India's Micro VC Landscape: Who's Writing the First Cheque in 2026?

We have been tracking, covering, and working with micro VCs since 2022, and we published our first piece on the rise of micro VCs in India in early 2024. Back then, the category was finding its footing — a number of micro VCs had emerged, typically backing first-time founders. We had a count of just over 100 micro VCs at the time, the majority established in 2022 – 23, with average fund sizes of $10 – 12M and average cheque sizes of $200-$300K.

A lot has changed.

The numbers tell the story clearly. The IVCA counts over 250 active micro VC and early-stage funds in India as of early 2026. Tracxn puts the number at 228 — though definitions vary across sources, and their classification criteria aren’t publicly documented. What is clear across all counts: the category has grown significantly. Average fund sizes have also matured — from $10 – 12M in 2021 – 22 to closer to $25 – 30M today, as these managers raise larger second / third funds on the back of early proof points.

When we wrote our first piece, we flagged a genuine concern: ​“the proliferation of micro VCs is a concern — it remains uncertain how many will stand the test of time.” The answer is beginning to emerge. One one hand, some funds that didn’t manage to raise follow on capital have become inactive (we have removed them from our list). On the other hand, funds that built real conviction, real portfolio support, and real LP relationships are raising Fund IIs and Fund IIIs. Some of the funds that have graduated to their second or third fund include Neon Fund, All In Capital, GradCapital, Sauce​.VC, Foster Ventures, Z21 Ventures, TDV Partners, Better Capital, Titan Capital, Sparrow Capital, Whiteboard Capital, Warmup Ventures and many others. The category is maturing — and that is a good sign for founders.

We have personally connected with and validated approximately 200 sub-$100M funds — ~150 under $40M and ~50 in the $40 – 100M range — this list is the result of that work. It is not exhaustive, but it can be trusted. Every fund here has been spoken to, co-invested alongside, or independently verified by the Blume team.

How We Define the Two Tiers

For the purposes of this list, we’ve kept it simple:

• Micro VCs: funds with a corpus under $40M. They typically lead with $500K-$800K cheques and take an 8 – 12% stake. Lean teams, high conviction, have limited/​no reserves.
• $40 – 100M funds: larger firepower, but still firmly early-stage. They typically lead with $1-$1.5M cheques for a 12 – 15% stake, with more reserves to follow on.

For the purposes of this article, we have only included sub $100m funds that write pre-seed to pre-Series A cheques. No early funds above $100m, no late-stage funds, no growth vehicles, no corporate funds, no angel syndicates or networks. We have made select exceptions for a small number of family offices that have institutionalised their investment activity — operating with a dedicated investment team.

Its important to note — fund size alone is not a proxy for what a fund can actually do for founders. Our partner Arpit Agarwal puts it well: a fund with an $8M corpus has shown the gumption to write an $800K cheque in a single deal, while a $20M fund might write max $500 – 750K. This depends on the fund strategy declared at launch and the promises made to their LPs.

At the other end of our spectrum: a fund at $90M can write cheques of up to $1.5M and comfortably lead a $3 – 4M round — and keeps reserves to double down in follow-on rounds too.

The implication for founders: don’t anchor on AUM. Understand the cheque size range, whether they lead or follow, their value add, if they have reserves or not and how concentrated their conviction really is.

What We’re Seeing: The Shape of the Ecosystem in 2026

Looking at the landscape today versus when we published our first piece, a few structural shifts stand out.

The ecosystem has matured — and funds have found their lanes.

Some micro VCs continue to be sector-agnostic, just as Blume has always been. Funds like Titan Capital, Inuka VC, Sparrow Capital, Peer Capital, Whiteboard Capital, Better Capital, All In Capital, OTP Ventures, Sadev Ventures, Zeropearl VC, Gemba Capital, Arali Ventures, Silver Needle Ventures and others back founders across categories — and that breadth is a genuine strength. They’re not chasing a theme; they’re chasing the best founders, irrespective of sector.

We are also seeing global funds increasingly write early-stage cheques into Indian startups. Funds like Genesia Ventures, Enrission India Capital, Beyond Next Ventures, FEBE​.VC etc bring cross-border networks and GTM access alongside capital — a different kind of value for founders thinking globally from day one.

