National Society of Black Engineers® NSBE National Society of Black Engineers Elevator Pitch Competition Region 4 Program Participant Handbook Target Event Date: Fall Regional Conference, October 31st, 2015 Regional Business Diversity Chairperson: Simone May Contact: [email protected] Regional Programs Chairperson: Cynthia Turner Contact: [email protected] National Society of Black Engineers® NSBE What is NSBEpreneur™? Officially launched in January, 2010 NSBEpreneur™ is a program that is designed to increase the number of Black owned technical companies. The program consists of four core components. These four components include the (1) Training Institute; (2) Elevator Pitch and Business Plan Competitions; (3) NSBE Expo; and (4) Supplier Diversity Initiative. What is an Elevator Pitch? An elevator pitch is best defined as a short and concise description about a product, organization, or service and its value proposition. The term “elevator pitch” comes from the idea that one should be able to deliver it within the time of an elevator ride, around thirty (30) seconds. It is best practice for job­seekers, project champions, salesperson's, current and prospective entrepreneurs to have elevator pitches prepared and readily delivered at all times. In the business world, elevator pitches are especially important for current and prospective business owners who are constantly looking for potential investors and other funding opportunities. Venture capitalists and individual investors use elevator pitches as a means to quickly judge the quality of a business venture and filter out the weaker ideas and teams. Elevator Pitch Competition The purpose of the Region IV Elevator Pitch Competition is to: ●
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Increase the interest in becoming an entrepreneur Prepare prospective entrepreneurs for investor networking Assist Members in developing and delivering Effective Elevator Pitches Provide prospective entrepreneurs with critique and suggestions from an expert panel Serve as a “Mock Competition” for the National Elevator Pitch Competition at National Convention Competition Rules/Regulations In order to participate in the Elevator Pitch Competition, one must meet all the following criteria: ●
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Register for Elevator Pitch Competition Event by October 15​th​, 2016 on Be Registered for the Fall Regional Conference Be able to present Elevator Pitch at assigned day and time Elevator Pitch Competition participants will be required to give a thirty (30) second overview of either an existing or fictional business to a panel of experts. A question and answer session between the participant and judges (around five (5) mins) will then follow. Each participant will be judged on the following criteria: ●
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o Content of Elevator Pitch o Deliverance of Elevator Pitch Quality of Answers During Q/A sessions First Place participant(s) will receive $100 and second place participant(s) will receive $75, Third Place Participants will receive $50. National Society of Black Engineers® NSBE Tips on Preparing an Elevator Pitch According to businessknowhow.com, an elevator pitch should answer the following questions: 1. What is your product or service? Briefly describe what it is you sell. Do not go into excruciating detail. 2. Who is your market? Briefly discuss who you are selling the product or service to. What industry is it? How large of a market do they represent? 3. What is your revenue model? More simply, how do you expect to make money? 4. Who is behind the company? "Bet on the jockey, not the horse" is a familiar saying among Investors. Tell them a little about you and your team's background and achievements. If you have a strong advisory board, tell them who they are and what they have accomplished. 5. Who is your competition? Don't have any? Think again. Briefly discuss who they are and what they have accomplished. Successful competition is an advantage­they are proof your business model and/or concept work. 6. What is your competitive advantage? Simply being in an industry with successful competitors is not enough. You need to effectively communicate how your company is different and why you have an advantage over the competition. A better distribution channel? Key partners? Proprietary technology? According to businessknowhow.com, an elevator pitch should always contain the following: 1. A "hook" Open your pitch by getting the Investor's attention with a "hook." A statement or question that piques their interest to want to hear more. 2. About 150­225 words Your pitch should go no longer than 30 seconds. 3. Passion Investors expect energy and dedication from entrepreneurs. 4. A request At the end of your pitch, you must ask for something. Do you want their business card, to schedule a full presentation, to ask for a referral? National Society of Black Engineers® NSBE According to elevatorpitchessentials.com, an elevator pitch should be all of the following: 1. Concise An effective elevator pitch contains as few words as possible, but no fewer. 2. Clear Rather than being filled with acronyms, MBA­speak, and ten­dollar words, an effective elevator pitch can be understood by your grandparents, your spouse, and your children. 3. Compelling An effective elevator pitch explains the problem your Solution solves. 4. Credible An effective elevator pitch explains why you are qualified to see the problem and to build your Solution. 5. Conceptual An effective elevator pitch stays at a fairly high level and does not go into too much unnecessary detail. 