Pluto in Aquarius
Venture Studio
Venture Studio
Pluto in Aquarius LLC is Nevada's first Venture Studio, a business model that combines innovative ideas, capital, expertise and hands-on execution to de-risk venture creation while increasing investor returns through a HAI-brid combination of Human and Artificial Intelligence. Human intelligence ensures quality and Artificial intelligence helps achieve quantity and impact through scale.
Pluto's shift to Aquarius November 19, 2024 sparks a 19-year phase of radical change, setting the stage for disruptive breakthroughs and societal evolution, especially through tech and futuristic innovation. This astrological influence prompts a focus on collaboration, community-building, and global impact. Our ventures will begin in the United States with an eye towards rapid north-south, Europe and India expansion.
We have a diverse and robust list of industry pain points worth solving, but if you have identified a major pain point in your industry, you can share the problem with us and we'll perform due diligence on it. If this results in a new venture being created, then Founder's equity will be shared with you.
72% of startups founded in Venture Studios reach Series A, in contrast to only 42% of non-studio-founded companies. 35% of Venture Studio startups reach a successful exit via acquisition or IPO, and because Venture Studios hold higher equity stakes in new ventures, exits often generate 50-100x returns.
Contact james@piavs.com to participate in our era’s innovative and forward-thinking energy, disruptive breakthroughs, revolutionary ideas, and fundamental reshaping of business for society.
Notes from Venture Studios Demystified, Kannan and Peterman, 2022
A venture studio is an entity that founds startups; providing the initial capital and resources for developing ideas, testing and building products. Studios design and develop their own ventures, and also assemble the founding team.
Studios are a fully-equipped team of builders and therefore much more hands-on than other sources of startup support, like accelerators and incubators. Some studios integrate Entrepreneurs-in-Residence for industry expertise, when needed.
Studios operate as founders of their companies and develop a repeatable venture-building process to enable them to launch company after company and leverage design thinking principles of rapid prototyping and iteration. Key steps: brainstorm and early idea development; customer validation (user research, testing click-through rate from social media marketing); building and testing early prototypes. Studios limit spending to $50-100K before the first “go-ahead.”
Studios take a founding equity stake in their launched companies in exchange for their efforts. Studios “foot the bill” by funding venture ideas and, thereby, open up entrepreneurship experience to individuals who may be financially constrained.
Studios are particularly effective in less established ecosystems because they actively create solutions to real problems, rather than passively wait for something worth investing in.
Incubators and accelerators play the volume game by taking a small ownership stake in many ventures. Studios opt for quality over quantity and generate returns through significant ownership in created ventures.
By controlling the initial company vision, product and leadership selection, studios can significantly de-risk the venture and increase the likelihood that companies receive external funding and achieve target returns. 72% of startups founded in studios reach Series A, in contrast to only 42% of non-studio-founded companies. 30-35% of studio startups reach a successful exit via acquisition or IPO.
Venture success allows studios to raise funds efficiently and often leads to creating their own Fund for operational costs and preventing dilution in later funding rounds. Because studios hold higher equity stakes in new ventures, exits of only $50-100M may still generate 50-100x returns. With 1-2 venture successes, studios often raise a Fund of $10-20M or up to $50M.
Process KPIs: 30-100 top-level ideas for one company launch; 6-11 months to Seed and additional 12 months to Series A versus 36 months for a traditional startup; most studios launch <4 ideas per year. Many studios find SaaS to be the best specialization to start due to high business model scalability, low upfront capital requirements and venture process repeatability. Creating business that serve niche needs can also be a key to success.
Venture Studios are a new and attractive asset class for HNWI and it is expected that demand for exposure from LPs will outpace studio creation and make fundraising feasible for studio founders.