India’s thriving startup world continues to glimpse the rise of entrepreneurs as well as a new breed of venture capital (VC) firms that are quick to support such organizations from the ground up. India has over 61,400 startups recognized by the Department of Promotion of Industry and Internal Trade (DPIIT), with at least 14,000 recognized in fiscal year 2022, as reported in the 2021 economic survey -22, 10% being added each year. The Founders also have unequivocal respect for those VCs who have walked a mile in their place.
More importantly, the core aspect of the co-founder approach is intensely tied to the startup founder scene. That said, the credibility of “one of us” ignites the sense of belonging, sincere trust and respect in the eyes of the founders for their investors. Ultimately, this led to an invaluable exchange of thoughts and transparency between the two parties. Given the dynamics of the markets, these VCs are stepping through the revolving door to help founders, leveraging their affinities and defining the new golden era of the founder-VC relationship.
New-age VCs take a hands-on approach to their seed investments and work with founders to grow their businesses. Their cross-functional experience in all sectors allows them to identify gaps and contribute their expertise to the value chain by leveraging their network to source quality.
Here is a curated list of top venture capital firms that take a co-founder approach by working closely with their portfolio companies to help them scale and grow.
BLinC Invest – BLinC Invest is a leading India-based venture capital firm committed to funding EdTech and FinTech start-ups focused on building a better future by harnessing the power of technology. They believe it is not enough to just be the stepping stone, being a practical partner is equally essential, an ally who can help founding teams navigate last mile execution with their invaluable experience. And they promise to do the same. In addition to revenue and profitability, they fuel the overall growth of people and products, as well as the ability of companies to adapt and innovate. BlinC invests in companies that exploit opportunities to provide products and solutions to the Indian market, which can be leveraged globally.
Inventus Capital Partners – With the sole purpose of making new entrepreneurs succeed, Inventus is a venture capital fund run by entrepreneurs and industry veterans. The company does not invest in capital-intensive businesses. He typically leads the first round of venture capital with $1-2 million, and as companies grow, he invests $0.25-10 million.
Blume Ventures – Blume Ventures is a venture capital firm that funds startups obsessed with solving hard problems. They typically partner with founders at a very early stage, helping them achieve product fit and market power beyond the first point of scale. We are almost always the first institutional investor in these companies. They always invest for the long term, staying invested for eight to ten years, and as long as the founders are also invested in the ambition of the company.
sparrow capital – Founded in July 2020 by Yash Jain, Sparrow Capital aims to partner with entrepreneurs at the ideation stage and help them grow by injecting capital and knowledge. The company invests up to $100,000 per company and has made nine investments to date, including GoKwik, Bimaplan, Qoohoo and Mailmodo. The VC fund focuses on segments such as SaaS, fintech and B2B. It typically invests in the pre-seed to pre-Series A stages with participation in deals ranging in size from $300,000 to $2 million.
Astarc Ventures– Created in mid-2015, Astarc Ventures is promoted by the Astarc group. It is a seed-stage venture capital fund that aims to partner with startups to help them become market leaders. The fund’s vision is to “embark on a collaborative journey with visionary entrepreneurs to solve the pressing problems of today and tomorrow”. The fund has 2 investment themes – the strategic themes which are aligned with the core businesses of the Astarc Group and the sector agnostic themes where they invest in the upcoming business and technology areas.