If your startup can’t clearly explain the problem it solves, don’t expect capital to solve it for you. In this episode of Scouting for Growth, Sabine VanderLinden sits down with Simon Schneider, Founding Partner at Neoteq Ventures, to unpack what early-stage investors really look for — and what founders often overlook. Simon entered venture capital in 2001 by fortunate coincidence. A legal background and curiosity about contracts led him into a world that, two decades later, still fascinates him: working with founders who believe they can change industries. But fascination does not replace discipline. For Neoteq, three pillars anchor every investment decision: Market Team Technology Yet everything starts with one deceptively simple question: What customer problem are you solving? Many founders struggle to articulate it clearly. If the problem isn’t precise, demand won’t materialize. Simon is equally clear about financial expectations. Neoteq is financially driven. Each portfolio company must have the potential to return the entire fund. If that upside isn’t visible, the investment case weakens — regardless of how compelling the narrative sounds. Market cycles are shifting. Access to later-stage capital is tightening. Valuations are adjusting. Exit timelines may extend. But seasoned VCs understand that liquidity events often take 5–7 years or longer. The venture market doesn’t freeze; it recalibrates. Interestingly, startups born in crises often outperform those launched in boom periods. Constraint sharpens focus. Discipline improves capital efficiency. One of the most valuable parts of the conversation focuses on corporate partnerships. Corporate VCs frequently seek strategic privileges — early access to products, exclusivity clauses, or preferential rights. Simon strongly cautions founders against accepting misaligned terms. Corporations change strategy quickly. If your startup becomes non-core overnight, restrictive agreements can limit future partnerships or exits. Alignment must be defined clearly from day one. Evaluation workshops, shared goals, measurable outcomes — without these, conversations should stop. Strategic returns may complement financial returns. But financial viability must stand independently. Simon also sees significant opportunity in climate tech and sustainability — sectors where market relevance intersects with long-term global necessity. This episode is essential listening for: Founders raising pre-seed to Series A rounds Startups negotiating with Corporate VCs Early-stage investors assessing market shifts Insurance innovators exploring CleanTech adjacencies Because venture is not about short-term validation. It’s about disciplined patience. The big question isn’t whether capital is available. It’s whether your business fundamentals justify it. And in uncertain markets, clarity beats charisma — every time.