling them hey
listen like your ass you giving away too
much they may not get that deal when
they go and talk to another angel so
what advice would you get give for
people to increase their IQ in that area
two things one’s a shameless plug lay
out that you gave me of course you
should go to entrepreneur magazine in
that photo calm they got a ton of great
stuff on there to read about and you
know mocking some of my associates and
mentors like Gary Vee and Tom Ferriss
you know those guys give great advice
David Corbin is on there this week you
know just great guys that give great
advice but I have a secret that really
helped me and I go to trade shows and I
because there’s hundreds of companies
there right and I go there and I ask
questions I go and I want to understand
their business model and I start
understanding and if I ask equity
questions to because a lot of those
companies are looking for money I start
getting a really good feel on how that
compares to what I’m doing so the more
experience I have of looking at
companies kind of it’s a vacuum of what
you do right as an angel you’re a deal
flow guy you’re like me I see deals
every day
but you can manufacture that by going to
a trade show and plus you’re building a
relationship capital channel partners
associates all types of even investors
you can find so going to trade shows is
my second piece of advice but of course
use entrepreneur and entrepreneur com uh
that’s what she’s interesting just talk
about timing how do you know when it’s
the right time to go and pitch it’s not
too soon it’s not too late kind of
determine like now is the time to go
yeah so there’s there’s a bigger
question behind that right how do I know
when to raise money right he’s more than
just where to pitch that’s the bigger
question for most entrepreneurs is gosh
should I give up so here’s my litmus
test of making money if at all possible
don’t raise any money if you’re not
making money right like if you’re not
eight now some ideas are so big you you
have to have the R&D etc but most
businesses get to a point where you have
a clear path to revenue and then see if
you can just materialize a true
valuation because if you give up too
much too early it won’t you I and I have
so many different boards that I’ve sat
on and I coach wheat I had a helmet
company called Zenith and the CEO is a
Harvard guy great genius innovator for
concussion helmets forty million dollar
raise Evan
he ended up now stood from the company
with no equity after he finally got it
got going so really try to determine try
to make his money as much cuz you don’t
spend 80% of your time raising money if
you could spend eight of your time
making money and then when it comes time
to scale ask for the money and we sure
you see this too Dave you know most of
the business concepts that come across
the plates of angels there’s it’s just a
concept there’s no revenue so even if
you have one sale it’s way better than
zero sales like that zero to one not a
million just one sale showing that
somebody watch you spend dollars on what
you have put you already in a new league
and yes you need money to expand and
grow but just showing that somebody’s
willing to pay you for what you have
already makes it I mean what do you
think about that are you
things I’m looking for and I’m
with pilots pain pilots you don’t have
to make a lot but if you could get the
bigger customer to do a paid pilot I’m
all over that or just have like you said
one customer that you can scale and say
wow this is how it’s working and there’s
a thousand or a million or ten million
or a billion other people just like this
customer that’s why we’re gonna make
money but yeah I there’s a million great
ideas out there it’s the guy who knows
how to monetize it and I’m looking for
that monetization or materialisation
piece next question this guy is really
excited hey David all caps with three
exclamation marks hey David what is
something you wish you knew when you
were 21 oh that’s an easy question for
me
two words radical humility I wish
somebody would have taught me the
ability that I did no it’s the biggest
problem I have with my interns and young
associates of my business you don’t know
what you don’t know so feel good about
asking for help
asking for help is giving a gift to
people like me you know when you ask for
help you become an investment of that
person and then don’t forget like you
said earlier just because you don’t have
a lot of money or experience doesn’t
mean you can’t help that person so
whenever if someone would have told me
David be radically humble ask for help
and then provide help to others and know
that’s my signature teaching tool here
is hey ask for help and then always
follow up with what can I do for you I
love that I wish I learned that lesson
when I was younger I was struggling a
lot in my very first business when I was
19 and I was too afraid to ask for help
I would tell my friends
yeah I’m crushing it I’m entrepreneur
lifestyle you know I’m just working
really hard meanwhile like I’m barely
making any money and can’t afford the
growth of beer and pizza with them and
so it would just make things a lot
easier if you’re you’re upfront honest
David is asking the importance of a
business plan how much do you look at it
how much do you care about and how much
to invest time into making one so
executive summary to me especially early
on is much more important than a
business plan a business plan is what
you perceive to be your future
and it’s it’s an appendix I think too
that you have the elevator fit pitch
first and then an executive summary and
so those are the two things that are
most critical to me because if you don’t
stimulate interest you’ll never be able
to transition interest or share vision
which is what the business plan is for
and so make sure you have the best
executive summary and elevator pitch
