Kevin O'Leary: The Formula To A Great Business Pitch

Kevin O'Leary has heard thousands of business pitches so he knows a thing or two about what makes a great pitch. Here's the three-part formula.

"[It] doesn't determine the outcome of the business," O'Leary notes. "But these three are found in every case where an entrepreneur is successful in getting money."

Here's how to get an investor to write you a check, according to O'Leary:

1. Be clear and concise
"You have to explain exactly what the business is in less than 90 seconds," O'Leary tells CNBC Make It.

"If you can't do that, you'll never be successful. You have to be succinct about the opportunity."

2. Highlight your unique skills or experience
"You have to explain why you're the right person to execute the business plan," O'Leary tells CNBC Make It.

That can be anything from experience in the industry to working for a competitor or even what you've learned from past failures and mistakes.

"You've got a good idea, now, who's going to run the show? Is it you? You've got to tell me why.

"A great idea with a great entrepreneur with executional skills are the first two elements," he says.

3. Do the math
The final element is what O'Leary calls "the killer."

"You have to know your numbers," he says.

You need to be able to tell potential investors how big the market is, how fast it's growing, how many competitors there are, the break-even analysis — and more.

You have to have that down-pat; if not, your pitch falls apart.

"If you get the first two right, and you don't know your numbers, you deserve to burn in purgatory, and I will put you there," O'Leary says.

"Those three together define leadership and business," says O'Leary.

"If you want to be an entrepreneur, if you want to be successful, you have to do all three. So start practicing."

About CNBC Make It.: CNBC Make It. is a new section of CNBC dedicated to making you smarter about managing your business, career, and money.

Connect with CNBC Make It. Online

#CNBC
#CNBCMakeIt

Kevin O'Leary: These are the 3 things that make a great business pitch | CNBC Make It.

[charlesloomis]

Out of all the Sharks, this is the one I like the most. He is brutally honest and he only cares about one thing...results! He told a group that he favors having women owned companies. The crowd cheered thinking he was pandering to the women in the group. He wasn’t. He followed up by explaining why. “Women owned companies set small achievable goals and meet those goals consistently. Male owned companies set audacious goals, they shoot for the moon, but the vast majority fail, thus the company fails.” His point, a little profit is better than zero profit. Results! Don’t tell what you are going to do, just do it.

[CaffeineDose]

This is why they call him Mr.Wonderful

[coreyochai]

This information came right on time, thank you Mr. Wonderful. I truly appreciate it 💪