A great business pitch can be your ticket to opening doors, and a bad one can shut the doors just as fast.
Allon Raiz, CEO at Raizcorp has spent years listening to thousands of real-life investor pitches through the Nedbank Pitch and Polish competition, in which he has noticed many entrepreneurs make the same mistakes that derail the most promising ideas.
He lists four of the most common errors entrepreneurs make when pitching for funding and suggests what they should do instead if they want their pitch to succeed.
1. You are leading with the deal
He says too many entrepreneurs open their pitch with: “We’re asking for R3 million for 20% equity,” without first making a case for the value of the opportunity.
“This kind of thumb-sucked valuation, unbacked by evidence, instantly undermines credibility.
“Investors want to understand the market, your experience, and the probability of success before they hear your ask. And when you do get to the numbers, they need to be grounded in real, researched assumptions, not fantasy maths.”
Raiz advises entrepreneurs to lead with substance, not speculation and leave the deal discussion for when the investors are actually interested.
2. You are selling the idea instead of your team
He adds that one of the mistakes that most entrepreneurs make is selling the idea, instead of the team. What investors want is execution, and that comes down to the people behind the pitch.
“Many entrepreneurs focus solely on their concept, forgetting to highlight their experience or team’s capabilities. But investors are backing you, not just your product.
“Emphasise your team’s relevant expertise, why you chose them and how they will help you navigate challenges. Investors would rather invest in a mediocre idea that has a robust team behind it than in a great idea that has a mediocre team. Show you have got the people to make it happen.”
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3. You are claiming you have no competition
He warns entrepreneurs that saying “we have no real competitors” is one of the fastest ways to lose investor confidence.
“Every product or service competes for attention, money or time. Smart entrepreneurs show direct and indirect competitors, and position themselves using tools like a competitor map.”
Raiz adds that it is important to highlight characteristics that make you stand out from other businesses. Such as “Where do you sit on the price vs. quality or benefit scale?”
A thoughtful competitive analysis proves you understand your market and gives investors confidence that you’re ready to win.
4. You are not being specific
He says entrepreneurs’ statements like, “If we just get 5% of the market…” are vague, lazy, and unrealistic.
It glosses over how hard it is to gain even a tiny market share, especially against dominant incumbents. Instead of speculative percentages, talk specifics.
“Who are your target clients? How many units will you sell, to whom and at what cost? Investors want to see clear, grounded thinking, not hopeful back-of-the-napkin maths. Precision builds trust. Generalisations break it.
“Pitching is about confidence, preparation, clarity, and strategy. Avoid these four missteps, and you will not just sound like a better entrepreneur — you will be one.”
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