Investor psychology and trust

How to Pitch Investors and Work With International Capital

How to Pitch Investors, Work With International Capital, and Allocate Your Attention Strategically

Founders and fund managers who are preparing investor pitches or may be approached by international family offices.

What this talk covers

A panel talk at a Family Office Club event opens with a simple point. Investors give a pitch very little attention, so the first thing they hear has to matter to them. One guest says people have the attention of a goldfish, about 8 seconds. The advice is to lead with a memorable sound bite, think about what the investor receives, and skip the kitchen sink of everything the company does.

The panel then turns to international investors and time. Guests describe Asian relationships as built on trust over many years, with each family defining risk and store of value in its own way. A host adds that investors allocate by strategy and caps, not by single projects. The last speaker, Alec, says attention is the most limited resource and has to be split between short-term execution and long-term vision.

The 5 big lessons

  1. Think about the receiving end. Many pitches are monologues. The guest advises asking what the investor gets from the investment and building the pitch from that point.
  2. Lead with a memorable sound bite. With attention at about 8 seconds, the opening must catch people first. Once it does, they lean in and listen to the rest.
  3. Trust comes before transactions. One guest says Asian investors often do not see relationships as transactional. That guest built current client relationships over 15 years, and investors were watching in the meantime.
  4. Risk means permanent loss. A guest says family clients do not define risk as market volatility. They define it as the likelihood of permanently diminishing part of their wealth.
  5. Opportunity cost and allocation caps. Investors may weigh 20 or 30 other projects across regions. A host adds that a lending business can reach its limit on a state like Florida, even when a deal is good.

Worth quoting

"People have the attention of a goldfish, which is about 8 seconds or so, and dwindling."

Guest speaker, How to Pitch Investors, Work With International Capital, and Allocate Your Attention Strategically

"The risk is, what is the likelihood you are actually permanently diminishing part of your wealth?."

Guest speaker, How to Pitch Investors, Work With International Capital, and Allocate Your Attention Strategically

"I think time, and more importantly attention, is the most limited resource."

Guest speaker, How to Pitch Investors, Work With International Capital, and Allocate Your Attention Strategically

Key facts

  • One guest says attention spans are about 8 seconds and dwindling.
  • A guest built relationships with current clients over 15 years.
  • Investors may be reviewing 20 to 30 other projects across different regions and countries.
Sources

From Richard C. Wilson's Centimillionaire Strategies YouTube channel: How to Pitch Investors, Work With International Capital, and Allocate Your Attention Strategically. Quotes come from the video captions, lightly edited for readability. Figures are the speakers' own estimates and experience.

General education only. Not legal, tax or investment advice.

Questions about this video

What is the biggest pitch mistake mentioned?

The guest says it is throwing in the kitchen sink of everything a company does. The first ask to a founder is an elevator pitch, and many go on far too long.

How do Asian family investors view relationships?

A guest says these investors often do not treat relationships as transactional and value trust built over time. Each family also defines its store of value and risk factors differently.

Why might a good deal still be passed over?

A host explains that investors allocate by strategy, not by project. They may have hit an allocation cap or be maxed out on a geography.

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Questions