In our latest Meet The Investor series, we had the pleasure of speaking with Hailey Eustace, the visionary behind Commplicated and now a dedicated DeepTech angel investor. With a genuine passion for collaborating with companies and founders she truly trusts, Hailey opens up about her journey from entrepreneur to investor. She shares insights into the distinctive challenges and opportunities in deeptech, the key traits she values in founders, and her thoughts on cultivating meaningful partnerships between startups and investors.
What led you to become an angel investor?
About a decade ago, I dove into the world of deeptech venture capital in the US, and I found it incredibly rewarding. Since then, I’ve continued to immerse myself in the deeptech sector, spending five years at a neurotech startup in Cambridge and aiding in its growth from pre-seed to series A+.
Fast forward to two years ago, I founded Commplicated and embraced deeptech angel investing. I wanted to play a more significant role in this ecosystem and put my convictions into action. I often claimed to care deeply about deeptech, and investing in it was the most impactful way to foster its growth. Becoming an angel investor allowed me the flexibility to support founders and companies I wholeheartedly believed in.
Which sectors or new investment opportunities are capturing your interest right now?
I am particularly drawn to women’s health—it’s an area I wholeheartedly support and recognize as a burgeoning growth sector. There’s immense potential here, considering it involves 50% of the global population.
Additionally, I’m fascinated by deeptech ventures with both medium- and long-term applications. By this, I mean those with a strategy for short to medium-term commercialization that aligns with and advances their long-term vision.
What are the essential elements for building a strong bond between investors and founders?
Authenticity on both ends is crucial, along with genuine listening and respect for one another. These relationships are long-term, so starting them on a foundation of honesty and understanding is imperative.
What common misconceptions do founders have about fundraising, and how can they better prepare?
A lot of founders jump into the fundraising process too soon, following advice to establish relationships with VCs early on. Yet, approaching a VC prematurely can deem you unprepared and even make you ‘not relevant’ for their fund.
My advice? Start gearing up for your fundraising efforts about six months before you intend to approach VCs. An upfront preparation can significantly accelerate your funding process.
What are the decisive factors you consider when backing startups, and have these evolved over the years?
My interests have definitely narrowed with time—much like dating. Initially, you’re unsure what suits you, but experience brings clarity.
One constant, however, is the caliber of the founders. They must be outstanding, technically adept, and among the top in their field. Additionally, a commercial mindset is non-negotiable; I steer clear of projects focusing solely on tech without considering the market, the customer, or the commercialization strategy. The lack of commercial consideration is a definite red flag.
Why does deeptech represent such a promising investment opportunity to you?
Deeptech excites me because it has the potential to truly transform the world. This potential not only represents incredible opportunity but also the promise of significant returns.
Can you recount a time when an unforeseen challenge impacted your investment decision? What did you learn?
I encountered a startup that had gone through an accelerator, with one founder generating the IP and the other managing the business side. After a fallout, the founder who developed the IP managed to retain it and sought to raise funds, which initially deterred other investors.
I saw this resilience as a positive: a founder capable of navigating a challenging situation and aiming to rebuild signifies tenacity. This startup eventually attracted multiple VC investments and has since thrived.
How do you evaluate the impact of an investment beyond financial gains, and does social responsibility factor into your strategy?
While impact isn’t the sole factor, deeptech that addresses genuine global issues tends to have a positive societal effect. That’s one reason I am so dedicated to it.
As market conditions and economic trends shift, how do you balance risk and identify promising startups?
Echoing Peter Drucker, the best way to foresee the future is to create it. Deeptech is forging new categories and societal impacts; as an angel investor, embracing some risk is essential. Staying grounded in fundamentals—like solving real-world problems and having a stellar founding team—helps navigate uncertainties.
If you could give one piece of advice to young startups, what would it be?
Trust your vision and intuition—building a business for someone else’s expectations rarely yields success. You know your domain and business better than anyone. Investors should align with you, or they’re simply not the right fit.
How can the new Government boost the UK’s startup ecosystem?
Some great initiatives, like the Invest in Women Taskforce, have been carried over by the new government. It’s crucial to keep promoting transparency in funding to reduce biases, particularly in public funding. Supporting university research through funding and development programs is vital at the early stages, along with fostering stronger funding environments for later growth phases.
Looking for investment opportunities? Join us at the angel investment network, where investors globally connect with tomorrow’s promising businesses.
