Community Exits: Real Stories and Lessons Learned

Raising an investment round is not just about raising money. It's about taking the leap. It is to go from a validated idea to a bet to grow. And although from the outside it may seem like a logical sequence (pitch → investors → money → expansion), inside it is experienced as an emotional roller coaster.

In Tetuan Valley we have accompanied dozens of entrepreneurs on their way to funding. And some of them have not only raised capital: they have reached the exit, that stage often idealized, but rarely told frankly.

In this blog we collect the honest and unvarnished stories of three founders who have lived through this process:

• Daniel Seijowho sold Diariomotor after years of profitability and a clear vision of his own entrepreneurial cycle.

• Carlota Corzoco-founder of Lazzaro, who after the sale embarked on a new phase as a venture builder with Innovaslab.

• Sergio Díaz-Miguelwho led Teltoo from R&D to acquisition, after validating its technology at global events.

In this blog we share authentic testimonials from tech startup founders who have successfully sold their startups. They answer with closeness and honesty to key questions about their learnings, mistakes and decisive moments during the sale process.

Because behind every exit, there is a story. And here we tell you some of them.

Daniel SeijoCo-Founder of Diariomotor

1) When you look back, what really made the difference in getting to that exit?

"It wasn't something that was sought after, it was options that came up along the way. In general, the negotiating position is usually better when they come after you than when you seek it out. A large group approached us and we saw that it was time to move on. As soon as we saw it was serious, we contacted other potential buyers to generate interest and have a better negotiating position. 

In any case, the moment of sale is like a test: you have to get it right, and you have room to shine or screw up, but to a large extent your previous work determines the outcome.

Diariomotor was not a typical startup exit. It was a profitable company with many years behind it, so selling it was a good idea, but not selling it would also have been a good idea. 

I believe there is no magic formula for an exit, or rather for arriving at the right circumstance to make it happen. I believe that talent and our circumstances, including luck, determine what we do and how we do it. I used to say that there is no such thing as free will, but I've found that it's much better to say that we have to trust life, it will lead us down the paths we need to learn."

2) After the exit, how has your approach to entrepreneurship or involvement in new projects changed?

"Many years ago a person told me that his exit had not been "to stop working, but to see life differently". I think most people are like that. The main advantage is not having more money, but the mental clarity of knowing that money first buys basic things, then peace of mind/freedom and, finally, time. And for that you don't need that much. 

There you discover that what you enjoy is creating. You are not still in the trap of thinking that when something happens or you reach a step, then your life will be as it should be. If you are not happy with what you have, you are not happy with what you lack. That gives you a very interesting position: you know that your exit is what you do on a daily basis, and you worry about what you like today, not about thinking about the future. 

I know it sounds stupid to someone who hasn't made it, but that's the paradox: you probably need to earn a certain amount of money to see that happiness and peace of mind are not there. 

As for the transition, when I sold Diariomotor I was already starting Fuell, so I had no time off. After leaving Fuell I did take a sabbatical year where I did do mentoring and investments, but I realized that this is not my thing. 

As for investing, I am much better at, and more motivated by, creating things than managing or investing. 

In terms of mentoring, the following is true. There are two types of knowledge. One type of "technical" knowledge, which is incremental in each human generation. When we were born there was already language, cars, fire and microwaves. They explain to us how it works and from that day on we use it. 

There is another type of knowledge that each person starts from scratch. For example, the ego, relationships or anxiety. Possibly the Greek philosophers have already written all about that, but no matter how much you read, you have to live it in your flesh. It is not enough to read the instruction manual, or to be told by a mentor or your best friend. 

I've realized that the challenge in entrepreneurship is in that kind of emotional knowledge and experience. Technical knowledge is not that it's trivial, but it doesn't add as much value."

3) What indicator or signal (beyond turnover or rounds) confirmed to you that it was the right time to sell?

"I think feeling that I didn't have more to bring to that project in terms of innovation, and the need for new challenges. In fact seen in perspective what I regret is that I didn't do it much earlier."

4) What lessons from the exit negotiation would you apply today if you were the buyer instead of the seller?

"None, for moral reasons. That said, there is value in knowing them in order to defend against them or, at least, to be aware of them.

First, if in any negotiation one of the two is more afraid of losing, that one is screwed. It's a principle that applies to all of them. Every day you have to get up every day knowing that you're not afraid to let it fall, and prove it. And that's not easy in a negotiation like this, because by the time you're halfway through, your team has found out and you've made changes to the structure that are going to leave you very hurt if it falls through. 

