NextSTEP (NextEnergy Sustainable TEchnology for the Planet) is an investment initiative dedicated to the capitalization and growth of innovative early-stage startups in the field of Environmental Sustainability (CleanTech). Pulse 2.0 interviewed NextSTEP Claudio Colombo to learn more about the company.
Claudio Colombo’s Background
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What is Claudio Colombo’s background? Colombo said:
“My career has always been at the intersection of innovation, sustainability, and investment. What drives me is the belief that transformative technologies can address the critical environmental challenges of our time. My journey began with a strong interest in clean technologies and their potential to reshape industries, improve lives, and combat climate change. Over time, this passion turned into a career dedicated to fostering innovation and supporting startups with a shared vision of a sustainable future.”
“Today, I lead NextSTEP, a venture capital fund specialized in early-stage investments in cleantech startups. My role goes beyond identifying promising technologies; I focus on building strong partnerships, mentoring founders, and creating the conditions for these ventures to thrive. There’s immense fulfillment in collaborating with entrepreneurs tackling global sustainability issues with bold ideas and innovative solutions.”
“Throughout my career, I’ve developed expertise in evaluating groundbreaking technologies, understanding market dynamics, and navigating the challenges of scaling businesses in complex environments. I’ve had the privilege of working alongside founders, corporate leaders, and public institutions to bridge the gap between vision and execution. These experiences have taught me the importance of patience, adaptability, and collaboration in driving meaningful impact.”
“Beyond my professional role, I am deeply committed to building a thriving cleantech ecosystem. I firmly believe that through strategic investment, mentorship, and a shared commitment to sustainability, we can accelerate the transition to a resilient and environmentally conscious world. This mission inspires me daily.”
Evolution Of NextSTEP’s Thesis
How has your firm’s thesis evolved over time? Colombo noted:
“When NextSTEP was launched, our mission was clear: to address the significant funding gap for pre-seed cleantech startups. At the outset, our investment thesis was focused on taking the lead as the sole investor in cleantech startups at extremely early stages, even at the idea stage. This approach allowed us to support visionary founders when resources and external validation were often scarce, playing a critical role in turning bold ideas into actionable projects.”
“Over time, we recognized the need for greater flexibility to adapt to the evolving dynamics of the cleantech ecosystem. While maintaining our commitment to lead investments in pre-seed startups, we expanded our strategy to also include opportunities to invest as a follower in startups at slightly more advanced stages. This adjustment enables us to support ventures that may already have some traction, whether through early market validation, a working prototype, or initial customer engagement.”
“This evolution in our thesis reflects our desire to maximize impact. By broadening our scope, we’re able to back a wider range of startups, both those at the inception of their journey and those at a critical inflection point for scaling. Our core mission remains unchanged: to empower cleantech startups addressing pressing sustainability challenges.”
Favorite Memory
What has been your favourite memory working for your firm so far? Colombo reflected:
“My favorite moments at NextSTEP have been witnessing the tangible impact of our early investments. Meeting the founders we supported during their pre-seed stage, seeing their technology in action, and hearing their heartfelt gratitude was an incredibly humbling experience. It reminded me of the profound connection between what we do and the real-world outcomes it enables.”
“While financial returns are essential for the sustainability of our fund, they are not the sole measure of success. The true reward lies in knowing that we are driving meaningful change and contributing to a more sustainable future. Moments like these reaffirm my passion for cleantech venture capital and strengthen my belief in the transformative power of innovation.”
Significant Milestones
What have been some of your firm’s most significant milestones? Colombo cited:
“A standout milestone for NextSTEP was raising our first fund and the subsequent expansion of our fund in September 2024. Doubling our capital was more than a financial achievement, it was a testament to the growing recognition of cleantech innovation and the trust placed in our team. This expansion allows us to support more groundbreaking startups and amplify our impact.”
“Other key milestones include making our first investment, reaching 10 investments, and then achieving 20 investments across diverse sectors. Each of these startups embodies our mission to address critical environmental challenges, from energy efficiency and sustainable mobility to water management and the circular economy. Their growth, follow-on funding, and market success demonstrate the immense potential of early-stage cleantech ventures to deliver both environmental and economic value.”
