The reluctance of venture capitalists (VCs) to fund non-tech businesses and consumer-focused products is largely related to “pace of scale”—it takes a very long time, often decades, for a non-tech consumer business to create a brand and become a market leader, says Deepak I. Shahdadpuri, founder and managing director of Singapore-based investment firm DSG Consumer Partners Asia Pte Ltd.
Shahdadpuri’s firm, which recently hit the final close of $40 million for its second vehicle, is among the first funds to focus exclusively on the consumer space in India, having put capital in companies such as specialty food ingredients maker Veeba Foods, Greek yogurt maker Epigamia, and tea chain Chai Point.
