Nikhil Kamath, the founder of Zerodha, and Abhijit Pai, the brain behind Gruhas, have joined forces once again to introduce the Gruhas Collective Consumer Fund. This new venture, in collaboration with talent management and influencer marketing firm Collective Artists Network, aims to support emerging consumer brands in India.
Inaugural Investment and Ambitions:
With an initial investment fund of Rs 150 crore, the Gruhas Collective Consumer Fund has already earmarked its first five investments across various sectors. Vijay Subramaniam, founder and Group CEO of Collective Artists Network, expressed confidence in the collaboration, underlining their commitment by personally underwriting 30-35 percent of the fund. The alliance intends to invest up to a million dollars in early-stage companies.
Diverse Portfolio and Creator Economy:
The fund’s initial investments include supporting a sexual wellness brand and an innerwear company, reflecting a commitment to transformative ideas within the expanding creator economy. Subramaniam highlighted their interest in innovative concepts across different segments and emphasised the favourable timing of the fund launch amidst a reduced influx of private equity and venture capital money into India.
Building Bridges and Removing Intermediaries:
Nikhil Kamath outlined the fund’s objective of creating a bridge between Bengaluru and Mumbai, leveraging technology to eliminate intermediaries for distribution. This, he believes, will lead to more efficient companies. The fund serves as a facilitator for this vision.
Long-Term Vision Amidst Funding Winter:
Commenting on the funding winter in the startup ecosystem, Kamath acknowledged the past industry bubble but emphasised a long-term commitment to the India story. He noted the unique position of being long-term partners rather than short-term players, distinguishing their approach from foreign venture capitalists.
Embracing Technology and Unravelling Tech Trends:
Subramaniam shared their focus on backing businesses centred around technology. As technology continues to unfold and internet penetration expands, the fund aims to support meaningful businesses and visionary founders capable of building strong brands.
The Gruhas Collective Consumer Fund emerges as a strategic collaboration poised to make a significant impact on the Indian consumer brand landscape. With a diverse portfolio and a commitment to long-term partnerships, this alliance aims to navigate the evolving startup ecosystem, fostering innovation and growth.
