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English//2 min read/published

Startup Investing After Theranos

The next generation of startup investing needs technical judgment, founder proximity and hands-on due diligence.

Ethical TechnologyVCStartupsInvesting

Pillar guide

Fundraising & Investment

Fundraising strategy, venture capital, investor behavior, and capital allocation.

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Source note: Originally written and published in English by Alex Lindholm.Source: Alex Lindholm
Portrait of Alex Lindholm for Startup Investing After Theranos

Elizabeth Holmes.
The name became a symbol.
And still causes a small shiver among private investors 😅

Because every investor secretly asks themselves the same question:
"What if I'm looking at the next Theranos right now?"

Funny thing – Holmes wasn't funded because investors moved too fast.
She was funded because too many people in the room had impressive titles... and too few had the ability to evaluate the technology itself.

That part matters.
Because startup investing is not only finance.
It's product.
It's technology.
It's ethics.
It's human psychology.
Is the founder a trustworthy person? Do they put their skin in the game or not?

And honestly, this is where I see a big divergence emerging between the US and Europe.
America keeps optimizing for bigger funds, bigger rounds, bigger outcomes. Guys, the planet is limited!

Europe is slowly experimenting with something else:
more founder proximity,
more domain experts,
more practitioners,
more stakeholder capitalism.

Less:
"Can this become a $100B company?"

More:
"Does this solve a real problem and can it survive?"
"Will local communities accept it?"

The next generation of startup investing will not be built by people reading decks from offices.
It will be built by people willing to meet founders in real life.
See the product. Touch it.
Talk to customers.
Learn.
Understand the technology.
Shake hands.
And yes, perform due diligence on the founder as a human being.
Not only on the spreadsheet.

Private capital especially should pay attention.
Because many family offices, entrepreneurs and private investors are now entering venture without startup experience.
And ironically, they are often more exposed to the next Elizabeth Holmes than experienced operators.

My conclusion is simple:
Both VCs and private investors increasingly need hands-on accelerators and venture operators around them.
People who see founders every day.
Who test products.
Who talk to customers.
Who understand technology.
Who can bridge the gap between capital and reality.

That's exactly why organizations like InspireXchange exist.
Not just to help founders.
But to help investors stay connected to what is actually happening on the ground.

If you're private capital and want to understand startups before writing checks, meet real founders, explore innovation, and maybe add something genuinely future-proof to your portfolio...

Check out our deal room for the actual opportunities.

The next big opportunity for YOUR business can be built just here, and… without you.

#VC #startups #investing