EARLY STAGE INCUBATION AND ACCELERATION

Studio

Our venture funds are ready to support the emergence of new innovative consumer companies. We offer support for seed and early-stage follow-on investments, both from our own studio and from external seed and series A investment opportunities. In order to provide primary fund, co-investment and syndication opportunities, Chapter7 collaborates with a diverse global network of investors. If you are interested in learning more, please feel free to contact us at investors@chapter7.com.




How It Works?

Our Venture Studio works by identifying promising business ideas and then assembling the right team to bring those ideas to life. We provide our portfolio companies with access to resources and expertise in areas like product development, design, marketing, and fundraising. We also invest our own capital in each portfolio company, aligning our incentives with those of the founders.

What are the benefits?

Partnering with our Venture Studio provides several benefits, including:

  • Access to a team of experienced entrepreneurs and experts in various domains
  • A collaborative environment that encourages innovation and creativity
  • Capital investment and access to additional funding
  • Support with product development, design, marketing, and fundraising
  • Reduced time to market and increased chances of success
  • Who do we work with?
  • We work with passionate founders who have a vision for a disruptive business idea.
We focus on businesses that are innovative and have the potential to create significant value for customers and society. We work across industries and verticals, but we are particularly interested in areas like healthcare, education, and sustainability. What sets us apart?

Our Venture Studio is built on a foundation of experience, expertise, and collaboration. We are entrepreneurs who have been in your shoes and understand the challenges of building a successful startup. We combine our entrepreneurial experience with the expertise of our team to help founders turn their ideas into reality. We also believe in the power of collaboration and work closely with our portfolio companies to ensure their success. Contact us today to learn more about how our Venture Studio can help you turn your business idea into a reality.

BUSINESS CONCEPT

The venture studio business model is a type of startup model in which a company (the venture studio) creates and develops its own startup companies in-house, rather than investing in existing startups. The operational framework of a venture studio involves several key elements:

  • Idea generation: The venture studio identifies potential business opportunities and generates new business ideas that align with its mission and expertise.
  • Team formation: Once a promising idea is identified, the venture studio assembles a team of entrepreneurs and experts with the skills and experience necessary to execute the idea.
  • Minimum viable product: creation of a prototype for understanding the market fit and the complexity of the business development.
  • Market fit: the product is tested on the market for a evaluation of the customer’s profile and the market dimension.
  • Pre-seed funding: The venture studio provides initial seed funding to the startup, typically in exchange for equity.
  • Incubation and acceleration: The venture studio provides resources, mentorship, and support to help the startup grow and scale.
  • Spin-out: When the startup reaches a certain level of maturity and success, the venture studio may spin it out as a standalone company or sell it to another company.
  • Repeat: The venture studio then repeats the process, identifying and developing new business ideas and startups.

The key advantage of the venture studio model is that it allows the studio to leverage its expertise, resources, and network to create and develop multiple startups simultaneously, with a higher success rate than traditional startup models. Additionally, the model provides a more efficient use of resources, as the venture studio can share resources and expertise across multiple startups.

BUSINESS MODEL

Monetization in the venture studio business model can occur in a few different ways, depending on the specific studio and its goals. Here are some common monetization strategies:

  • Equity ownership: The venture studio typically owns a significant equity stake in each startup it creates. If the startup becomes successful and is acquired or goes public, the venture studio can earn a significant return on its investment.
  • Revenue sharing: Some venture studios may structure their relationships with startups to include revenue sharing arrangements. This could involve a percentage of the startup's revenue being shared with the studio over a certain period.
  • Licensing or royalties: If a startup creates a new product or technology that can be licensed to other companies, the venture studio may earn royalties on any licensing fees or sales.
  • Sale of assets: If a startup fails or is not able to grow to a point where it can be spun out as a standalone company, the venture studio may sell off its assets, such as intellectual property or technology, to another company for a profit.
  • Service fees: Some venture studios may offer additional services to the startups they create, such as marketing, legal, or accounting services. These services could be offered for a fee, generating revenue for the venture studio.

Overall, the monetization strategy of a venture studio will depend on a variety of factors, including the goals of the studio, the industry it operates in, and the specific startups it creates.