TLDR:
- Good Capital plans to invest $25 million in AI start-ups by FY25.
- They will focus on sectors such as cleantech, e-commerce, edtech, healthtech, SaaS, and deeptech.
Good Capital, an early-stage venture investment firm, has announced plans to invest $25 million in AI start-ups by FY25. The firm aims to invest in 15-20 AI start-ups across early-stage and Series-A funding stages, utilizing AI and LLM models to create innovative businesses through an investment strategy that supports start-ups empowering intermediaries rather than focusing on disruption. The firm’s portfolio companies like Cloudchef, Definitive, Propacity, and MyGenie are examples of leveraging AI to streamline processes and enhance decision-making, enabling intermediaries to offer value-added services to clients.
The recent advancements in AI present opportunities to bridge skill gaps, allowing intermediaries to focus on high-touch execution while AI automates complex planning tasks. Good Capital’s focus on investing in start-ups that leverage the expertise of local intermediaries to offer services and products with low acquisition costs and high conversion rates demonstrates their commitment to supporting emerging businesses in technology addressing India-centric challenges. The firm brings not only financial backing but also mentorship, access to networks, and essential resources to help start-ups navigate the complexities of the start-up journey.
Founded by brothers and co-GPs Arjun and Rohan Malhotra, Good Capital manages a $100 million capital pool across three funds and has invested in over 25 start-ups. The firm’s investment in AI start-ups aligns with the projected growth of India’s AI market, which is expected to reach $17 billion by 2027, indicating a significant opportunity for growth and innovation in the sector.
