Disruptive technology
Whether you’re tackling Parkinson's or shaping the future of space-based services, we want to see tech that puts impact front and centre.
We focus on those with high growth potential at pre-seed and seed stages – to get the most groundbreaking technologies and ideas to market.
Whether you’re tackling Parkinson's or shaping the future of space-based services, we want to see tech that puts impact front and centre.
Is your idea worth pursuing? We want to see solid proof of principle – demonstrate the feasibility of your product, idea or method.
How far do you want to go? Show us your vision.
Show us what’s already out there (or not!) and what makes you different. We want proof there’s a gap in the market for your business.
We like to understand what key achievements are going to drive the next funding round.
We like to see 18 months runway at the point of our investment, with some contingency and credible grant and revenue assumptions.
You’re in this for the long run – building a commercially viable, sustainable business is the aim of the game.
Or a plan to recruit complementary skills and experience. We believe strong leaders drive successful startups.
There are two ways to get market size. If you’re entering a pre-existing space (like small business banking) you can research it. If you’re creating a new product or space (like Slack), you can estimate the number of customers that would want your product and approximate how much you could charge them.
For example: Bellabeat makes an activity tracker for women. There are X women between 14 and 45 in the US. The lifecycle of our activity tracker is two years. Our market opportunity in the US is Y.
When you’re estimating market size and what % you could own, there are two methods: top down and bottom up. With the top down approach you determine the total market and estimate your potential share of it. With bottom up you figure out where comparable products are sold, how many of them are sold, and what % of those sales you could take. We prefer the bottom up method because it helps you avoid a common top down pitfall, which is not narrowing down the customer enough. In the example above that could mean assuming all women are in your market – no matter their age or nationality.
How to Pitch Your Company | Y Combinator
They want to back companies going after a huge and growing market. They'll check out how big the potential customer base is, whether it's expanding, and who the competitors are.
VCs love to see that customers are actually buying and using the product or service because it solves a real problem for them. They'll dig into metrics like customer signups, retention, and engagement.
The founders and employees are make-or-break. VCs want to see a strong, well-rounded team with the right experience, skills, and fire in the belly to make it happen. A proven track record is a big plus.
Hard data and numbers are everything. VCs will scrutinize things like revenue growth, customer acquisition costs, customer lifetime value, and other metrics that show whether the business can really scale up profitably.
How exactly is this company going to make money? VCs will analyze the revenue streams, costs, margins, and path to real profits.
Having an upper hand over rivals is key. VCs like proprietary tech, intellectual property, network effects, or other advantages that keep the company ahead.
At the end of the day, VCs need to cash out big through an IPO or acquisition. They'll gauge whether this startup could be an attractive buy for big players down the road.
They'll examine whether the asking valuation and investment terms are a fair deal that gives them enough ownership to make it worth their while.
Not all of these points will be relevant to our consideration of your opportunity, depending on the stage you are at and how much capital you are seeking to raise.
"Value added to a company is more than just money. UKI2S focuses on nurturing and adding value to innovative ideas that shape the future alongside investing in groundbreaking technology companies"
What makes an exceptional startup leader?
From founder to leader; Investment Director Oliver Sexton gives his two cents when it comes to transitioning from a founder into a leadership role – and what it takes to develop great leaders.
How can startups build a strong reputation?
How to position your brand; find one line that says it all. Richard Anderson, Managing Partner at Sciad Communications, explains how you can build an evidence-based reputation with your stakeholders.
UK startups and later stage fundraising
Establish a strong product-market fit and demonstrate accelerating growth to win later stage funding, advises Guy Levy-Yurista, PhD – CEO of Synthace, a digital experiment platform for life-science R&D.