that you can have right an executive
summary is the one the three pages at
the beginning of the business plan we
used to see it as a pasta grandmother
test and that like your grandmother can
understand it because a lot of times
people talk in so much technical jargon
that to them it makes sense but to an
outsider it doesn’t make any any sense
so there are any key things you look for
and in that executive summary yeah so
number one I look for the team side of
it because I invest in people not
products I think that in 18 then kill it
with the B product every day of the week
I’m looking for a clear path to revenue
so like you said you know one customer
or a pilot something like that I am
looking to see what you want you know
how much money what am I gonna get
what’s the ROI that you perceive and
then what I like a little bit different
and it comes in that team side is I
still think that people miss the most
important path part and it’s that lesson
that people buy on emotion for logical
reasons and so if somehow you can give a
little B role a little background of
emotionally not only why you created the
company but why people will be compelled
to participate in your company
emotionally either as a customer as
investor you’re gonna win me over and so
don’t forget the emotional side because
a lot of entrepreneurs almost everyone
have a really great story of why they’re
creating the business why there’s a need
out there and it stems from all kinds of
great things that people will not be
able to resist that emotional thing you
buy on emotion for logical reasons I
love it
next up Beverly I think you can relate
to this one really well they’ve cannot
relate this information to a non-profit
and I know you do a ton of nonprofit
stuff philanthropy a pimp now remember
that line flanca pimp so how does the
art of the pitch relate to a non-profit
100% except for I believe that you have
an easier easier job to raise money to
help others than it is to help your
company and so that’s why I actually try
to always combine everything our motto
Warren Moon the Hall of Fame
quarterbacks my business partner I had a
really long mission statement and he
went through it it was like a leveraged
relationship Capital situational not
only by blah blah
the MBA like yeah it man Warren said oh
so Dave you want to make money help
people and have fun I said yeah he goes
okay that’ll be our mission statement
but right and the tie-in was we will not
do any business without some sort of
charitable effort cause of purpose I’d
do it something about social change and
I wrote a book called compassionate
capitalism based off of this component
so use the exact same methodology that
you would for raising money for for a
company that you would for raising money
for a cause I just think it’s a lot
easier because of that emotional
attachment is I spoke of earlier got it
and you mention Warren Moon your
business partner he’s on the show at
least is on the first episode there’s
some funny moments on there so you guys
if you’re a Warren Moon frenchie check
it out talking about books so you have
your book compassionate capitalism a
bunch of people in asking what advice or
what books are do you recommend people
to read either to learn about getting
investment or just as an entrepreneur
anything you’ve read that you recommend
passing on yeah you know some really
great books number one book that’s in my
library is thinking Grow Rich Napoleon
Hill every time I read that I felt like
I made more and more money any time I
feel like I’m in a slump or my energy
shifting I read Think and Grow Rich
there’s also a book called surrender
experiment that I really like it’s about
getting out of your own way
surrendering I think outliers is a great
book because I believe in repetition if
you focus in on something every day and
repeat it it affects your physical
conscious your subconscious mind which
creates neural pathways but it also
shifts your energy so those are three of
my favorite books and then of course
reconnecting to goodness which is my
first book that has some systematic ways
to manifest everything you want very
cool I hadn’t heard of surrender
experiments on
add that to to my reading list to Davis
creasing how quickly half an hour flies
by we’ve got tons of people still asking
questions wanting to learn more
final message final thoughts you know
one last thing you want to share with my
audience as a takeaway message like this
is what I learned from Dave today to
spark my week you know for me there’s
two things one be more interested than
interesting as an entrepreneur be more
interested than interesting and then
secondly be kind to your future self and
what that means is leave every person
place or thing that you meet better know
that somehow it’s all going to come back
to you if you are kind to your future
self if you’re kind helpful and observe
as’ and so those two things are two
simple ways to be more interested than
interesting and be kind to your future
self those takeaways will change not
only your business but you’re like very
cool I love it well guys go check out
the show it was a fun first episode you
can check it out weekly every Wednesday
morning the link is in the description
here below and day for people to learn
about you dave meltzer calm or where we
where we send in people we got emails
are not down but we have youtube.com
backslash David Meltzer 11 and at David
Meltzer great places you can always go
to sports one marketing.com my company
there’s several ways to find me or just
google me we’re gonna get you know we’re
here if service I answer all my own
emails Instagram snapchat
I’m technologically advanced even though
I’m old I love it Dave thank you for the
time thank you guys so much for watching
check out the show continue to believe
and we’ll see you soon
right on
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