Clemente Francavilla

Investment Manager and Investment Committee at Plug and Play

About the Expert

Clemente Francavilla is a member of the Ventures & Investments Team at Plug and Play, one of the world's largest innovation platforms and early-stage venture capital firms. With experience across investment funds in both Europe and the United States, Clemente has spent the last several years evaluating high-growth startups and helping founders scale their businesses.

At Plug and Play, he has worked across multiple regions, including Central and Eastern Europe, the Middle East, and the Western Balkans, where he focuses on identifying promising technology startups and supporting the growth of emerging innovation ecosystems.

What do investors really look for in AI startups?

Building an AI product is no longer enough to attract investors. In this conversation, Clemente Francavilla explains what separates successful AI startups from those that struggle to raise funding.

Drawing on his experience evaluating hundreds of startups, he shares what venture capital investors expect to see beyond the AI buzzword—from real market demand and product-market fit to customer traction and scalable business models.

The biggest mistakes founders make when pitching investors

According to Clemente, one of the most common mistakes founders make is pitching a product instead of a business. While innovative technology is important, investors ultimately want to understand how a company solves a meaningful problem and creates long-term value.

He also explains why founders should acknowledge their competition instead of ignoring it. Demonstrating a clear understanding of the market—and explaining why your solution is different—is often far more convincing than claiming to have no competitors.

Where AI will create the biggest opportunities

Looking ahead, Clemente believes AI will continue transforming industries where automation, efficiency, and better decision-making can generate significant value.

Among the sectors with the greatest potential are healthtech, edtech, fintech, and cybersecurity, where AI is already reducing costs, improving operations, and creating entirely new business opportunities.

Why Central and Eastern Europe is becoming a startup hotspot

Clemente sees enormous potential in the startup ecosystems of Central and Eastern Europe and the Western Balkans. Strong engineering talent, ambitious founders, and increasing government support are creating the foundations for long-term innovation.

While the region has not yet produced many locally headquartered unicorns, he believes this is largely due to the ecosystem's relative youth. As access to funding improves and local startup communities continue to mature, he expects many more globally successful companies to emerge.

Forget perfection—focus on product-market fit

One of Clemente's strongest pieces of advice for founders is to launch early rather than waiting for a perfect product.

Instead of spending months or years building features, entrepreneurs should validate that a real market exists, gather customer feedback, and iterate quickly. Product-market fit, customer demand, and traction matter far more than polished features that nobody actually needs.

Adaptability is the ultimate AI skill

As AI evolves at an incredible pace, Clemente believes the most valuable skill for professionals and entrepreneurs is adaptability.

New AI solutions emerge almost daily, making products and business models obsolete faster than ever before. Those who continuously learn, adapt, and respond quickly to changing technologies will be best positioned to succeed in the AI economy.

🎥 ## Watch the full interview with Clemente Francavilla and learn what investors are really looking for in AI startups, why product-market fit matters more than perfection, and how founders can build companies that stand out in a rapidly evolving market.

🌐 ## Explore Kampster AI – the platform for AI education, knowledge testing, and online learning – and develop the skills needed to build, innovate, and succeed in the age of AI.

Linkedin: https://www.linkedin.com/in/clementefrancavilla/

Follow Clemente Francavilla on:

More interviews

Luca Berton

Luca Berton

AI & Cloud Advisor, Former Vice President of Infrastructure at JPMorgan Chase & Co.

Neil Tan

Neil Tan

Founder and Chairman of AI Hong Kong, Managing Partner of Tsunami Advisors

Wes Royer

Wes Royer

Vice President of Project Management, Clarivate, Virginia USA, A product, software...