Second, it is very emotionally draining. My conclusion after doing it is that I would not manage the sale of my own company again. It's like having surgery on a sensitive area: better to have someone else do it. 

Third, it just so happens that whoever buys usually knows all the variables that are going to be put into the contract, but you don't. If I were to sell again, on the day of the first offer I would sit down with the buyer and ChatGPT and tell him that we are not leaving until we close all the details, and that if there is no agreement in 3 hours then there is no operation. The wear and tear of details over months is hard."

Carlota Corzo AlvarezCo-founder of Innovaslab

1) When you look back, what really made the difference in getting to that exit?

"In our case, I would speak of an unexpected opportunity, among the partners, we were rethinking the future path of the company, and one of the options was the sale of the startup. And, discussing this with another Galician entrepreneur, he recommended me to talk with Smartaos as they were looking to grow. 

In our case, we made a sale of the entire company and, I have gone with the buyers. The idea was to transform Lázzaro (now Innovaslab) into a venture builder, becoming the technology partner of startups and organizations, accompanying them along the way. And from there until now."

2) After the exit, how has your approach to entrepreneurship or involvement in new projects changed?

"In my case, I'm in a "continue", right now I'm Senior Strategy Advisor at InnovaslabAnd together with the Innovaslab and Smartaos team, we are looking to reach the next level and accompany organizations in their own processes from the perspective of venture builder, offering CTO as a Service, as a partner etc.. Always trying to go a little beyond the technology and accompany the people who take these projects forward.

In my case, I have always been involved in many things, most of them in the third sector. Today I am a member of the board of trustees of the Youth Business Spain FoundationI am on the Advisory Board of the Fundación Comunicando Futuro and as an expert in digital transformation of the third sector of #los100deCotec.

So, mentoring, collaborations with accelerators and in general, anything that is related to helping the entrepreneurial ecosystem, I have not stopped doing and will surely continue to do."

3) What indicator or signal (beyond turnover or rounds) confirmed to you that it was the right time to sell?

"In our case, as I commented, it was more of an internal reflection of which path we should follow as a company."

4) What lessons from the exit negotiation would you apply today if you were the buyer instead of the seller?

"I would say that not everyone has to have the same metrics, and you have to understand what the sellers' motivations are for selling and what is important to them. Beyond the economic side, things like what's going to be done with the company or agreeing on guarantees for workers may take precedence."

Sergio Diaz-Miguel Coca, Founder of Teltoo

Sergio Díaz-Miguel Coca

1) When you look back, what really made the difference in getting to that exit?

"We had developed a very pioneering technology that required years of R&D and we had also validated it with large clients in production such as RTVE during events like the Olympics or World Cups. Only 3 companies in the world had this level of knowledge and experience, which generated a lot of interest towards the business."

2) After the exit, how has your approach to entrepreneurship or involvement in new projects changed?

"Now I am more pragmatic. If the project doesn't turn into a profitable business, providing clear value, with recurring turnover and high retention, I'm not usually interested. The only exception to this rule is if there is a clear vision with very high long-term social impact. The latter was already very important to me in any of my initiatives. Teltoo, in fact, was on a mission to reduce Internet energy consumption (starting back in 2014!)."

3) What indicator or signal (beyond turnover or rounds) confirmed to you that it was the right time to sell?

"That most of us founders were already tired and eager to change projects. We didn't know if we were going to succeed in selling the company but soon there were positive indicators, which translated into us having four offers with which we started negotiating."

4) What lessons from the exit negotiation would you apply today if you were the buyer instead of the seller?

"It would be clear to me if there was a good cultural fit between the two companies. I am referring to ways of working, hiring, processes, objectives and incentives aligned, among other things. I would most likely also hire a company to handle the entire M&A process: search, valuation, negotiation, due diligence, etc."

Exit as part of the way, not the end

Each of these founders reminds us that the true value of a startup is not always measured in millions raised, but in the impact generated, the conscious decisions made and the learning accumulated. Selling a company is not a closure: it is a transition. Sometimes to a new project, sometimes to a new way of doing business, and often to a clearer vision of what really matters.

In Tetuan Valley we continue to believe that sharing these experiences helps demystify the process of raising capital and selling a startup. If you are on that path, we hope these stories inspire you, guide you and, above all, make you feel accompanied.