How I Evaluate Founders – Vision, Velocity, and Defensibility
By Don Hoang
One of the questions I get asked most as an investor is: “What do you look for in a founder?”
After years building at Uber and Revolut, advising dozens of early-stage companies, and investing both independently and through programs like Sequoia Scouts, I’ve come to rely on a simple framework:
Vision. Velocity. Defensibility.
These are the traits I look for across every stage—from early conversations with pre-seed founders to later-stage diligence. If you’re a founder building something ambitious, or another investor thinking about your own lens, here’s how I break it down.
Vision – What Are You Seeing That Others Don’t?
The best founders have a clear, sometimes even uncomfortable, view of the future. They’ve spotted something others have missed—whether that’s a market shift, a user insight, or a broken system—and they’re obsessed with fixing it.
When I meet early-stage founders, I’m asking:
What’s the underlying insight here?
Why are you the right person to build this?
What changes in the world if you get this right?
Some of the most compelling pitches I’ve ever taken came before a single line of code was written. What made them memorable was clarity—on the problem, the opportunity, and the path forward.
At Uber, the early idea wasn’t just about ride-hailing. It was about turning private cars into an efficient urban network. At Revolut, it was about rethinking financial infrastructure from the ground up. In both cases, the founders weren’t chasing a trend—they were driving one.
As an investor, I’m not looking for a perfect deck. I’m looking for depth of thought and conviction. Vision doesn’t need to be loud or polished. It just needs to be real.
Velocity – How Fast Do You Move?
Ideas are everywhere. Execution is rare.
Some founders wait until things are “ready.” Others ship fast, iterate, and learn quickly. I gravitate toward the second type—founders who make progress every week, not every quarter.
At seed, velocity might look like:
A working MVP launched in a month
Scrappy distribution experiments
Clear signs of learning from early users
By Series A or later, I’m looking at metrics:
Double-digit MoM revenue or usage growth
Strong retention and engagement
Signs the team can scale without losing speed
At Revolut, one of the things that stood out was how quickly the team shipped. New products, new markets, new licenses—all moving in parallel. That pace wasn’t just impressive; it was strategic. It put distance between us and slower-moving incumbents.
I don’t expect perfection. But I do expect momentum.
Defensibility – What’s Going to Keep You Ahead?
As companies grow, competition follows. Sooner or later, someone will try to copy what you’re doing. The question is: what makes it hard to catch up?
At early stages, the answer might just be the founder. Maybe you know something others don’t. Maybe you’ve already built trust with users in a niche market. That’s fine. But by Series B or C, there needs to be more.
I look for things like:
Data moats or proprietary tech
Network effects (real ones, not just a slide)
High switching costs
Strategic partnerships or distribution advantages
Deep trust with users that compounds over time
At Revolut, defensibility didn’t come from any one feature—it came from product breadth, regulatory licensing, and global infrastructure. That stuff’s hard to replicate. But it didn’t start that way. It was built over time, piece by piece.
I’m not expecting founders to have a fortress on day one. I just want to know you’re thinking about it.
How I Apply This as an Investor
Whether I’m investing at seed or later, here’s how this framework shows up in my process:
Stage
I’m Asking…
I’m Looking For…
Early
What’s the unique insight? Can this team build fast?
Vision, speed, founder-market fit
Growth
Is there repeatable growth and a moat forming?
Execution metrics, traction, clear defensibility
Late
Can this become category-defining?
Strong team, dominant product, sustainable edge
There’s no perfect formula. But when I meet a founder who hits all three—vision, velocity, and defensibility—I pay attention.
A Final Note
I’ve always been drawn to underdog builders—people who come with something to prove and aren’t afraid to challenge how things work. That mindset has served me well throughout my own journey, and I’ve seen it in some of the best founders I’ve backed.
If this approach resonates—and you’re building something early, fast, and ambitious—I’d love to hear from you. You can reach me via don-hoang.com.
