The term “Venture Builder” may be familiar to you if you are a high-potential founder trying to launch a brand-new technology company from scratch, or if you are a more established business hoping to grow.

There’s little doubt that the Venture Builder model is gaining traction as a viable business strategy, and that the products and services provided by these companies are truly creative.

The Venture Builder combines the (financial) focus of traditional venture capitalists on execution and product-market fit with the added value of design, development, and commercialization support. The venture builder invests in early original ideas and converts them into a practical product with scaling potential with the assistance of high-potential entrepreneurs, an existing firm, or, in the case of Startup Studios, a CEO/MD hire.

Venture builders assemble startups. After establishing multiple ideas, they invest, generate finance, and build startups into full-fledged corporations for profit. Venture builders receive firm shares for human and financial capital. They hope to profit from a company’s operations or by selling their startup shares.

Venture builders help a company in its early stages of development (before MVP). They typically provide the following functions:

• boosting a company financially,
• technically, and personnel,
• improving operations,
• attracting external investors, &
• selling to large corporations.

Startup factory, venture builder, and startup studio are the three most commonly used terms. However, terminology like accelerator, venture capital fund, and business incubator denote entirely distinct types of companies. Here are the main distinctions.

• Incubators assist entrepreneurs in laying a solid platform for future growth. Their responsibilities include mentorship, technical support, customer acquisition, market marketing, and so on.
• Accelerators typically invest in nearly-completed products. They assist teams in growing quickly enough to secure a large investment.
• Typically, venture capital funds seek ready-made projects with sales and potential. To avoid mistakes in selecting investment assets (i.e. startups to finance), they frequently go through a lengthy due diligence procedure.

A venture builder does more than just help businesses; it also generates them. Venture builders assume complete ownership of their enterprises, from concept to sale and/or profit.