Good Capital Closes Fund 2.0 with Focus on AI Startups | Entrepreneur

Good Capital, an early-stage venture capital (VC) firm, has announced the close of its second fund at USD 30 million (approximately INR 260 crore).

According to the firm, its new fund, launched in 2023, with a target corpus of USD 35 million, has secured fund commitments mainly from family offices across Asia and Europe. With the fund closing, Good Capital said that it aims to double down on its strategy of supporting new-age, technology-first startups, with a particular focus on artificial intelligence-driven companies.

Startups backed through Fund 2.0 include Rio, which allows access to healthcare with instant pharmacy delivery via WhatsApp; MyGenie, which automates fit-out execution with AI; Xhipment, a digital freight forwarding platform simplifying global trade for exporters; Xneeti, which helps Indian sellers scale internationally with tech-first export tools; and Nuuk, a homegrown consumer appliances brand known for minimalist, eco-conscious design. The firm has also previously backed companies such as Meesho, Orange Health, and LEAD School.

Arjun Malhotra, General Partner at Good Capital, said that the 'Fund 2.0' the firm doubled down on high-conviction founders solving hard, real-world problems with clarity, intent, and deep insight into user behavior.

"This phase has reinforced our belief that India's next wave of breakout companies will emerge at the intersection of AI, infrastructure, and global ambition. As we look ahead, we remain focused on helping our portfolio scale thoughtfully and continuing to back builders who are pushing the boundaries of what's possible - especially in long-tail industries where technology is still vastly under-leveraged," said Malhotra.

Good Capital earlier launched its maiden USD 15 million fund in 2019 but ultimately deployed around USD 44 million, including LP co-investments across 30 startups.

According to the firm, the key focus area in Fund 2.0 has been AI with real-world applications. From optimizing last-mile delivery and construction timelines to streamlining communication workflows, Good Capital has seen early success with startups building verticalized, workflow-specific AI solutions. Another strong trend is enabling India's next generation of manufacturers and exporters to build global-first businesses using modern infrastructure and automation.