Good Capital: Empowering Founders to Tackle India's Unique Challenges with AI Since its inception, Good Capital has invested in over 25 startups across three funds, including sectors like commerce, fintech, healthcare, and logistics.
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As an early-stage investor at Good Capital, Arjun Malhotra's journey has been about backing outlier founders and solving for India's unique challenges.
"In a market where copying Silicon Valley playbooks doesn't work, we look for founders with a deep understanding of the problem and the tenacity to find contextual solutions. It's been fulfilling to see our portfolio companies scale while driving real impact," says Arjun Malhotra, General Partner at Good Capital.
Founded in 2019, Good Capital's investment thesis centers on enabling intermediary-led business models with AI-powered solutions.
Malhotra emphasises that in India's low-trust, high-touch economy, consumers often prefer human interaction. "We back startups that empower millions of intermediaries—traders, agents, and micro-entrepreneurs—by equipping them with AI tools to deliver high-quality, low-cost products and services at the last mile," he adds.
This approach allows intermediaries to build trust and relationships with end-users while AI handles complex tasks.
Since its inception, Good Capital has invested in over 25 startups across three funds, including sectors like commerce, fintech, healthcare, and logistics.
"We typically lead seed rounds and are comfortable being the first institutional capital in. Our check sizes range from USD 500K to USD 1.5 million," says Malhotra.
Post-investment, the Delhi-based firm claims to provide active support to the founders in areas like product development, go-to-market strategies, hiring, and future fundraising, aiming to be a trusted long-term partner.
Looking ahead to FY 2024–25, Good Capital remains optimistic about seed-stage investing despite a slowdown in later-stage funding.
Malhotra highlights, "We're seeing more and more companies using AI to augment their core offerings." Overall, we plan to double down on our core thesis and invest in 20–25 new startups over the next 3–4 years, while reserving some capital for high-performing portfolio companies."
Good Capital has achieved notable exits, including the acquisition of Simsim by Google and Definitive by Groq.
Facts:
- Portfolio size: 25
- Average Ticket Size: USD 500K to USD 1.5 Mn
- Total Exits: Around 3 to 5
