Aviral Bhatnagar’s A Junior VC (AJVC) has raised its first Rs 100 crore fund to invest in early-stage startups in India. Bhatnagar, who earlier worked at Venture Highway, started AJVC after his former firm was acquired by General Catalyst in 2024.
The fund will support 12-15 startups every year, focusing on AI, SaaS, and consumer tech. It is mainly backed by Indian investors, including family offices and tech founders. AJVC offers Rs 1.5 crore for a 9% stake in startups and has already invested in nine companies, including some in smaller cities like Assam and Jharkhand.
Who is A Junior VC (AJVC)?
A Junior VC (AJVC) started as a content platform analyzing startups and venture capital trends in India. Over time, it evolved into a MicroVC firm, recently raising a Rs 100 crore fund to invest in pre-seed startups across sectors like AI, SaaS, and consumer tech.
Founded by Aviral Bhatnagar, AJVC focuses on early-stage investments, offering Rs 1.5 crore for a 9% stake in startups. The fund is backed mainly by Indian family offices, tech founders, and investment executives. With a long-term vision and patient investing approach, AJVC aims to bridge India’s early-stage funding gap and support innovation beyond metro cities.
Why is This Funding Significant?
This funding targets the pre-seed stage, which remains largely untapped in India’s startup ecosystem. While later-stage funding is more common, early-stage startups often struggle to secure capital. AJVC’s Rs 100 crore fund helps bridge this gap, supporting 12-15 startups annually in emerging sectors like AI, SaaS, and consumer tech.
Additionally, the fund is mostly backed by domestic investors, showing a growing maturity of Indian capital in venture funding. The oversubscription of the fund also highlights strong investor confidence in India’s early-stage startup scene. This move strengthens India’s innovation pipeline and boosts entrepreneurship, especially in non-traditional startup hubs like Assam and Jharkhand.
How Will the Funds Be Used?
The funds will be used to invest in 12-15 pre-seed startups annually, focusing on emerging sectors like artificial intelligence (AI), software-as-a-service (SaaS), and consumer technology. AJVC follows a structured investment strategy, typically offering Rs 1.5 crore for a 9% equity stake in selected startups.
Additionally, the fund will support startups beyond just capital by providing mentorship, industry connections, and strategic guidance to help them scale. AJVC also plans gradual exits between Series B and Series C funding rounds, ensuring long-term support. Some investments will be directed towards non-traditional startup hubs like Assam and Jharkhand, helping expand India’s startup ecosystem beyond major cities.
Founders’ Perspective
The founder of A Junior VC (AJVC), Aviral Bhatnagar, sees this fund as a way to support early-stage startups in India, a segment he believes is still underfunded.
Key Takeaways
- Focus on Pre-Seed Funding – The fund targets early-stage startups, a segment that is still underfunded in India’s startup ecosystem.
- Investment Strategy – AJVC plans to invest in 12-15 startups annually, offering Rs 1.5 crore for a 9% equity stake.
- Sector Focus – Investments will be directed toward AI, SaaS, and consumer tech, aligning with India’s growing tech ecosystem.
- Domestic Capital Dominance – Majority of the fund comes from Indian family offices, tech founders, and investment executives, showing the maturity of Indian investors.
- Long-Term Vision – Bhatnagar emphasizes patient investing, stating, “We have a 10-year-plus fund… We won’t push companies.
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Conclusion
A Junior VC’s Rs 100 crore fund marks a significant step in strengthening India’s early-stage startup ecosystem. With a focus on AI, SaaS, and consumer tech, AJVC aims to support 12-15 startups annually, ensuring long-term growth rather than short-term gains. The fund’s strong backing from Indian investors reflects the growing confidence in domestic capital.
Looking ahead, AJVC plans to expand its portfolio, support startups beyond metro cities, and take a patient approach to exits. As India’s startup landscape evolves, AJVC’s strategy of sustainable investing and sector-agnostic funding positions it as a key player in fostering innovation and entrepreneurship.
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