1Mby1M Virtual Accelerator AI Investor Forum: Vinit Bhansali, Takshil Venture Partners (Part 2)

Sramana Mitra: Let’s do a few case studies of what you have invested in. As you’re describing those stories, tell us a bit about how you found these companies or how they found you, and what did you see in those companies that made you want to write those checks?

Vinit Bhansali: Sure. I’ve had a much longer career as a VC, not just at Takshil. Before this, I was Head of Investments at another fund for six years. So, Takshil is also me coming back to being an entrepreneur and starting something. I’ll tell you about the full range of investments, because Takshil is a new fund.

At Takshil, we’ve made our first investment in a company that generates lab-grown diamond jewelry. They have a chain of retail stores, but unlike an average retailer, they are incredibly tech-enabled. They have very few pieces in the store, and a huge chunk of their catalog is AI-generated. Once users select one or two pieces they want to see, the catalog automatically shows them dozens of other pieces that aren’t necessarily in the store but are available to try on virtually.

This is the most recent company we’ve invested in.

Prior to this, I invested in a company that helps farmers generate carbon credits by adopting green agricultural practices. Farmers in India, on average, use fewer chemicals than those in developed countries. However, over the years, some have adopted less sustainable habits, such as using synthetic pesticides and fertilizers. This company trains farmers to return to more traditional, eco-friendly methods, certifies their practices, and enables them to generate carbon credits.

The farmers keep 80% of the value of the credits, and the company earns 20%. The training is free for farmers, and the company only makes money if the credits are sold.

Sramana Mitra: So that’s one side of the carbon credit marketplace—where the farmers are furnishing the credits. How does the company find the buyers? Does it operate as an exchange?

Vinit Bhansali: Today, there are quite a few marketplaces for carbon credits. The company lists on those marketplaces and makes the credits available for purchase. These marketplaces are fairly well-established, and they have a choice of where to list.

Sramana Mitra: The diamond company doesn’t fit in the thesis you described earlier.

Vinit Bhansali: I agree. We do have a wide-ranging thesis. We’re interested in tech-enabled companies. We’ve made other investments in such companies as well. We’re not a vertical fund—only focused on climate tech or SaaS. In India, as a fund, you have to be a little generalized.

The number one factor that helps us decide whether to invest is the quality of the team. Sometimes, you find an incredible team that’s not necessarily working in your preferred sector, but you still want to back them.

When I say “incredible team,” many founders feel that investors only want people from top colleges with impressive academic backgrounds. That’s not something I believe in. I didn’t come from the IITs or Ivy League, so I find it easier to recognize founders based on merit, not pedigree. What’s most important is having an incredible insight about your target customer. That helps us identify the right kind of teams.

Sramana Mitra: I completely resonate with that. 1Mby1M’s philosophy is about democratizing entrepreneurship education, incubation, and acceleration. We’ve been open to all kinds of entrepreneurs and have enabled founders from diverse backgrounds.

While high-flying backgrounds often generate strong entrepreneurs with access to resources and networks, those without such advantages often have higher hunger levels. They’re willing to do the hard work others may not, and we’ve tried to support them extensively. I’m happy to hear that you share that philosophy.

Now, talk a little bit more about these two specific investments. What was the situation when they came to you? What did they have? What did you see that made you want to work with them?

Vinit Bhansali: I only picked these two investments because they were the most recent. There have been others.

Both of these startup teams actually came to us. They reached out on LinkedIn or were referred by someone we knew. Most founders reach out to me on LinkedIn. I post frequently there, often sharing stories from my own days as a founder. That resonates well with younger founders. I’ve spent over 16 years being a founder myself.

What resonated with me about these companies? For the lab-grown diamond retailer, you rightly asked, “How is that a tech-enabled business?”

Two things helped us get past that question. First, the founders didn’t come from a jewelry background. They were looking at the industry from a first-principles perspective. They asked: What will it take for diamond jewelry to be more widely purchased by the average Indian?

Diamonds are expensive, but lab-grown diamonds make them more affordable. Even then, the retail experience still keeps prices high because of inventory and store costs. These founders used technology to ensure very low per-store inventory, which meant low operating costs and CapEx. This allowed them to maintain lower price points while still showcasing high-quality samples.

So, the model is fully tech-enabled. That created real value.

Sramana Mitra: So, are they still creating stores and building the experience around physical stores?

Vinit Bhansali: There is still a physical store component, but around 40% of their sales are purely online.

This segment is part 2 in the series : 1Mby1M Virtual Accelerator AI Investor Forum: Vinit Bhansali, Takshil Venture Partners
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