At the same time, a growing number of funds have built deep conviction in a specific category — campus founders, consumer and D2C brands, AI and SaaS, defence and deep tech. A few themes we have seen emerge:

Campus & College Funds - A category that barely existed a few years ago. GradCapital and Campus Fund are going after a population most VCs have loved: students and campus-based founders. The thesis — that world-class innovation emerges from colleges and IITs before founders have ​“credentials” — is increasingly being validated.

Consumer & D2C Funds - India’s consumer brand moment has produced its own dedicated investor class. Funds like Sauce​.VC, Untitled Ventures, Veltis Capital, D2C Insider, Rukam Capital, Multiply Ventures, Nueva Capital and others are among those specifically backing India’s next wave of consumer and D2C brand builders — investors who understand distribution, brand-building, and the nuances of Indian consumer behaviour.

SaaS, AI Funds - This is where the market has seen a lot of activity — and the most nuance. Funds like Foster Ventures, Neon Fund, Z21 Capital, Bold Capital, Grayscale​.vc, Axiom Partners, Z5 Capital, FortyTwo VC, Sense AI,Activate, Boundless and others are operating in the AI & SaaS space. Each fund has its own style of picking founders — Activate partners with founders before incorporation. Foster mostly backs seasoned operators and is largely thesis oriented. Others in the cohort may back founders once there is early product conviction. Know which style fits where you are in your journey before you walk in.

Defence & Deep Tech - An emerging category that would have seemed niche three years ago and now feels inevitable. Java Capital, Mounttech / Kavachh, SEAFund, 8X Ventures, Industrial47,BYT Capital, GoldenSparrow, Blue Hill etc are backing deep tech and defence with patient, specialised capital. Some like Pi Ventures,Capital 2B, Speciale Invest have graduated to become larger sector focussed funds.

Some SaaS and AI-focused funds are allocating a portion of their capital to deep tech too, recognising that the lines between software and hardware are blurring fast — especially in robotics, industrial AI, and defence-adjacent applications. Deep tech is no longer a separate lane.

The ‑1 to 0 Layer — Antler and South Park Commons back founders before a product exists — filling the gap between ​“idea in your head” and ​“first institutional round”. Antler plays both sides: a pre-formation community (Before Day Zero) and an active early-stage fund.

A Note for Founders: Where to Start

If you are a founder trying to figure out where to begin — this list is for you.

A few questions worth asking before you approach any fund:

What is their typical cheque size — and what’s the largest single cheque they’ve written? Fund AUM tells you very little. A fund writing 10% of its corpus into your round is a very different partner than one writing 1%.

Many micro VCs co-invest but don’t lead. If you need someone to set terms, anchor the round, and do the work of getting other investors comfortable, this matters. A $90M fund might comfortably lead a $3 – 4M round with a $1-$1.5m check; a $20M fund can lead with a $500k- $750K.

Understand the value each brings to your journey.

How many portfolio companies do they have — and how involved are they? Ask their portfolio founders what the relationship actually looks like post-cheque.

What happens when things go wrong? The test of a great early-stage investor isn’t the celebration at the Series A. It’s what they do when things aren’t going well.

Do they invest in your specific stage and sector? This sounds obvious — but a surprising number of founders pitch investors who are a clear mismatch. Use the sector tags to narrow your search before reaching out.

For a broader, searchable directory of all funds investing in India — filterable by stage, sector, and cheque size — you could also check Indi​an​VCs​.com, one of the recently launched resources in the ecosystem.

The List

Pls note:

This list covers sub-$100M funds that back Indian startups — whether founded in India, or by Indian founders building from other parts of the world. Some global funds with a dedicated India allocation are included too. We have not included corporate funds, angel syndicates/​networks, or family offices — with the exception of a small number of institutionalised family offices that operate with a dedicated investment team. All funds here write pre-seed to pre-Series A cheques. Funds above $100M — however early-stage, are not included on this list.

List published is alphabetical.

This is a list of our existing relationships, we’re collaboration-first and are always happy to engage with more individuals/​Orgs in the ecosystem :)

Access the full list here.

If we’ve missed a fund that belongs here, please reach out: email hidden; JavaScript is required or email hidden; JavaScript is required