Prominent Indian Entrepreneurs Back Early-Stage Investor Xeed Ventures

Mithun Sacheti, founder of CaratLane, and Binny Bansal, co-founder of Flipkart, have joined Bengaluru-based venture capital firm Xeed Ventures as anchor investors. Xeed Ventures, previously known as 021 Capital, is an early-stage fund managed by Sailesh Tulshan. The fund has secured a significant portion of its target corpus and is actively deploying capital in promising startups.

Xeed Ventures Focuses on Seed Funding for Emerging Businesses

Xeed Ventures aims to invest smaller amounts, typically less than $1 million, in 20-25 companies. The fund prioritizes investments in enterprise software, business-to-business (B2B) solutions, and financial technology (fintech) startups. Xeed has already begun making investments and has finalized deals with companies like Charcoal.inc, a direct-to-consumer brand, and Kredit.pe, a financial services provider.

Shift in the Startup Ecosystem: Founders Turn Investors

The involvement of Sacheti and Bansal in Xeed Ventures reflects a growing trend in the Indian startup ecosystem. Several successful founders are now leveraging their experience and capital to support the next generation of entrepreneurs. Sailesh Tulshan, who previously managed Flipkart co-founder Sachin Bansal’s investments, established 021 Capital (now Xeed Ventures) in 2019, coinciding with Flipkart’s acquisition by Walmart.

Other prominent figures like Nikhil Kamath of Zerodha (Gruhas), Sujeet Kumar of Udaan, and Kalyan Krishnamurthy of Flipkart (Tanglin Venture Partners) have also launched or backed venture capital funds. Additionally, Zerodha’s Nikhil Kamath introduced the WTF Fund, a program that provides funding and mentorship to young entrepreneurs in specific sectors.

This trend aligns with a broader shift in investor sentiment observed in 2023. While the year saw a significant decrease in the number of new funds launched compared to 2022, the overall focus remains on supporting promising startups across various sectors.