“The worst part about swimming in an ice hole is getting in,” says entrepreneur Matthew Manetta. “When you get out of the water you feel a sense of euphoria.” The giddy high, however, is also accompanied by the sensation of pins and needles. For men, there’s also a merciless pain of being kicked in the balls, says Manetta, a feeling that can last hours. So why on earth would any serious business person want to deliver an elevator pitch standing chest high in a frozen lake in Finland?

The co-founder of UK startup Braci, a company that has developed a smartphone app to aid the deaf and hard of hearing, has decided to take part in the Polar Bear Pitching event on 25 February not out of desperation, but because it was the chance to gain important exposure for the firm globally and hopefully secure funding that will help the enterprise to grow faster.

It’s the second year the northern Finnish city of Oulu has hosted the competition where 20 thick-skinned entrepreneurs from around the world plunge into a hole in the ice to deliver a winning pitch to potential investors. How much time they get to sell their idea will depend on how long they can stand the freezing cold water.

This year the Guardian’s Small Business Network will be there to experience the “euphoric pain” of taking part in the world’s only sub-zero version of Dragons’ Den. So how do you prepare for what is as much an endurance test as it is a sales pitch? Training is key to survival and Manetta has already begun practising in Helsinki, where he is currently on business. After taking advantage of the country’s famous sauna culture, he has been acclimatising to the chilly temperature by rolling around in the snow.

Manetta has experienced ice-hole dipping before and warns that under no circumstances should you submerge your head in the freezing waters. It can leave you dizzy and disorientated. The greatest challenge, he claims, is losing your breath and being unable to speak.

As always though, preparation is key. Marti Soosar, founder of Estonian tech startup SportID, has few qualms about winter swimming. His favourite way to start the day, he happily admits, is to take an energising morning swim in the local river then drive to work. He says the longer you stay in the water, the more comfortable it gets.

The entrepreneur is planning to release an international version of their health and wellbeing service for employers and hopes winning funding from investors at the event will help achieve his dream of going global. Soosar admits, however, to initial reservations about taking part in the contest.

“We worried it might make us look ridiculous,” he says. Finland is, after all, a country that also hosts the world fart championships, an international wife carrying contest and a mobile phone throwing competition.

He was also concerned that he would be unable to pitch anything convincing while standing in the freezing cold water: “In this event, however, the investors get to meet the teams who are really willing to go out of their comfort zone. That is an important quality to show if you are a startup.”

Comfee founder Ksenia Vinogradova agrees that the extreme nature of the event is an ideal platform to show investors the gutsy determination of startup entrepreneurs. The Russian SME owner hopes the investors will help them fill a funding gap for their automated window blind device. It will also be a good opportunity to network and share ideas with other likeminded business owners.

Facebook Twitter Pinterest The Polar Bear Pitch in full swing. Photograph: Henri Luoma Photography

Although Vinogradova admits the tradition of ice-hole dipping is common throughout the Nordic region, Scandinavia and also Russia, it’s the first time she has ever experienced it. Preparation, she believes, is not dissimilar to a business pitch on dry land. She expects to feel that same rush of adrenalin you feel when walking on to any stage in front of a panel of investors, but this time it will take a lot more effort to keep her breathing under control and to stop her voice from trembling (and her body from shivering).

There are a few rules, however, to stop plucky pitchers from having an unfair advantage over rivals. No wetsuits or similar thermal aquatic gear is allowed, but hats, gloves and shoes or socks are definitely recommended to protect your extremities. In the unlikely event that anyone does run into trouble, a medical and rescue team will be standing by.

The event’s project manager, Mia Kemppaala, says that while there is an element of silliness about it, there is a serious investment going on. It’s just business being done in an entertaining way.

There is also an affinity with the Finnish business culture, she insists. “They say the most important decisions are made in the sauna. People take off their suits and they are all on the same level. Something like that also happens in this event.

“What was quite surprising for us from last year is that the investors were also saying they wanted to get in the water. It showed that everyone was on the same level. So even though it was the coldest pitchest contest, it was the one with the warmest spirit.”

Guardian journalist Matthew Jenkin will be attending Polar Bear Pitching in February. His flights and accommodation have been paid for by BusinessOulu.

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