So, how can 90% of startups succeed? – Venture Studio is right there with the key success models.

The way the venture builder does things will be utilized in the foreseeable future. The idea of a successful venture studio is similar to that of a successful kitchen in that all of the important parts are in one place and the best chefs are trained and given chances to work in an environment that helps them reach their full potential.

A venture studio provides- core employees, a success roadmap, and initial funding to new businesses.

Unlike venture capital firms, venture studios actively run and shape the new company. After generating revenue, a startup can approach investors for funding. Employees of the venture studio can either stay with the portfolio company or help launch a new one.

A venture studio isn’t a typical startup accelerator. Y Combinator, Techstars, and 500 Startups are successful accelerators. Accelerators provide a 12-week training programme and $25,000 to $125,000 in exchange for equity. The programme provides guidance to ensure success. The accelerator hosts a Demo Day for potential investors to learn about the final class and invest.

Most accelerator programmes invest small amounts in many startups, betting on their failure. A venture studio devotes more manpower to startup-friendly openings. Venture studios don’t accept applications for new portfolio companies because their value to investors lies in their strategic insight and ability to select opportunities.

The first venture studios arose in the late 2000s when a group of experienced tech entrepreneurs with successful exits decided to launch multiple new startups at the same time. Many would-be entrepreneurs estimate that it will take at least ten years to build a successful business from the ground up. Many business owners prefer to start from scratch rather than grow an already successful company because the process of developing and testing a new business model and establishing a new organization is more exciting to them.

In times of great volatility, these pioneering businesspeople are the exception. Entrepreneurs frequently become weary after developing the business model and scalable systems that will allow their company to grow. Many of them have started multiple businesses throughout their careers. Instead of focusing all of their resources on a single project, they sought a way to use their startup experience to explore a variety of potential new markets.

The venture studio model is the new frontier for scaling startups.