LEVEL UP outlines the 10 commandments of fundraising

“Fundraising is like a religion,” Jacqueline van den Ende told the audience at LEVEL UP 2026 on Monday. “And in that religion, VCs are like God, and we founders are just mere mortals.”

Speaking candidly from her unique perspective as both an entrepreneur and a seasoned investor, the co-founder and CEO of Amsterdam-based climate investment platform Carbon Equity stripped away the mystique surrounding venture capital. From accidentally landing in private equity at HAL Investments, to scaling Lamudi and a fintech giant in the Philippines, to becoming a partner at Peak Capital, Van den Ende has sat on every side of the deal table.

When she founded Carbon Equity - now channelling over half a billion euros into transformative climate technology - she experienced firsthand that fundraising is not a victory lap; it is a discipline. Drawing from her own successes, close calls, and painful lessons, Van den Ende outlined the 10 Commandments of Fundraising every founder needs to hear.

1. Raise only when truly necessary

Founders often fall into the trap of believing they must raise venture capital simply because “that is what startups do.” Raising prematurely, however, carries two steep penalties:

• It is brutally expensive: Early rounds require parting with substantial equity at lower valuations. Carbon Equity gave away 25% in its seed phase, leaving the team with less than 50% by Series A.
• It breeds indiscipline: Companies flush with cash burn through it within 12 to 24 months on premature hiring, marketing, and expansion.

Venture capital should not fund the search for product-market fit; it should only fund scale once the market is actively pulling the product out of your hands.

2. Find the right form of finance

Venture capitalists are not gods; they are simply “bankers in Patagonia vests.” VC is an instrument designed purely for high-risk, exponential unicorn upside. If you run a steady cash-flowing enterprise, need patient multi-decade capital, or run a deep-tech moonshot, traditional VC may be the wrong tool. Look across the full capital stack: industry angels, family offices, venture debt, and government grants. "Capital has no hierarchy of coolness."

3. Start close to home

When looking for your earliest backers, start in your immediate circle. Early on, investors don't have operational track records or hard metrics to evaluate, only your credibility as a founder. Proximity and proof are inversely related: early on, turn to trusted local connections and domain experts who know your integrity. The farther out you pitch, the more concrete proof you must bring.

4. Be selective, not just selectable

Founders frequently assume the passive posture of a job applicant hoping to get picked. Van den Ende urges founders to reverse the dynamic: pitch the investors you genuinely want to partner with. A great investor acts as a force multiplier: opening doors, advising through crises, and championing your brand. A bad investor introduces governance friction and imposes destructive terms the moment growth wobbles.

5. Understand the psychology of venture capital

To win over a VC, you must grasp the math governing their fund: the power law. In a standard venture portfolio, roughly 65% of companies fail or return less than invested capital, while just 6% generate 60% of total fund returns. VCs are not looking for steady, safe bets; they need fund returners capable of delivering a 10x or greater outcome. Frame your pitch around uncapped opportunity and massive market upside rather than modest downside protection.

Jacqueline van den Ende, Carbon Equity at LEVEL UP 2026, © Bram Saeys

6. Raise enough runway (and guard your cash)

A staggering 44% of startups die simply because they run out of money. With average fundraising processes stretching to nine months, raising an 18-month runway means you are effectively back in pitch decks nine months in. Target two to three years of runway, especially in deep-tech sectors. Plan for the worst-case scenario and manage your cash burn with ruthless discipline.

7. Thou shalt not be greedy on valuation

Chasing peak valuations during market hype cycles often boomerangs. A hyper-inflated valuation sets staggering milestones for the next round. If you raise at a €20 million valuation, the market expects you to deliver a €40 million to €200 million milestone trajectory next. If the macroeconomic climate chills, you risk devastating down-rounds or punitive liquidation preferences. Optimise for a fair, sustainable valuation that allows room to grow into your next stage.

8. Build relationships early

Never start relationship-building on the day you open your round. VCs rarely invest in a cold interaction; "they invest in lines, not dots". Keep relevant investors updated years in advance through investor newsletters, periodic advisory check-ins, and casual soundboards. When you finally ask for capital, trust has already matured.

9. Run a tight, competitive process

Venture capital decisions are heavily propelled by a very human trait: FOMO (Fear Of Missing Out). Never run a rolling, informal fundraising process where investors can sit on their hands. Prepare your data room, pitch collateral, and market analyses in advance. Approach your target list simultaneously and set rigid timelines to create authentic urgency and competitive tension between funds.

10. Marry wisely: Remember, it’s your company

The average founder-VC relationship outlasts the average marriage. Always run extensive backchannel reference calls on potential board members to discover how they behave during down-cycles.

Most importantly, Van den Ende said, don't view fundraising as begging for permission to build. "Why am I trying to sell my company?" Van den Ende recalled asking herself during an exhausting fundraising stretch. "Funding is only a means to an end." You hold the reins of your business; choose partners who share your long-term vision, and when evaluating potential matches, use a simple filter: if it isn't an enthusiastic "hell yes," it's a no.