Mastering Your Investor Pitch: Business Model & Market Questions You Must Nail

When you're pitching to investors, you're not just selling a product — you're selling the entire business opportunity.

Your Business Model & Market section needs to prove two things:

1. You deeply understand the market you're entering.
2. You have a smart, sustainable plan to capture and grow your share of it.

Here are eight critical questions investors will almost certainly ask — and how to answer them effectively.

1. What's Your Market Size?

Market size tells investors how big the opportunity is. A larger and growing market means more potential returns.

Break it into:

• TAM (Total Addressable Market) – the overall demand.
• SAM (Serviceable Available Market) – the segment you can target.
• SOM (Serviceable Obtainable Market) – what you can realistically capture soon.

Pro tip: Back this up with credible sources, not just your own calculations.

2. Who Are the Target Customers?

You need to define exactly who you're selling to. Go beyond demographics:

• Behavior patterns.
• Pain points and needs.
• Buying motivations.

Example: Instead of saying "millennials," say "health-conscious millennials in urban areas who spend on premium wellness products."

3. What Are the Acquisition Channels?

How will you attract and convert customers? Possible channels include:

• Paid ads (Google, Meta, TikTok).
• Organic search (SEO, content marketing).
• Partnerships and referrals.
• Direct sales or events.

Tip: Show why your chosen channels are cost-effective and scalable.

4. What's Your Competitive Edge?

Investors want to know why you'll win. Competitive edges can include:

• Proprietary technology or patents.
• Exclusive partnerships.
• Strong brand recognition.
• Operational efficiencies.

Pro tip: Use a competitor comparison chart to make this clear.

5. What Are Your Partnership Insights?

Strategic alliances can accelerate growth. Share:

• Existing partnerships that expand reach or credibility.
• Potential partnerships in the pipeline.
• How these relationships create a win-win scenario.

6. What Regulatory Challenges Have You Faced?

If you operate in a regulated space (healthcare, fintech, food), compliance is critical.

Explain:

• Challenges you've encountered.
• How you've addressed them.
• Any licenses, certifications, or approvals secured.

This reassures investors you can navigate legal complexities.

7. What Customer Feedback Have You Received?

Customer feedback proves product-market fit. Include:

• Testimonials.
• Reviews and ratings.
• Case studies with measurable results.

Pro tip: Highlight feedback that directly supports your value proposition.

8. What Are the Key Growth Metrics?

Numbers speak louder than words. Share KPIs like:

• Monthly active users (MAU) growth.
• Customer acquisition cost (CAC).
• Customer lifetime value (LTV).
• Retention and churn rates.

These metrics tell investors you're tracking performance and know how to optimize it.

Final Thoughts

The "Business Model & Market" section is your chance to show that you've done your homework — and that you have the clarity, focus, and strategy to turn opportunity into returns.

If you can answer these eight questions with data and confidence, you won't just impress investors — you'll make them eager to join your journey.