6. Concrete As much as is possible, an effective elevator pitch is also specific and tangible. 7. Customized An effective elevator pitch addresses the specific interests and concerns of the audience. 8. Consistent Every version of an effective elevator pitch conveys the same basic message. 9. Conversational Rather than being to close the deal, the goal of an elevator pitch is to just set the hook; to start a conversation, or dialogue, with the audience. National Society of Black Engineers® NSBE Elevator Pitch Examples From amanet.org: “We are accountants. We make sure you understand your financial statements. We want the process of billing your customers and paying the bills from your vendors every month to wind up making you money, instead of giving you continual unprofitable headaches. We do lots of things, but here is a good example. Just last week we showed a client that he was mistakenly using two different vendors to buy the same thing for different offices, instead of getting the vendors to compete for one big order at a lower price. That change will save our client $100,000 during the next quarter alone.” From startupnation.com: "Our company is called ConstructionBoots.com, an e­commerce website that sells brandname construction boots. There are currently no companies serving this niche exclusively. ConstructionBoots.com will drive traffic to the site by linking to other websites catering to the construction industry as well as through word­of­mouth. In industry surveys, over 90% of construction workers have these three traits: 1) they have a favorite brand of boots, 2) they know their size, and 3) they hate shopping at stores. In our own polling, over 70% indicated that they would prefer to buy their boots online and have them delivered. Accordingly, we expect a great market response and rapid sales ramp­up. We need $1.5 million in funding to get to the point where the company is self­sustaining. This should happen in the middle of our second year. Right now, we're seeking $500,000 of initial funding in exchange for a 30% ownership stake in the company. I am the CEO with lots of operational experience and deep contacts with boot manufacturers. Our Marketing Director was instrumental in the growth and recent sale of a very successful e­commerce clothing company. If we hit our numbers, we expect to be able to sell ConstructionBoots.com to a 'brick and mortar' retailer within 3 years." From greatbusinessplans.com: Each WhirlyBird Yogurt store will offer 10 flavors of yogurt and 25 toppings to people within a five­mile radius of their carefully selected locations, ideal for people who want a healthy meal or snack. As an example, now the 300,000 people who live and work in Meadowbrook won’t have to drive more than five minutes to get great yogurt, served by friendly people in a sparkling clean store. Frozen yogurt has been the fastest growing category in over­the­counter snack foods for the past 3 years, with year­over­year growth rates of 17%. WhirlyBird’s founder, Ronald Smith, has 10 years experience as a regional manager National Society of Black Engineers® NSBE of quick­service restaurants, where he learned how to run efficient, profitable stores. With that experience, Mr. Smith is confident about opening WhirlyBird Yogurt Stores at the rate of 1 every 6 months and building a business that is profitable from year one and surpasses $25 million in revenue within 5 years. From greatbusinessplans.com: JD Software provides custom online commerce and back­office solutions to businesses with less than $10 million in sales that can’t afford the high prices of big­name consulting firms. These business customers will be eager to drive their sales and improve efficiency, now that it can be accomplished with a fraction of the time and money required by the big­name firms. Our founder, John DelMonte, has 8 years’ experience as a senior project manager for EDS, where he learned how to manage projects from start to finish using skilled independent contractors. With a market of over 8,000 small businesses in San Diego with revenue ranging from $1 million and $10 million, JD Software Solutions will be cash­flow positive and profitable in less than 12 months. From about.com: "Have you ever felt held back by lack of time and wished you could clone yourself so you could get everything done, when you want to get it done, the way you want it done? "Well, I work with busy and driven small business owners who struggle to accomplish everything they want to accomplish. The clients I work with generally understand the value of a team and are ready to learn how to delegate, but find it challenging to let go of their quest for perfection, find quality team members and commit to creating a team that can thrive, even without them being hands­on. "I consult these time­challenged business owners on how to build teams, delegate effectively and ultimately become more productive and profitable. I'm in a unique position to help my clients because I've faced the same struggle of not having enough time and feeling held back from true success. I have figured out a formula that can help just about any entrepreneur build a team and delegate effectively, giving them the time they need to grow their businesses, explore new endeavors and take time off, knowing their businesses will continue to prosper in their absence. "I'd love to schedule a time to talk more about some of your delegation and team challenges, and explore how we may be able to work together." National Society of Black Engineers® NSBE Video Examples: Elevator Pitch Winner ­ Katie Sunday 2009 MIT 100k Elevator Pitch Contest (EPC) Winner 60 Second Elevator Pitch ­ ATTENTION!