Pandemic facilitates venture capital fundraising: BV Naidu
The acceleration of the pandemic and the technology that followed has made fundraising easier and faster, said BVNaidu, technology industry veteran and founder and managing partner of StartupXseed Ventures.
Commenting on changes in the finance industry over the past 18 months, he said building a venture capital fund was a Herculean task until a few years ago, but it has become much more. easier and faster after the pandemic.
âPeople and entities (potential investors) are available and willing to talk,â Mr. Naidu said.
âEveryone is convinced of the history of technological acceleration happening everywhere and its impact on the bottom lines of large companies and small start-ups. Physical travel is not compulsory. Fund closure cycles have been shortened considerably. ”
“Thanks to all of this, closures are taking place at the first or at least at the second meeting itself,” Naidu said. The Hindu.
The venture capital firm, StartupXseed Ventures, has set up a 200 crore fund to invest in high tech areas across all verticals.
âThe success of our first fund has given us the confidence to launch our second fund which will focus on industry agnostic deep technology areas. The size of the individual ticket will be in the range of $ 1 million to $ 2 million, ” Naidu added.
According to him, HNIs and family houses in India and the United States as well as companies from the United States, India and Japan participated in the fund pool.
StartupXseed Ventures was also considering a much larger fund of 500 crore which should be ready for disbursement sometime in 2022.
âExisting contributors and new ones will be part of this larger fund which should be ready next year. The size of the fund’s notes will also be important, âadded Naidu.