Today, venture builders are a growing trend around the world; I’ve seen it firsthand in Europe, particularly the startup hubs of Berlin and Amsterdam. There were over 100 VBs globally as of 2018, angel investor Jules Ehrhardt wrote last year in his State of the Digital Nation report on Medium, with over half based in Europe. They are usually started by successful entrepreneurs, or professionals with experience in fast-growing startups. In some cases, venture builders have also evolved as spin-offs from existing VC funds.
Venture building, I believe, holds promise for India, as an alternative to—but not a replacement for—conventional VC funding models.
Emerging markets, especially India, are not the easiest of places to start a business. Entrepreneurs have to face excessive regulations, infrastructural challenges, and shortage of skilled labour. Having a venture builder who can bring in shared resources can help founders tackle a lot of these problems—either in the usual venture-builder-hires-entrepreneurs model, or where VBs invest in an early-stage startup and provide operational assistance.
via Less SoftBank, more venture builders – The Morning Context