How to Use the POEM Framework® to Secure Early-Stage Investment
Raising capital from angel investors isn’t just about dazzling slides or polished storytelling. It is about communicating a clear, compelling vision backed by an understanding of what drives investor decisions. Angel investors are not just giving you money. They are buying into you. Into your idea. Into your execution. Into your journey.
At TVCLabs we have evaluated hundreds of pitches and we have learned that standout founders do not just pitch. They perform strategic storytelling, anchored in a solid framework. That’s where the POEM Framework® comes in.
Created by our Collaborator-In-Chief (CiC), Tomi Davies, the POEM Framework® offers a simple, powerful way to align your pitch with what investors actually care about. Whether pre-seed or seed stage, mastering this framework will give you an edge.
Let’s break it down.
What is the POEM Framework®?
POEM stands for:
- Proposition
- Organisation
- Economics
- Milestones
It’s a strategic structure that keeps both your pitch and your business focused. A POEM-based pitch answers four critical questions every angel investor has before writing a cheque.
1. Proposition: What are you offering and to whom?
Your Proposition is the “why” behind your business. It includes:
- The problem: What specific problem are you solving?
- The solution: How are you solving it better, faster, or cheaper than existing alternatives?
- Target customer: Who has this problem, and how big is the market?
- Your edge: What’s your unique insight or secret sauce?
Investor Tip:
Your solution should be painfully relevant to a real problem. Avoid generic lines like “We help people live better.” Instead, say, “We help Nigerian SMEs access working capital within 48 hours through invoice financing powered by AI risk assessment.”
Make it vivid. Make it matter.
2. Organisation: Who is building this and how?
This is where you show the people behind the vision and how you operate.
- Founders & team: Who are you? What makes you the right people to win in this market?
- Structure: How is the company legally structured? Where are you registered?
- Advisors & mentors: Who’s guiding you? (Investors love to see you’re not alone.)
Investor Tip:
We do not invest in startups. We invest in founders. Your team is the execution engine. Prove that you are not only passionate but capable. Show track records, relevant skills, grit and cohesion.
3. Economics: Can this business make money and scale?
No matter how noble your mission is, if the unit economics don’t work, it is not a business, it is a hobby.
This section should cover:
- Business model: How do you make money?
- Revenue streams: Are they one-time or recurring?
- Costs: What are your biggest expenses and margins?
- Funding ask: How much are you raising and why?
- Use of funds: What exactly will the money do?
- Exit strategy: How will investors make a return?
Investor Tip:
Break this down simply and confidently. Show that you have done the math. Investors want to see that $1 in becomes $3+ out over time. If your model isn’t there yet, show the path.
4. Milestones: What have you done and where are you going?
This section proves you are not just dreaming. You are building.
- Traction: Show numbers. Users, revenues, pilots, partnerships.
- Validation: Has anyone paid for your product? Do you have LOIs?
- Roadmap: What’s next in 3, 6, 12 months?
- KPIs: What metrics are you tracking?
Investor Tip:
Milestones show momentum. Even small wins matter. A startup with 50 paying customers, 3 pilot projects and a waitlist of 2000 is far more attractive than a great idea with no movement.
Final Pitch Tips (From an Angel’s Perspective)
- Keep it short and sharp. You have 10-15 minutes to hook interest. Don’t waste time on fluff.
- Lead with clarity. If I don’t understand what you do in the first 30 seconds, you’re already losing me.
- Know your numbers. Be ready for questions on CAC, LTV, burn rate, etc. Don’t fudge.
- Demonstrate coachability. Arrogance kills deals. Curiosity closes them.
- Close with a clear ask. “We’re raising $250k on a $1M SAFE to acquire 1000 customers and hit $30k MRR by Q3.” That’s a pitch closer.
Mastering the art of pitching to angel investors is about structure, clarity and conviction. The POEM Framework® brings all three into alignment. It helps you tell the story investors need to hear to believe in your vision and back it with their money, mentorship and network.
Before you get in the room, know your POEM. Polish it. Practice it. Own it.
Because when preparation meets opportunity, that is when angel deals get done.
