We interviewed Arancha Yáñez, the founder of Feltwood, a social business that aims to develop technologies to produce ecological industrial materials. Motivated by wanting to protect the environment and thanks to the team’s creativity and perseverance, Feltwood has developed technologies that could change industry forever.
Some materials, such as plastics, are not biodegradable. This means that they will stay in a landfill site and in our environment for hundreds of years after we no longer need them and throw them away, which results in serious issues in terms of pollution.
Although we do have a separate bin in Spain for the recycling of plastic packaging, only about 30% of what goes in is actually recycled. What is more, only plastic packaging is accepted, objects such as plastic furniture, toys and pens are classed as general waste.
The current situation is causing large amounts of waste to end up in our environment each year. In our seas and oceans there is now 1kg of plastic for every 3kg of fish.
At the current rate of pollution, the amount of plastic in our seas will equal the amount of fish by 2050.
At Feltwood, we develop technologies to produce ecological industrial materials that are made of 100% vegetable fibres coming from agricultural waste. We do not use plastics, adhesives or binders, meaning Feltwood materials are completely biodegradable.
A product made of Feltwood materials lasts many years but if it does end up in the ground or in the sea, it will break down without contaminating the environment, simply serving as food for fish or plants. Apart from this, our products can also be recycled.
Our processes are adjustable, which makes Feltwood materials very versatile. Our prices are competitive and our materials have good technical characteristics. We offer a range of materials including boards much harder than wood, insulation lighter and more effective than cork, and highly durable packaging. Although we are still in the industrial validation phase, we are already a certified company that looks to generate social impact through the triple bottom line framework, meaning we take into account the social, environmental as well as economic impact of our activity. We are planning for production to begin as soon as possible, so that Feltwood materials can start to replace polluting materials such as plastic.
Our business model consists of the transfer of technology. We make money by licensing the patented processes that we have developed in return for royalties based on production volume, although we have not discarded the idea of producing ourselves or partnering with manufacturers in future.
This business model allows us to reach more people in less time, resulting in a higher global impact.
Our mission is to reach those businesses that produce agricultural waste and would like to exploit it as well as those seeking a competitive advantage through using Feltwood materials to produce their products. It may be a cliché, but the truth is that it is very difficult to conduct research and development in Spain if it is not being done through a public institution (universities or research centers). Industrial development is particularly difficult in Spain, because it is so expensive.
When we began this project, we had to finance the complex research ourselves.
For example, we built the first machines on our own out of materials we found at a scrap yard.
Apart from understanding the technological side of a project, it is also important to have skills in business management and sales as well as knowledge of accounting, industrial processes and financing. Acquiring all this knowledge needed to establish and manage a business was a further challenge we faced, as we were only a very small team.
On the other hand, because our project has the potential to make our world more environmentally friendly, we met many people along the way that helped us, their only motivator being to help us succeed. We really appreciate all this support we received, these people helped us to get where we are today. First and foremost, entrepreneurs just starting out need to realise that they are not alone. They can and should seek help from the social impact community and ecosystem, as there are many people out there to learn from. Many of them will help you if you have the right attitude.
Think about why your project may interest them. If you think about them first and then about your own needs, it will open a world of possibilities for you.
New entrepreneurs also need to be thorough and realistic when developing their business and financial plans. After all, a project is still a business and it takes objectivity and good decision making to achieve results.
Any entrepreneur just beginning their journey should also learn about lean startup methodology and apply the principles to their project, ensuring they always validate their ideas before implementing them and, above all, before investing money in any development. They must also make sure to analyse the market and what their clients want. However, most importantly, new entrepreneurs must acknowledge that earning money is the key, if the project does not generate income, it will not last long. Money must start coming in as soon as possible.
Lastly, a good motivator that will help an entrepreneur overcome any obstacles that may arise is the mission of achieving a positive social impact. Having such a mission makes a noticeable difference.
Do not give up if others are going to benefit. Personally, what keeps me motivated is that I cannot let my children inherit seas and oceans full of plastic without being able to tell them that I did everything in my power to avoid it.
