Itxaso del Palacio is an early stage investor at EC1 Capital and a Teaching Fellow in Entrepreneurship at UCL. She is now based in London, but for the last seven years, Itxaso has worked with startups in London, Silicon Valley, Spain and Latino America. She is a prestigious Kauffman Fellow and she is very well connected to the global network of fellow investors . Itxaso is a runner and a qualified spinning instructor, and she is interested in the way wearables and digital products are helping people get involved in sports, be healthier, more productive and happier. 

 Itxaso will participate in IE Venture Day Lisbon on July 10. You can watch her live in the following link: 

http://ustre.am/1fhG1

​ ​​Can you give us an example of one of you successful investments: what were the criteria that made it a ‘sweet spot’ to enter and what made it a good investment?

EC1 Capital started investing 2.5 years ago. We invest in seed and early stage companies. Due the short life of the investments none of our companies has exited. However, we do have some companies in the portfolio that are preforming successfully. Some of the outperforming companies are Toothpick and Truly. Toothpick provides booking systems to dental practices. Truly is an online shop for luxury experiences. Both companies have strong founders, who understand the markets in which they operate. In such early stage startups, founders and employees are critical. We look for founders who have experience working in the market they are operating, they know the stakeholders and who have been able to build traction with very limited resources.

Do you think Portugal can have an edge in any specific areas of investment?

Portugal is well positioned to reach both European countries as well as other Portuguese speaking countries. Brazil is a vast market and is less competitive than the UK or US so it might be an interesting opportunity for Portuguese entrepreneurs.

What are the tips you can give IE young entrepreneurs when searching for investors?​

My advice to entrepreneurs that go abroad to raise money is that they should «learn the rules of the game before start playing». Entrepreneurs raising money need to know what would make their company different and unique for an investor. Understanding the startup ecosystem is also important. It is about benchmarking traction expected, growth potential and valuations expected in a certain location. In Europe entrepreneurs compete with each other to raise money from the best investors. They need to be able to offer the best opportunity to investors in terms of team, market and growth potential and price. In Silicon Valley, the situation is different. Investors compete to get the best deals so entrepreneurs can increase valuations.

​Interviewed by Nir Hindi (Twitter: @nirhindi)​