The power of emotion in finance

So, let’s start with reiterating the obvious. An investor is just a person. Which means that yes, when they’re deciding whether or not to support your business, of course they consider the numbers. But alongside the stats is an equally important emotional decision. One based on the story behind the business. The people, the product, the belief in the business’ potential to shape a market and thrive. And not understanding this is one of the reasons why so many small businesses fail to secure the funding they need to thrive. In obsessing over margins and market sizing, they forget to tell their story. But why should this matter?

The importance of positioning and emotional resonance for attracting investors

Think about it: what inspires someone to take a risk on a business that may not yet be profitable, or even fully operational? The potential for return on investment obviously plays a part. But that ROI could come from any number of businesses – so why settle on that particular one? In most cases, it comes down to belief. The feeling that this company, this founder, this product, matters. That’s why positioning and emotional resonance are so valuable.

When investors consider where to place their money, they are also considering who they want to be associated with. What kind of change they want to support. What values they want their investment to reflect. If your pitch doesn’t communicate that, it risks being forgettable. A compelling brand narrative provides those answers. Communicating, essentially, why anyone should care about your business. It requires storytelling that resonates on an emotional level.

How to build a brand narrative

Building a compelling brand narrative starts with understanding your ‘why’. Why does your business exist beyond making money? What problem are you solving, and why does it matter? The story is not just your mission or vision, it's also your strategy for achieving it. When pitching to investors, your narrative needs to include what drives you (your mission, vision, and values), but also what you plan to achieve and, crucially, how you’ll achieve it. That how is your strategy – and it needs to make logical sense. Investors are often pulled in emotionally at first by your purpose and passion. But once that emotional response fades, it’s the clarity and credibility of your strategy that will determine whether they believe in the opportunity. A strong pitch balances both. The emotional hook and a clear, well-reasoned plan of action.

The thing that many people forget, however, is that they have to do this with consistency. A company’s brand narrative should echo across every pitch, page, and conversation. If it doesn’t, it rings false, and you risk losing your audience’s attention – be that investor, customers, or staff.

When a brand can articulate its vision clearly and powerfully, it gives investors confidence. Not just in the financial model, but in the leadership, the company’s ambition and long-term potential. The numbers will always matter. But experienced investors know that markets can shift, models can be tweaked, and projections can be wrong. So, a brand with a clear vision, purpose, and story, and team that is passionate, knowledgeable and determined will always make a more appealing investment than one that simply has attractive spreadsheets.

So, if you're preparing for an investment pitch, of course, you need to get your numbers in order. But don’t stop with just the numbers. Craft your narrative. Shape your story. And prove your market position. Because investors are people, and they’re looking for something to rally behind, rather than just a holding bay for their money.

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