Digital Innovation & Entrepreneurship
VENTURE CAPITAL
Growing green: A founder’s tips to scale your start-up
a thousand people, it’s unlikely to be scalable. Venture capital is not philanthropy. We’re looking for ideas that can deliver outsized returns. 3 Be transparent Roughly 30 per cent of firms make it to the second pitch. This lasts up to 90 minutes and dives deeper into how you will deliver your solution and your financial model. At this point, transparency is critical. Many founders project exponential growth – from tens of thousands of pounds in revenue to tens of millions by year four. That’s ambitious, and we need to understand how you’ll get there. Authenticity matters too. Don’t mask weaknesses or exaggerate your story. We can spot it a mile away. The more honest you are the better your chances. If you’re not ready for venture capital, we’ll monitor your progress – sometimes for months or years. The journey isn’t easy. Many small firms backed by venture capital funds fall by the wayside because the customer base is not there, trends change, or competing products come in. But, when it works, it can be transformative. We are launching a new funding round in 2026. Our investment size will range from £200,000 to £1 million, and, for an early-stage company, that can be a huge win. Our mission is for our founders to be successful so they can invest in research, scale their companies and contribute to solving some of the planet’s most pressing problems.
M ichelle Sartorio is the award-winning founder and CEO of the impact-centred beauty brand Auê Natural Limited and the growth consultancy True Value Creation. She holds an MBA from WBS, is a member of the School’s Sustainability Steering Committee, and recently chaired a panel on beauty and the bio-economy at COP30. These are her top tips for sustainable start-ups seeking investment to help them grow. 1 Be ready, not rushed “Before seeking investment, ensure you have clear proof of concept. A strong minimum viable product, traction, and credible sustainability metrics demonstrate readiness. “Visibility matters too. Attend events, apply for awards, and publish your perspective on LinkedIn and channels that are typically targeted at investors. These steps build both credibility and momentum. “Finally, understand the cost of capital – whether dilution or control – and assess if venture investment is right at your current stage. Capital should accelerate purpose, not compromise it.” 2 Network strategically “Having spent two decades in sustainability and investment, I’ve learned that raising capital is not just about funding: it’s about alignment. The right investor will amplify your mission, not dilute it. “Mapping investors by style, stage and values takes time but pays off. My first raise was completed quickly
PIPE DREAMS
with like-minded angels, and my next will follow the same path. “Use every network available: from universities to your professional circles. In 2023, only around 8 per cent of UK deals went to all-female founder teams, so strong, purpose- driven networking is key.” “Capital should accelerate purpose, not compromise it” 3 Tell a powerful story “Your story is your most strategic asset. Investors increasingly evaluate narrative fit alongside growth potential. Ensure your story connects directly to the value they seek to generate. “I look for partners who are strongly aligned with Auê Natural’s mission – promoting consumer health and environmental regeneration through rainforest- powered, plastic-free beauty. “But authenticity must be matched by performance. The product must work, the market must care, and your results must be measurable.”
Win investors for your sustainable venture
by Jessica Rasmussen , joint founder of venture capital firm Two Magnolias and co-chair of the WBS Sustainability Professional Network
T he sustainability start-up scene is incredibly exciting right now, with a new generation of entrepreneurs fired up to tackle environmental issues. However, raising capital to expand can be a knotty problem. A third of firms surveyed by the Enterprise Research Centre at WBS sought equity finance in 2022–23, but less than half were successful. This is where a venture capital firm like Two Magnolias can come in. As an impact investor, around half of the early-stage businesses in our pipeline are led by entrepreneurs offering sustainable products and services. Every fund offers a slightly different process for firms aiming to attract investment, but here’s my advice for start-ups based on what we look for.
1 Be curious Filling out the form on our website is just one route into our pipeline. We also meet founders through pitch events, university incubators, and regional networks across the UK. As a rule, you have just eight seconds to get an investor’s attention and two minutes to make them stay, so prepare yourself and refine your message before you make contact. By the time you are done, they need to be in a position to go away and share your business idea and model with their colleagues. We want entrepreneurs who dream, then look at the reality and dream again. Don’t just find one solution and focus on that. Keep looking for new solutions. The way we live is going to fundamentally change in the next decade. We want to invest in the people who are going to drive that change.
2 Be clear When a company shows promise, we invite them to a formal pitch. This is a 30 to 45-minute session, supported by 10–15 slides. It’s not Dragons’ Den – we want founders to feel relaxed – but clarity is key. At this stage, we are looking for a clear representation of the problem you’re trying to solve, followed by a clear articulation of your solution. Early-stage entrepreneurs often fixate on issues that aren’t commercially viable. If your ‘passion
Make purposeful connections through the WBS Sustainability Professional Network.
Discover Michelle’s insights from leading a panel discussion at COP30 in Brazil.
Sustainable Development Goals
Sustainable Development Goals
project’ offers a solution for only
Warwick Business School | wbs.ac.uk
wbs.ac.uk | Warwick Business School
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