“These achievements not only solidify our position as a leader in the cleantech ecosystem, especially in Italy, but also highlight the broader impact we’re making by fostering innovation, supporting visionary founders, and driving systemic change.”
Investment Success Stories
When asking Colombo about investment success stories, he highlighted:
“We’re still early in our journey, but we’re incredibly proud of the progress our portfolio startups are making. They’re achieving significant milestones, such as securing funding from international investors, forming strategic partnerships, and launching innovative solutions that are transforming industries and addressing global sustainability challenges.”
“Our startups span a range of sectors critical to building a sustainable future: in sustainable agriculture and resource management, Agrisky leverages IoT and AI to optimize indoor farming, while Nina Energy transforms agricultural waste into biofuels and biochar, offering sustainable alternatives to fossil fuels. Algapelago produces seaweed-based fertilizers and feed supplements, enhancing regenerative agriculture and marine biodiversity. Snelix pioneers sustainable protein production with its innovative AI-driven snail farming solutions, minimizing environmental impact while promoting eco-friendly food alternatives.”
“In water, Atium provides advanced filters for removing toxic mercury from water, and SIEve develops regenerable filters to address wastewater treatment with a circular approach.”
“In waste management Ganiga and iotilize revolutionize waste collection with smart bins and route optimization technologies, enhancing efficiency and sustainability.”
“The mobility sector includes innovative solutions like Switch, which optimizes urban mobility through AI-powered tools, Bufaga, a device mounted on vehicles to improve air quality, and ToMove, which develops sustainable vehicle designs to reduce urban environmental impact. ClearWatt fosters trust in electric vehicles by certifying battery health with its proprietary app.”
“In the circular economy, Musthad helps the fashion industry manage excess inventory with traceability and waste reduction, while Pulpatronics introduces recyclable, metal-free RFID tags that significantly cut CO2 emissions.”
“In tech-driven sustainability, Leafr connects businesses with sustainability experts and AI-powered project management tools, empowering them to meet ESG goals. Chloris Geospatial uses satellite data and machine learning to quantify carbon storage, providing vital insights for climate solutions.”
“Finally, in energy innovation, The First Element pioneers clean hydrogen generation with its Smart Tank technology, enabling users to adopt renewable energy solutions at scale.”
“Each of these startups is driving transformative change in their respective fields, reaffirming our belief in the power of innovation to create a sustainable future. Their success inspires us to continue supporting visionary founders on their journey toward global impact.”
Notable Metrics
When asking Colombo about notable metrics, he revealed:
“Our assets under management (AUM) currently stand at €6.4 million, a significant milestone reflecting the growth and support we’ve achieved since NextSTEP’s inception. This expansion enables us to deepen our commitment to supporting cleantech startups and scaling their impact.”
“Although it’s still early in our journey to measure full-cycle returns, the progress of our portfolio companies is a promising indicator. Many have already achieved substantial enterprise value growth, securing follow-on funding, expanding operations across markets, and forming strategic partnerships. These metrics underscore the immense potential of cleantech ventures to deliver both financial returns and measurable environmental impact.”
“Beyond financial outcomes, we take pride in the tangible contributions our startups are making. From reducing greenhouse gas emissions to advancing circular economy practices and optimizing water management, their work aligns with our mission to address global sustainability challenges. For us, these impact metrics are just as important as traditional financial indicators, reflecting the broader purpose of our investments.”
Industry Focus
What are some of the industries that your firm is focused on? Colombo pointed out:
“At NextSTEP, cleantech is at the heart of everything we do. Our investments span several critical sectors that are essential for driving the transition to a sustainable economy. These include energy efficiency, renewable energy, sustainable mobility, sustainable fashion, the circular economy, and water management, among others.”
“Our investment philosophy extends to any area that plays a pivotal role in advancing global sustainability efforts. Whether it’s addressing industrial decarbonization, improving waste-to-energy processes, or leveraging digital solutions to enhance sustainability practices, we are dedicated to identifying and supporting transformative solutions.”
