<article>Indonesia-based venture capital firm Venturra Capital has spun off a smaller fund to invest in startups at pre-seed and seed stages, three industry executives aware of the development told this portal.</article>

Indonesia-based venture capital firm Venturra Capital has spun off a smaller fund to invest in startups at pre-seed and seed stages, three industry executives aware of the development told this portal.
Venturra Seed, the offshoot, is close to sealing its first investment, two executives said. The smaller fund is likely to have a corpus of less than $10 million and will allow Venturra Capital to hone in on Series A and B investments.
Venturra Capital had not responded to queries on its seed fund from DEALSTREETASIA at the time of publishing.
The industry has been abuzz with rumours over the last few months about an impending structure change at Venturra Capital. Founded by former Rocket Internet Southeast Asia MD Stefan Jung, former Google Indonesia country manager Rudy Ramaway and Lippo Group executive director John Riady, the VC firm focuses on e-commerce, financial technology, marketplaces, healthcare and education investments.
Venturra&#8217;s portfolio companies include Carro, iPrice Group, Sociolla, Zilingo and Kaodim. The Lippo Group is the firm&#8217;s largest LP.
While it has traditionally been a challenge to raise Series B funding and upwards in Southeast Asia, a new fund creep is starting to emerge at seed stage as well. With a huge growth in the region&#8217;s number of startups, the threshold required to attract traditional seed funding has been rising.
&#8220;To start with, there are so many deals. How is an investor supposed to meet all of them? And then there is hardly much to differentiate one team/competitor from another at this early a stage. Plus you have to put so much time in selecting and working with an early stage deal, all because you put in a few hundred thousand dollars. All this while very few investments really move the needle,&#8221; explained Nikhil Kapur, principal, GREE Ventures in a <a href="https://grayscale.vc/sea-is-facing-a-new-problem-fund-creep-5bf541a96f08">Medium post</a>.
It also helps that the progression to bigger funding rounds translates into raising bigger vehicles and being able to charge a higher management fee. &#8220;Moving up from Seed to Series A or from Series A to Series B means you can justify to the LPs that this time around you want to raise a much bigger fund. 5x the size of the last one, or maybe more. This means you now suddenly make 5x the management fee,&#8221; wrote Kapur.
Other prominent VC firms in Southeast Asia investing at the seed stage are Seed Plus, GREE Ventures, Cocoon Capital and KK Fund.

Indonesia-based venture capital firm Venturra Capital has spun off a smaller fund to invest in startups at pre-seed and seed stages.

Indonesia's Venturra Capital said to have launched offshoot for seed, pre-seed deals

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Indonesia's Venturra Capital said to have launched offshoot for seed, pre-seed deals

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