Often, entrepreneurs approach me with the singular reason of having me write them a check. I can always tell in a few minutes that they are not that interested in what I might have to say about their company, as they are constantly going after the 'close'. I often wish I was an impolite person and just end the conversation--right then.
Why? Advice may be more important than money for many start ups. As I have said in previous posts, I rarely see a bad idea, but I often see an incomplete business model or a team without the requisite experience. So when I offer up suggestions that will make your idea more saleable, don't act like I am calling your baby ugly. I'm not. I'm just trying to help you.
I always offer to look at a next iteration of a business plan ot team, once changes have been incorporated. rarely do I get taken up on my offer. You are the loser, not me.
Here's a few thoughts on conducting a first meeting with a potential investor:
1. Choose the right person--I'm a fan of having initial meetings with strategic investors--ones that can give you more than money. That way, you can get insights on why your idea and plan may lack some essential aspects critical to market success. As a bonus, they may offer to be a mentor.
2. Be interested in the investor--too often, entrepreneurs launch into their pitch without asking anything about me. I'm a person as well and deserve a little respect, besides being a guy with an investment fund. Try polite questions to make the investor think you care about him or her.
3. Be open to advice--don't get all defensive. Remember that the person across the table listens to many pitches in a week and thousands over a decade, has had some good successes (in your space--see 1. above) and is painfully aware of the pitfalls that can trip up a start up. Ask probing questions about why or why not the person thinks you can be successful, or what else is needed to achieve that goal.