How to Pitch Your Startup

Lessons from Michael Seibel

February 28, 2025 • Estimated Reading Time: 3 minutes

Most founders struggle with pitching. They either talk too much, get lost in jargon, or fail to make their startup compelling. Michael Seibel, YC partner and co-founder of Justin.tv (Later became Twitch) and Socialcam, simplifies the process.

Here’s how to pitch your startup to anyone—clearly and effectively.

Your 30-Second Pitch: Get to the Point

A great pitch starts with three simple sentences:

  • What does your company do? Explain it like you would to your mom. No industry jargon. No fluff. Example: "We’re Airbnb. We let people rent out extra rooms in their homes."

  • How big is the market? Investors want to know the opportunity is huge. Do some research. If Airbnb were pitching, they’d say, “The hotel and vacation rental market is worth hundreds of billions.”

  • What traction do you have? Growth matters. Share numbers that prove you're moving fast. If you haven't launched yet, highlight milestones: “We started in January, launched a beta by March, and went live in April.”

Michael Seibel has invested in several notable companies through Y Combinator, including Airbnb, Stripe, Dropbox, Coinbase, Cruise, Figma, and many more.

The Two-Minute Pitch: Convince and Convert

Once someone’s interested, expand with four more key points:

  • Your Unique Insight – The “aha” moment. What do you know that competitors don’t? Keep it to two sentences.

  • How You Make Money – Be clear. “We charge a fee per transaction” is better than listing five potential revenue streams.

  • Your Team – If your team has a proven track record, highlight it. Otherwise, focus on commitment: Are you working full-time? How long have you known each other?

  • The Ask – If you’re fundraising, be specific. Know your terms, how much you’re raising, and your minimum check size.

When to Fundraise: Flip the Power Dynamic

Investors prefer startups with traction. But if you’re early-stage, flip the script:

  • Talk about your startup publicly to build buzz.

  • Never make fundraising seem like a do-or-die moment. Show that you're moving forward with or without them.

  • Speed matters. Fundraising should be a sprint, not a marathon. Schedule all meetings within a tight timeframe to create a sense of urgency among investors.

If you can’t explain your startup simply, you don’t understand it well enough. The best pitches aren’t fancy—they’re clear, direct, and make people instantly see the value.

Cut the fluff, get to the point, and make investors feel like they need you, not the other way around.