What is a Venture Studio?

A venture studio is a company that builds and launches new businesses. They typically have a team of experienced entrepreneurs and operators who work with founders to validate ideas, build products, and launch businesses. Venture studios provide a variety of resources to founders, including funding, mentorship, and access to their network.

Different models of venture studios

There are a variety of different models of venture studios. Some studios focus on building a single business, while others build multiple businesses in parallel. Some studios focus on a specific industry or vertical, while others are more generalist.

Why are venture studios attractive to investors and founders?

Venture studios offer a number of advantages to both investors and founders. For investors, venture studios can help to mitigate the risk of investing in early-stage startups. By working with a team of experienced entrepreneurs, investors can increase their chances of success. For founders, venture studios can provide a valuable source of resources and support. They can help founders to validate their ideas, build products, and launch businesses.

Here are some of the reasons why venture studios are an attractive option to both investors and founders:

Mitigated risk

Venture studios have a proven track record of success. They have a team of experienced entrepreneurs who have built successful businesses before. This helps to mitigate the risk for investors who are looking to invest in early-stage startups.

Faster time to market

Venture studios have a process for quickly validating ideas and building products. This can help founders to get their businesses to market faster.

Access to resources

Venture studios have access to a wide range of resources, including funding, mentorship, and a network of contacts. This can help founders to launch and grow their businesses more effectively.

Shared vision

Venture studios typically have a shared vision for the businesses they build. This can help to align the interests of investors, founders, and employees.
Different models of venture studios

Main models of venture studios

Single fund model

This is the most common model of venture studio. In this model, the studio has a single fund that is used to invest in new businesses. The studio typically retains a majority stake in the businesses it invests in

Dual entity model

This model is similar to the single fund model, but the studio has two separate entities: a fund and a studio. The fund is used to invest in new businesses, while the studio is responsible for building and managing the businesses.

Founder-led model

This model is similar to the dual entity model, but the studio is founded by a group of entrepreneurs. The entrepreneurs typically retain a majority stake in the businesses they build.

Corporate venture studio model

This model is a hybrid of a venture studio and a corporate venture capital (CVC) fund. In this model, a corporation creates a venture studio to build new businesses that are aligned with the corporation's strategic goals.

Conclusion

Venture studios are a growing trend in the startup ecosystem. They offer a number of advantages to both investors and founders. If you are considering starting a business, please do not hesitate to contact us as venture studio may be a good option for you.