Raising SEIS Funds: Lessons from Fuel Ventures Partner, Oli Hammond

When you’re a first-time founder, raising SEIS funding can feel like learning a new language. Between acronyms, term sheets, and the power dynamics of the investor meeting, it’s easy to get lost. That’s why conversations with investors like Oli Hammond, Partner at Fuel Ventures, are so valuable.

Fuel Ventures is one of the most active SEIS and EIS funds in the UK, with more than 200 investments since 2016. They back early-stage founders at the moment of highest uncertainty—when you’re still validating your MVP, building your first customer relationships, and testing whether your startup has the potential to scale.

In our interview with Oli, three big themes emerged: team quality, investor fit, and disciplined execution. Here’s what every founder should know before stepping into a conversation with SEIS investors.

1. Team Is Everything

If you ask Oli the first thing he looks for, he doesn’t hesitate: the team. Fuel has an unwritten rule: “Mediocre founders with a great idea don’t work.”

The idea might be strong, but if the founders don’t have resilience, clarity, and drive, competitors will overtake you. Early-stage investors back people, not just products.

Oli also challenges the romantic myth of the “hungry, desperate” founder. While many funds used to prefer entrepreneurs with everything on the line, he’s seen the opposite play out. Founders who have already achieved financial stability—through a previous exit or otherwise—often bring more resilience, more networks, and more focus. They’re not distracted by personal survival.

For SEIS founders, the lesson is clear: your personal qualities are the biggest filter. Energy, humility, and ability to focus will matter more than whether your MVP is perfect on day one.

2. Not All Startups Are VC-Able

Fuel Ventures has a broad mandate—marketplaces, SaaS, and platforms—but their investment model is built for power law outcomes. In plain English: they need one or two companies in their portfolio to deliver outlier, billion-pound exits.

That means not every great business is suitable for a venture capital journey. Oli stresses this distinction:

• VC funds need scalable businesses with potential to reach £100M+ in revenue.

• Angel investors can back strong, sustainable businesses that may never hit those heights but still generate excellent returns.

• Corporate venture arms are often looking for strategic solutions, not just financial outcomes.

Too many first-time founders waste months chasing funds that will never invest in them. Oli’s advice is sharp: “Know what you’re trying to achieve before you start fundraising. If you’re not building a £100M+ revenue business, VC is not the path – and that’s okay.”

This is where validation matters. If your MVP shows traction with early customers, ask yourself honestly: is this a billion-dollar market play, or is this a strong, profitable business that may be better suited to angel or crowdfunding routes?

3. The 8 Rules Every Founder Should Know

Over his nine years in venture capital, Oli has developed a personal playbook. Here are his 8 rules for founders:

1. No mediocre founders – strong ideas need strong operators.

2. References matter – past behaviour under pressure predicts the future.

3. 100% focus – no distractions, no side hustles.

4. Invest in products, not features – don’t build something that should be part of someone else’s roadmap.

5. Intense execution – drifting through iterations is a red flag.

6. Power law thinking – only back companies with billion-pound potential.

7. Discipline in metrics – even early-stage founders must understand CAC, payback, and what “great” looks like.

8. Move fast, but wisely – SaaS can “break things,” but healthcare, politics, and cybersecurity cannot.

These rules may sound tough, but they’re a gift. They tell you exactly what an institutional SEIS or seed investor is looking for.

4. How Fuel Supports Founders

Unlike some funds, Fuel no longer takes board seats. Instead, they hold observer rights, avoiding unnecessary friction for founders while still protecting investor interests.

Their value-add comes from the periphery: HR policies, hiring, option pools, and future fundraising prep. The goal is simple—free up founders’ time to spend with customers.

As Oli puts it, “Our job is not to be remarkable. Our job is to back people who are remarkable.”

5. What This Means for First-Time Founders

The SEIS journey is about more than just cash. It’s about finding investors whose model fits your ambition, whose rules align with your values, and whose support frees you to focus on what matters: customers, product validation, and growth.

If you’re preparing to raise, ask yourself three questions before you even book the pitch meeting:

1. Does my business model match a VC’s need for scale?

2. Am I 100% committed and able to show resilience under pressure?

3. Do I understand the difference between angels, SEIS funds, and VCs?

Answering these honestly will save you time, sharpen your pitch, and give you the best chance of building the kind of investor-founder partnership that Fuel Ventures embodies.

Final Word

For founders in London, Lisbon, Boston, Bangalore, or Singapore, the lesson is the same: SEIS funding isn’t just about raising capital—it’s about choosing the right journey.

As Oli reminds us, “Save yourself the time. Know who you want to speak to, and why.”

🚀 Call to Action
If you are looking to raise SEIS funds, check out our dedicated Fastrack program to help you achieve this in 8 to 12 weeks. The program includes insights from funders like Oli and founders who have successfully raised already.

https://www.canopy.community/store 

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