What are the most effective ways to pitch a proptech investment to a venture capitalist?

Of course, the first to go to are the PropTech VCs. Find not only those with similar investments, that might have a competition issue but those that might be interested in entering your venture's segment. I would also count all stakeholders in the property ecosystem, like landlords, real-estate players, constructors, architects, etc. Applying to a Generalistic VC would need a strong ROI conviction and more interesting hooks like deep technology, SAAS (ARR) approach, unique market access, etc.

One thing that I found important is to look for similar business to yours and verify which companies are investing there. But, in my opinion, you should consider relationship with VC investors as a long-term partnership. Do network, introduction, cultivate open communication, provide regular updates on your startup or business' progress, and leverage their expertise and network to accelerate your growth journey. Your homework here is critical. From day one, you should seek alignment with your vision and growth plan.

Here are a few things to be included in your pitch deck -Team -Existing Investors -Meaningful Partnerships & Existing clients -Problem in the market & Solution -Target Market Size- identify them as detailed as possible -Business model -Competitor analysis -Finally, vision for the future

Demonstrate you traction by tracking certain KPIs such as website traffic (if your business is more B2C), conversion rate (demo meeting conversion rate, contract conversion rate). Demonstrate scalability by showing that you have a very well defined target persona and idea of how your target persona using your solutions. If you can prove that you can sell your product to a certain group of people with similar characteristics, it means you can scale. Don't think of scalability as if you can sell your solution to everyone in the market.

Present your future milestones with clear vision. Always show that you have a next step after you achieve enough market shares for the current project.

Negotiating the terms of the deal is fine. You'll have plus and minuses... but don't go to a VC just for the money. Please, don't. Consider factors such as valuation, their strategy on the long term, board composition, governance rights, network that they can offer, liquidation preferences, and investor rights. Talent is scarce, a VC with the right contacts that bring you the commercial people or the COO for your business can be more valuable than the money that they put on your company.

It seems obvious, but something important to check is understanding your startup or business needs. Consider factors such as funding amount, industry expertise, network connections, and the level of involvement you want from investors. When you add a VC on your company, you want a partner, not just money. And having partners in any business is hard and comes with risks. Consider carefully all your options.

Another thing to keep in mind is that not all businesses are eligible for, or ready for, VC investment. If you're just getting started, pre-launch, pre-revenue, etc. that's a tough gamble for a VC to make. May be better off tapping your friends & family, or angel investors, to get you through that initial phase.