Answer on @Quora by @auren to I am presenting my startup to investors. Should I state the problem that I am solving …
Answer by Auren Hoffman:
Here is why you should not start with the problem and instead dive right into the solution …
There are three scenarios:
1. the potential investor will be familiar with the problem
2. the potential investor will not be familiar with the problem but will quickly understand the problem once they see the solution and can ask a few questions
3. the potential investor will not be familiar with the problem and it will be hard for them to grok the problem
By starting with the problem first, you are optimizing for Investor #3. But Investor #3 is the least likely person to invest in your company.
You want to optimize for Investor #1 since they are the MOST likely to invest. Since you are an entrepreneur and have very little time, you don't want to be spending this time with people who have a low chance of investing. If you happen to pitch those people, you want them to self-select out very quickly so you can spend your little time with the people most likely to invest (ideally investor #1).