A micro VC fund with a purpose

Founded in July 2020 by Yash Jain, Sparrow Capital aims to partner with entrepreneurs at the ideation stage and help them grow by infusing capital and knowledge.

Tuesday April 20, 2021 , 4 min Read

According to a survey, micro VC firms in India invested $341 million in 566 startups across 730 deals between 2018 and 2020. With the number of micro VC funds almost tripling between 2014 and 2020, their importance can't be stated enough.

One such micro VC fund is Bengaluru-based Sparrow Capital.

Founded in July 2020 by Yash Jain, Sparrow Capital aims to partner with entrepreneurs at the ideation stage and help them grow by infusing capital and knowledge. The firm invests up to $100,000 per company and has made nine investments so far, including GoKwik, Bimaplan, Qoohoo, and Mailmodo.

The VC fund focuses on segments like SaaS, fintech, and B2B. It typically invests in Pre-Seed to Pre-Series A stage with participation in deals sizes that range from $300,000 to $2 million.

"We may not write the largest cheques, but we will work very closely with you and also give you impactful advice," says Yash.

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News & Updates

The Indian government has decided to allow vaccination against COVID-19 for all those who are 18 years and above from May 1 to expand its drive to fight the pandemic. The decision was taken at a meeting chaired by PM Narendra Modi on Monday.

Paytm said it has expanded its ESOPs pool to $604 million from around $33.4 million last year as it added more equity options to the existing pool. It added 242,904 stock options to its existing pool, bringing the tally to around 2.4 million equity options.

FPIs have pulled out a net Rs 4,615 crore from Indian markets in April so far amid sharp escalation in COVID-19 cases and the consequent restrictions imposed by various states, unnerving overseas investors.

NBFCs have requested the Reserve Bank of India (RBI) to extend the one-time restructuring scheme of MSME advances till March 31, 2022, as these players are unable to revive their businesses. The time limit for implementation of the scheme was till December 31, 2020.

Union Minister Nitin Gadkari expressed confidence that lithium-ion batteries would be manufactured fully in the country in the next six months, and India will become number one EV-maker in the world in due course of time.