“Ultimately, our goal is not merely to deliver financial returns but to invest in innovations that create meaningful environmental impact and contribute to a sustainable future for generations to come.”
Differentiation From The Competition
What differentiates your firm from other firms? Colombo affirmed:
“What sets NextSTEP apart is our specialized focus on pre-seed cleantech investments, a niche that remains underserved, especially in Italy. While many venture capital firms concentrate on later stages or broader sectors, we are laser-focused on supporting startups at the earliest and most critical stages of their journey.”
“Our approach is highly collaborative. We go beyond providing capital, we offer strategic guidance, operational support, and access to industry connections that accelerate our startups’ growth. This hands-on involvement ensures that our portfolio companies are equipped to navigate challenges and create lasting impact.”
“Additionally, our unwavering commitment to measurable environmental impact differentiates us. Every investment aligns with our mission to combat climate change. We evaluate not only commercial viability but also a startup’s potential to drive systemic change, combining profitability with purpose.”
“Our local roots in Italy and UK, combined with a global perspective, further position us uniquely. We understand the challenges of our ecosystem while connecting startups to international opportunities, bridging gaps that few firms address.”
Challenges Faced
What challenges have Colombo and the team faced in building the company? Colombo acknowledged:
“One of the significant challenges we’ve faced is overcoming skepticism about cleantech investments at the pre-seed stage. Many see this space as high-risk due to emerging technologies, regulatory hurdles, and long development timelines. Convincing co-investors and stakeholders of the viability and scalability of these ventures required persistence and a strong track record.”
“To address this, we developed a rigorous approach to evaluating startups. Our due diligence process goes beyond traditional financial metrics, focusing on technical feasibility, market readiness, and long-term impact. Building trust has also been essential. By sharing early success stories and measurable outcomes from our portfolio, we’ve demonstrated that pre-seed cleantech investments can yield significant returns, both financial and environmental.”
“Another challenge has been supporting startups in navigating market readiness. Scaling cleantech solutions often requires collaboration with corporates, governments, and regulators. To overcome this, we actively facilitate connections, enabling startups to form partnerships and unlock market potential. Through persistence and adaptability, we’ve turned these challenges into opportunities, strengthening NextSTEP’s role as a leader in the cleantech ecosystem.”
Future Goals
What are some of your firm’s future goals? Colombo emphasized:
“At NextSTEP, our future goals are firmly aligned with our mission to drive innovation and create measurable impact in the sustainability space. One of our primary objectives is to expand our portfolio by identifying and supporting startups with transformative potential. We aim to back founders who are developing groundbreaking solutions to the world’s most urgent environmental challenges.”
“We also strive to foster greater collaboration within the cleantech ecosystem. Addressing complex sustainability issues requires collective action, and we want to act as a bridge between startups, corporates, public institutions, and investors. By creating opportunities for partnerships and knowledge sharing, we can amplify the impact of the solutions we support.”
“Looking ahead, we aspire to scale our operations and expand our geographic reach. This includes exploring new funding rounds, forming strategic partnerships, and initiating ecosystem-building programs. Our ultimate vision is to contribute to a world where sustainability is not just an ambition but a reality, driven by innovation and collaboration.”
Additional Thoughts
Any other topics you would like to discuss? Colombo concluded:
“I’d like to highlight the importance of fostering a culture of innovation and collaboration in the cleantech space. Climate challenges are too complex for any one entity to solve alone. Startups, investors, corporates, and governments must work together, pooling resources and expertise to drive progress. At NextSTEP, we see ourselves as facilitators of this collaboration, ensuring that cleantech startups have the support they need to succeed.”
“An exciting development is our upcoming Venture Building Program in London and Milan. This initiative represents a bold step in proactively creating startups from scratch, targeting pressing sustainability challenges. By bringing together talent, expertise, and capital, we aim to design and launch solutions that are impactful and scalable. This program exemplifies our commitment to shaping the future of cleantech innovation. Through proactive problem-solving and cross-sector collaboration, we hope to inspire others in the ecosystem to think bigger and act faster. At NextSTEP, we’re not just supporting the startups of today, we’re helping shape the entrepreneurial landscape of tomorrow.”
