A compelling equity story can help a company attract investors and also top-class talent. When well-written, it can also showcase a company's ambition and plans.
Investors will need to be persuaded that your company is set up for success. Talent wants to work for a growing, stable organisation. A persuasive equity story can help you achieve both!
This is often the distillation of a thorough analytical process, involving expert understanding not only of your own company but perhaps most importantly of your market and your company's positioning within it.
Some key ingredients our specialists can help you flesh out when writing your equity story:
Market and growth outlook
- Have you got a clear grip on the sizes of your Available, Serviceable and Serviceable Obtainable markets?
- Have you considered growth rates, preferably by product or service offering and by target geographies?
- What are the growth drivers underpinning each segment of the market?
Product and service offering
- How compelling is your value proposition?
- What are the key components of your value proposition?
- Does your product / service offering have a unique angle relative to your competition?
Customer / client profiles
- Who are your main customers / clients and what is their profile?
- How are your metrics around retention, churn, upselling?
- What is your revenue / customer concentration risk?
- For a B2B business, do you sell into blue-chip accounts?
- What is your opportunity to capture some more share of customer wallet?
Competition
- How competitive is the space you operate in?
- What is your competitive moat and how defensible is your position? Do you own any IP assets?
Financial profile, KPIs and growth plan
- A snapshot of your financial performance over the last years
- Do you have a credible growth plan and which levers will you pull to hit headline numbers and improve operating KPIs?
- Do the unit economics stack up to achieve your key milestones?
- Is your growth plan sustainable? Now more than ever - investors' focus is not just on how quickly you can grow, but on profitable growth
An equity story provides the backbone and narrative for presentations or other materials that are shared with investors, so it is important that it be ambitious and compelling. Perhaps most importantly it should be credible and backed up by strong data and KPIs, as the best investors use an analytical and data-driven approach.
A management team can answer these questions better than anyone. However, it is a time-consuming process and one where a third-party perspective can add depth and persuasion o your story.
Our specialists can help you put together a powerful, compelling equity story, whether that is for going out to market, messaging to the market or simply to better focus your own strategy.
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