At Female Founder Collective’s The 10th House, we focus on helping founders build businesses that are not only compelling to customers, but credible to investors. Because the reality is, most founders don’t struggle to come up with ideas—they struggle to understand what actually makes those ideas fundable.
In our conversation with Cristina Nuñez, Co-Founder of True Beauty Ventures, we explored exactly how investors evaluate early-stage consumer brands, what separates the few that get funded from the thousands that don’t, and why the founder themselves is often the most important signal in the room.
Cristina brings a rare, full-spectrum perspective to investing. Her background spans investment banking at UBS, operating roles inside beauty brands, private equity, and now venture—giving her a deep understanding of both the numbers behind a business and the realities of building one day-to-day. That combination shows up clearly in how she evaluates founders: not just on potential, but on their ability to execute in the real world.
After reviewing more than 5,000 brands and investing in less than 1%, her perspective is clear—fundable brands aren’t just well-positioned. They’re well-built.
One of the biggest misconceptions founders have is that fundraising is about the pitch.
Cristina made it clear that it’s not. By the time a pitch happens, most of the real signals are already there—and investors are trained to spot them quickly.
In fact, the first few minutes of a conversation or deck review are often enough to determine whether something is worth pursuing further. That doesn’t mean investors are making final decisions instantly, but it does mean clarity matters more than complexity. If a brand can’t be understood quickly—what it is, who it’s for, and why it matters—it becomes difficult to build conviction.
But beyond the brand itself, the founder is always under evaluation.
At the earliest stages, Cristina emphasized that the founder and the brand are essentially inseparable. The vision, the energy, the decision-making, and the ability to adapt all come directly from that individual. What she’s really assessing is whether the founder has both conviction and coachability—someone who knows what they’re building, but is also open to refining it.
She often frames this through “founder superpowers.” Some founders are brand visionaries, others are product experts, operators, or natural demand generators. Very few are everything at once, and that’s okay. What matters is knowing where your strengths lie and how you plan to fill the gaps.
While founder quality is critical, Cristina was equally clear that strong fundamentals matter—and that starts with the numbers.
One of the first metrics she looks at is gross margin. In beauty, the expectation is typically around 70% or higher, depending on the category. It’s not just a financial benchmark—it’s a structural one. Strong margins create flexibility: the ability to invest in marketing, hire a team, and grow sustainably. Weak margins, on the other hand, create pressure. They force founders to rely more heavily on external capital and limit their ability to scale efficiently.
Retention is another major signal.
A single purchase doesn’t prove much. But repeat purchases tell a very different story. Cristina described it simply: a good product gets you one sale, a great product brings customers back, and an exceptional product builds long-term loyalty. That repeat behavior is often the clearest indication of product-market fit—and one of the strongest signals an investor can see.
She also highlighted the importance of efficiency, particularly when it comes to marketing. Growth alone isn’t enough. Investors want to understand how that growth is being achieved. Metrics like LTV to CAC help paint that picture, but even beyond specific ratios, the underlying question remains the same: are you building a business that can grow sustainably, or one that relies on constant spending to maintain momentum?
Timing was another area where Cristina offered clear guidance.
There’s no universal rule for when a founder should raise capital, but there is one principle she emphasized strongly: don’t wait until you need it.
The most challenging position a founder can be in is raising from a place of urgency. Investors want to fund momentum, not rescue situations. The strongest time to raise is when there’s already some form of traction—proof that something is working, even if it’s early.
That proof doesn’t have to be massive.
Cristina shared an example of a founder who launched with just $50,000 and minimal data, but demonstrated enough early traction and execution to earn investment. The takeaway wasn’t about the size of the business—it was about the clarity of signal. Even small wins, when they’re real and consistent, can build a compelling case.
She also stressed the importance of discipline once capital is raised. Every dollar should be intentional. Founders who treat capital as a resource to manage—rather than something to spend—are far better positioned to extend runway and hit meaningful milestones before their next raise.
Even though the business matters more than the pitch, the pitch still matters.
Cristina pointed out that a deck is often the first real representation of a founder’s thinking. Within the first 20 seconds, an investor should understand exactly what the brand is. If they have to search for it, you’ve already lost momentum.
Beyond clarity, alignment is key. The narrative and the financials need to tell the same story. If the vision is ambitious but the numbers don’t support it—or if projections feel disconnected from reality—it creates doubt.
And just as importantly, the deck should reflect the brand itself. If you’re building a highly considered, design-forward product but your presentation feels generic or rushed, it signals a lack of cohesion. Investors are paying attention to those details.
What became clear throughout this conversation is that fundability isn’t something you manufacture at the moment you decide to raise.
It’s something you build over time.
The brands that stand out are the ones that combine strong fundamentals with real-world execution. They understand their numbers, they show proof of demand, and they’re led by founders who can both drive the vision and adapt as the business evolves.
For early-stage founders, that’s the real focus.
Not just building something that looks good on paper—but building something that actually works.
If you want access to more conversations like this—plus the frameworks, resources, and community to help you build a fundable brand—head inside The 10th House.
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