In celebration of International Women's Day, we are spotlighting the achievements of successful women who are not only excelling in their fields but also inspiring others to follow their paths. This article is part of a series dedicated to influential female entrepreneurs, recognising their contributions and empowering the next generation.

Emma Fau is a private investor, a member of BeAngels and a founder of EUcapital, an advisory firm based in Brussels that specialises in helping companies become investment-ready and securing finance.

Emma’s journey began at the Institutional department of Spanish Bank Banco Bilbao Vizcaya-Argentaria in Brussels, where she worked for over three years. Her career took a pivotal turn during her 12-year tenure at Invest Europe, the European private equity and venture capital association (formerly EVCA). It was here that Emma was profoundly inspired by the entrepreneurs and investors she encountered, sparking her own entrepreneurial and investment journey. In 2012, Emma founded EUcapital, and it has since provided its expertise to public and private organisations from more than 15 countries.

Emma’s investment portfolio began to take shape in 2016, focusing on startups across Belgium and her native Spain. To date, she has invested in 16 startups, including Meetoptics, Poseidona, TeamEQ, Cooling Photonics, and Shayp. Her commitment to fostering diversity in the entrepreneurial ecosystem is evident in her co-founding of Women Angels for STEAM (WA4STEAM) in 2018, a women angel network dedicated to investing in women in the fields of Science, Technology, Engineering, Arts, and Mathematics.

We asked Emma some questions to reflect on her entrepreneurial journey and share some tips for budding entrepreneurs.

What do you look for when deciding to invest in a startup and/or other businesses?

In the competitive arena of business investments, I look for dynamic companies powered by robust teams that possess the necessary expertise and experience to drive progress. The core of my interest lies in firms that not only have a clear and passionate vision but also demonstrate a palpable commitment to their mission. Central to my investment decision is the company's leadership; a strong and fervent CEO is crucial—without conviction in the CEO's passion and strength, I simply don't invest.

I'm drawn to innovative and scalable businesses that resonate with my ethos and align with my values. These include ventures that enhance the quality of life or promote more efficient use of natural resources, such as water and algae, reflecting a harmonious blend of innovation with sustainability.

What common mistakes do early-stage entrepreneurs make when seeking funding?

1. Relying too heavily on external funding. An excessive dependence can pose significant risks, as it overlooks the potential of bootstrapping or internal funding sources. Startups must explore all funding options to avoid being tethered solely to external investors.
2. Underestimating financial requirements. The initial startup phase is just the beginning; sustaining operations until reaching the next developmental milestone often requires more capital than anticipated, leaving many ventures vulnerable.
3. Follow-up with potential investors is not just a courtesy—it's a crucial strategy. Regular updates and active engagement can transform tentative interest into firm financial commitments, demonstrating the entrepreneur's dedication and maintaining the project's momentum. This oversight is especially prevalent among early-stage entrepreneurs and can be a critical misstep in securing necessary funding.

How do you see the European Commission (EC) funding complementing private investment? What is the impact of EC-supported initiatives?

EC funding frequently zones in on ventures brimming with potential yet tinged with high risks, such as nascent technologies or projects poised to yield long-term societal rewards. By offering a financial cushion, EC funding acts as a critical counterpart to private investment, effectively de-risking these fledgling initiatives. This strategic support makes such projects increasingly appealing to private investors.

Through grants for research, prototyping, and testing, the EC equips businesses with the essential tools to cultivate new technologies and concepts. This infusion of capital and confidence minimises technical and financial uncertainties, encouraging private investment and accelerating innovation growth once feasibility is established. The overarching impact of EC funding is a significant acceleration of innovation across vital sectors, such as renewable energy, digital transformation, and health. This is instrumental in bolstering Europe’s competitive edge on the global stage.

What advice do you have for entrepreneurs navigating the funding landscape?

Focusing on sales and customer acquisition is paramount. Demonstrating traction can significantly boost your appeal to potential investors should you opt for external funding.

Be thorough in exploring every funding avenue. For public funds, enlist the expertise of professionals who can aid in crafting a compelling proposal, thereby enhancing your chances of securing these funds. It's crucial, however, to maintain a firm grasp on your proposal's details.

When considering private investors, diligence is key: research investors within your sector, understand their investment thesis, and ensure their values and strategies resonate with your own. Aligning with the wrong investors can lead to conflicts, so leverage your existing network for introductions where possible.

Additionally, for women entrepreneurs, I recommend broadening your network and pinpointing those investors—be they venture capitalists or business angel groups—who are now increasingly focusing on initiatives led by women. While investment in women-led enterprises is still modest, a growing number of investors are keen to back women entrepreneurs. Identify these investors, reach out, and make your pitch compelling.

Why is it important to have more women in investment and entrepreneurship?

Promoting diversity within the entrepreneurial ecosystem is not just about equity; it's a strategic advantage that fuels innovation. A diverse array of voices leads to more creative problem-solving and a richer variety of solutions to societal challenges—crucial elements for breakthroughs in business and investment.

Interestingly, female investors are often more inclined to back female entrepreneurs. Thus, increasing the number of women investors could naturally boost the volume of investments flowing to women-led ventures. Supporting women entrepreneurs not only facilitates their current business successes but also cultivates a growing pool of future investors. These accomplished women are likely to pay it forward, leveraging their entrepreneurial experience, know-how, and networks to empower the upcoming innovators and enriching the ecosystem with diverse perspectives essential for ongoing innovation and growth.