The Future of Startups: Insights from Kim Perell at South Summit Madrid
By Arjay L. Balinbin, Associate Editor
MADRID — As artificial intelligence (AI) continues to dominate discussions in the tech sector, seasoned investor and entrepreneur Kim Perell emphasizes that the core principles guiding startup investments remain unchanged. During a media roundtable at the South Summit Madrid 2026, co-organized by IE University, Perell shared her insights on what investors are truly looking for in emerging startups.
The Fundamentals of Investment
Perell, the founder and CEO of 100.co, an investment and brand-building company, highlighted that despite the buzz around AI, investors still prioritize fundamental aspects when evaluating startups. “I look at how big the market is. I also look at the team,” she stated. This focus on market opportunity, management teams, differentiation, and scalability is crucial for any startup seeking investment.
She stressed that entrepreneurs should not lose sight of these business fundamentals. “What you’re building should have unique differentiation and scale,” she advised, underscoring the importance of a well-defined value proposition.
Adapting to Market Changes
When asked about advice for founders in emerging startup ecosystems, such as the Philippines, Perell emphasized the need for adaptability. “I think the advice for every founder is to start,” she said. “And be okay to pivot.”
She provided compelling examples of successful companies that thrived after changing their original concepts. YouTube, for instance, began as a video-dating platform before evolving into the world’s largest video-sharing site. Similarly, the social media platform X, formerly known as Twitter, originated from Odeo, a podcasting startup that pivoted when Apple entered the podcasting market.
“Being flexible and agile to move with the market is essential,” she noted, encouraging founders to remain open to change.
The Importance of Mentorship
Perell also highlighted the critical role of mentorship in the entrepreneurial journey. Reflecting on her early years, she admitted, “I made the mistake of thinking I could do it alone, and I couldn’t.” She urged founders to seek guidance from experienced entrepreneurs and investors, stating that mentors can help startups avoid common pitfalls and accelerate growth.
“Finding great mentors is key to your success, no matter what country you’re in,” she said, reinforcing the universal value of mentorship in entrepreneurship.
The Asian Startup Landscape
Perell’s remarks come at a time when entrepreneurs from emerging markets are striving for greater visibility in the global startup ecosystem. María Benjumea, founder and President of South Summit, noted that Asia remains a powerhouse of innovation, producing increasingly sophisticated technologies and startups.
“Asia is incredibly strong. The technology coming out of the region is impressive,” she remarked. Benjumea encouraged startups from Asia to expand beyond their domestic markets and strengthen connections with international investors and entrepreneurial networks. “What is important is helping startups gain visibility and become part of the global ecosystem,” she added.
Celebrating Innovation: The South Summit Startup Competition
This year’s South Summit Startup Competition featured four standout startups from Asia among the Top 100 finalists: South Korea’s HISTRANGER, Singapore-based Omnishelf, Ailytics, and Peris.ai. The broader Middle East was represented by Turkey’s OneNewOne and Israel’s Tissue Dynamics, showcasing the diverse talent emerging from these regions.
Government Support for Startups
Spain’s Minister for Digital Transformation and Public Service, Óscar López, emphasized the importance of policy support in strengthening startup ecosystems. He outlined three key areas for countries looking to replicate Spain’s success as a leading startup hub: startup-friendly taxation, supportive regulation, and public investment.
“First of all, taxation. Second, we created a good regulatory framework,” he explained. López noted that Spain’s startup law has fostered a favorable environment for entrepreneurs and investors, while government support has accelerated the growth of new businesses.
However, he cautioned against relying solely on tax incentives. “If you reduce taxes to generate more investment, that’s going to generate more growth,” he said, highlighting the need for a comprehensive approach to fostering entrepreneurship.
A Vision for the Future
Looking ahead, López shared that Spain’s digital transformation strategy goes beyond startup policies, encompassing investments in education and digital infrastructure. “It is not only a question of attracting startups,” he said, emphasizing that Spain’s future competitiveness hinges on innovation and education.
“We’ve invested hundreds of millions of euros in infrastructure,” he concluded, pointing to the multifaceted approach required to cultivate a thriving startup ecosystem.
The insights shared at South Summit Madrid reflect a dynamic landscape where adaptability, mentorship, and supportive policies play crucial roles in the success of startups. As entrepreneurs navigate this evolving environment, the lessons from seasoned investors like Kim Perell will undoubtedly guide them toward sustainable growth and innovation.
