We believe that our ventures will have a competitive advantage in relative terms (and a higher outcome probability in absolute terms) if they are birthed through a ‘venture-studio’ model.
This is similar in some ways and different in some ways as compared to the individual startup model.
We also believe in the venture being driven by a team of exceptional co-founders. Founders who are passionately driven and signal their willingness to absorb significant (though not extreme) risk and uncertainty.
We also believe in birthing ventures whose intention is to create a disruptive business which can (potentially) scale dramatically in 0 to 5 years. BUT we’re realistic about the scale of the outcome possibilities in Asia. And realistic about the fact that if often takes twice as long to build a viable business. AND pragmatic about the fact that a return to investors is always a function of a multiple of the capital invested across time.
Our ventures also target major markets. But we do not believe in the extreme of either accepting a very low outcome probability of success OR assuming the only businesses to aim for are billion-dollar valued ones.
We also believe that ventures need to be supported by reasonable infusions of risk capital. But we don’t believe that an overwhelming amount of capital is the only driver of success.
We facilitate our founders having a reasonable share of the company but also mitigating their personal risk considerably. But the critical difference is that we believe that ventures need to be supported through the tricky early stage (0-48 months) of their journey.
Almost all our advantages and disadvantages emerge from this decision to create a Venture Studio. There are over 5,000 startups in India, but not even 5 venture studios like us.
We’re doing something rare and challenging. And one consequence of the venture studio model being rare is that we do not have ready-made templates to use. Which is why one of our goals is to create an ‘Operating System’ for creating successful startups.
An operating system built out of our experience. And learning from the experience of others.