With the rise of entrepreneurs and the growth of startups in the past few years, we believe there are critical sectors, rooted in technology, that will fuel the next level of disruption in the coming decade. YourNest Innovative Products Fund-III will primarily seek to invest in enterprise-oriented, innovative, IP-led, tech-product startups. Its mission is to select products that are built around emerging technologies and have applications at scale. These product companies could be in sectors including Mobile Internet, Cloud Technology, Automation of Knowledge Work, Low-code or No-code Platforms, AI-based Cybersecurity, IOT, Edge Computing, Digital Twinning, Autonomous Technologies, Robotics, Electronic System Design & Manufacturing (ESDM). The focus of the Fund will be to invest in unlisted companies. The investment may start at an early seed stage and continue investing in promising companies at various stages of their growth. One or more rounds are likely to be made with co-investment from other investor(s) who may be an individual or an institution or an AIF or international investor such that the risk and reward of the portfolio company’s success is shared.

The current portfolio of start-ups across the YourNest Fund can be found here

The Fund has a sharp focus on identifying and investing in asset light, non-linear business models meeting one or more of the following selection criteria:

• Synergistic and entrepreneurial founder teams.
• Product ideas that serve a significantly large addressable market.
• Enterprise-oriented, innovative, IP-led, tech-product startups.
• Products built around emerging technologies with applications at scale.
• Software and technology innovations and product development.
• Innovation in the business model.
• Invest primarily-post customer validation ~ reap rewards of the inflexion point.

Follow a rigorous approach ~ multi-parametric, multi-tiered evaluation model for shortlisting investment opportunities.

The Fund will be a long-term, early stage (i.e. Seed, Angel, Pre-series A, Series A, and Follow-on rounds) venture fund that invests in securities issued by early stage ventures including startups, having substantial presence in India.

The Fund shall attempt to:

• Offer a balanced long-term risk adjusted capital appreciation by investing in a diversified portfolio of securities issued by fast growing early stage ventures.
• Leverage the Investment Managers’ and their advisors’ collective experience, their investing as well as operational skill sets including coaching, mentoring and access to networks etc.
• Invest preferably in the portfolio companies that fall under the purview of Micro, Small & Medium Enterprises (MSME) and/or within the startups qualifying as per the gazette notification by Department of Industrial Policy & Promotion (DIPP), Government of India.

YourNest is a sharply focused early-stage DeepTech VC fund from India. The first fund established in 2012, raised US$ 14 mn and has several companies in the portfolio that have had multiple up-rounds and are on their way to a 4X+ return. Having completely invested its first two funds, YourNest is currently raising its third fund of US$ 69 mn to invest in Indian start-ups with a focus on DeepTech domains like AI, IoT, Robotics, AR/VR/MR, Dev. Tools, Edge Cloud and other Digital products.

The YourNest team combines what may well be India’s widest access to prospective investees along with a rigorously prudent selection process that enables us to stay true to our investment thesis of nurturing high-potential entrepreneurs. In addition, we give our investors transparent access and exposure to high-growth, under-the-radar tech start-ups in India.

In a country where entrepreneurship is encouraged but comes with its own challenges, the Indian DeepTech eco-system is rapidly evolving.

As local Fund Managers, the YourNest team of experienced partners operates as unified enablers who have become adept at spotting emerging enterprises, nurturing and guiding them up the ladder of success. With a leadership coach as a founding partner, other partners bring complementary skillsets that including M&A, Financial Governance & Restructuring, Executive Development, Deal Flow Management, Building Intellectual Property and Global Scale. Brand building, Marketing and HR Practices are other competencies which have been added via the Venture Partners and Entrepreneur-in-Residence and are available to the portfolio companies.