TAM, Team, Traction: What Top Investors Really Want to See Sandeep Bakshi of Prosus Ventures shares what makes early-stage start-ups stand out, how to turn a "no" into a long-term relationship - and why robotics and decision intelligence are catching his eye.
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As Head of European Investments at Prosus Ventures, Sandeep Bakshi spends his time scanning the horizon for the next breakout company - often in its earliest, most fragile form. For founders looking to raise, his advice is refreshingly focused: nail your Total Addressable Market, build a standout team, and show real signs of traction. In this interview, Bakshi unpacks how to approach funding conversations, how to handle rejection without closing the door, and what sectors - from robotics to procurement tech - have him most excited in 2025.
What are the top three things founders should focus on when preparing to raise their first round of funding?
It really depends on the stage you are raising at, but for the stage we typically invest in, I advise founders to concentrate on three things: Total Addressable Market (TAM), team, and traction. First, clearly define your Total Addressable Market (TAM). This is critical for investors to assess whether the opportunity is large enough to support a scalable and sustainable. Second, focus on your team. It may seem obvious, but we look for strong founding teams who share one unified vision, with varied but complementary skill sets, and the ability to attract top talent. Finally, even at the earliest stages, you need to demonstrate traction. This doesn't have to be revenue, but there needs to be some indication that your solution is resonating with those in that market – whether early pilots, user engagement, or even strong waitlist demand.
When evaluating early-stage start-ups, what key factors do you prioritize?
It really comes back to the same three areas: TAM, team, and traction. An incredible team tackling a market that's too small won't scale, and even the best solution is unlikely to succeed without a strong team or early signs that customers truly love it and are willing to pay for it. However, startups that do excel in these three areas, are the ones that truly stand out.
How should founders handle a "no" from an investor? What's the best way to build long-term relationships, even if they don't secure investment straight away?
Fundraising should always be about relationship-building. The reality is that investors say 'no' far more often than they say 'yes', but a rejection doesn't have to be the end of the relationship.
Use these moments as opportunities. Pay attention to those investors that provide thoughtful feedback, even when declining. That's a good sign of the kind of partner they might be in the future, and I would recommend staying in touch by sharing periodic updates when you hit new milestones. This helps nurture the relationship and keeps you on their radar for future opportunities.
What start-up sector or trend excites you the most at the moment, and why?
I am particularly excited about robotics, especially the integration of AI to build a digital brain for machines. Giving robots adaptive intelligence has the potential to transform industries from manufacturing to healthcare.
On the flip side, I'm also interested in exploring sectors that are insulated from AI i.e. areas where human judgment or physical presence will remain critical. Understanding which industries will be augmented by AI versus those that will remain fundamentally human is going to be a critical discussion over the next decade.
Which three start-ups that you funded this year excite you the most - and why?
While I'm genuinely excited about every company we back – otherwise, we wouldn't invest! Three standouts this year are Omnea, Cusp.ai, and Taktile.
First, Omnea is reimagining procurement for large enterprises, bringing efficiency and intelligence to a space that has been slow to change.
Second, Cusp.ai, is a frontier AI company comprised of world-class researchers in AI, chemistry and engineering, developing a generative AI platform for breakthrough materials discovery to power human progress.
Lastly, Taktile is transforming how companies make automated decisions at scale, particularly in financial services. Their platform enables businesses to test and deploy decision strategies with confidence and greater speed, helping to unlock growth potential for that business.
