VentureSoul Partners has announced that it has reached the base fund target of ₹300 crore for its debut investment vehicle. The achievement marks a key milestone for the SEBI-registered Category II Alternative Investment Fund, which focuses on offering structured credit solutions to new-age companies. Following this progress, the firm has activated the green shoe option, opening the door for additional capital inflows in the coming months.

The fund has stated that the expanded window will allow it to explore new growth and structured financing opportunities across sectors shaping India’s new economy. This direction aligns with the company’s broader goal of contributing to the national vision of Viksit Bharat. VentureSoul Partners has highlighted the continuous rise in demand for alternative credit structures as businesses seek flexible instruments beyond traditional lending.

In its communication, the firm said the green shoe option will remain open until February 2026, which is the target timeline for the fund’s final close. With fresh interest from domestic family offices, high net-worth individuals and institutional investors, VentureSoul expects sustained participation during this extended subscription period.

Investment Activity Rises

Since the beginning of October 2024, VentureSoul Partners has completed 15 investments across a diverse set of high-growth companies. These investments span multiple segments of the expanding new-age economy, indicating a strong pipeline and steady deployment momentum for the fund. The firm emphasises that the early traction demonstrates the market’s growing appetite for structured finance solutions, especially among companies seeking capital at the Series A stage or beyond.

VentureSoul Partners positions its debut fund as a platform designed to fill an essential gap in the venture ecosystem. While equity funding remains a dominant capital source for startups, structured credit is being increasingly preferred for its lower dilution and faster access. The firm’s framework focuses on supporting businesses with sustainable revenue models and long-term expansion plans.

The company notes that its structured instruments are crafted to offer flexibility while balancing risk and return for investors. This approach is being presented as a differentiated model within the wider AIF landscape, which has seen rising activity across India’s maturing venture-financing ecosystem.

Founders and Focus Areas

The fund was established in 2023 by former banking professionals Anurag Tripathi, Ashish Gala and Kunal Wadhwa. Based in Mumbai, the team brings experience in credit underwriting, corporate finance and alternative investments. Their collective background has shaped VentureSoul’s focus on sectors such as fintech, B2C, B2B and SaaS—areas that continue to attract investor interest due to their scalable business models and accelerating digital adoption.

According to the firm, the debut fund aims to support companies that have already demonstrated market traction. By offering venture debt and structured credit, VentureSoul intends to create financing opportunities for startups that are looking to fuel growth without diluting ownership. The company has positioned itself as a long-term partner for founders navigating capital-intensive phases of expansion.

The activation of the green shoe option also reflects the team’s confidence in expanding the fund size while maintaining disciplined deployment. The firm believes that the ongoing momentum across India’s innovation ecosystem will enable it to identify quality opportunities through 2026.

Startup Funding

The announcement comes at a time when India’s startup funding environment is witnessing a gradual revival. With investors increasingly evaluating sustainable business models, structured credit instruments are gaining attention as companies seek capital without relying entirely on equity rounds. VentureSoul’s progress contributes to this shifting landscape, where alternative financing is expected to play a larger role in the coming years.

As the fund continues its expansion, its performance will be watched closely by participants across India’s venture ecosystem. The upcoming subscription period under the green shoe option is likely to shape the final size of the fund, setting the stage for VentureSoul Partners’ long-term participation in the country’s emerging structured credit market.