economy
'It's harder than ever to raise a fund.' Here's one emerging manager's advice.
Emerging fund manager Nisha Dua has weathered a fundraising winter. Now she's sharing the lessons she learned with other investors.
TL;DR
- The venture capital landscape is experiencing a funding bonanza, but this benefits a select few startups and established venture firms, making it harder for emerging managers to raise funds.
- Data shows a significant increase in capital flowing to experienced firms, capturing 91% of funds raised in Q1 2026, up from 74% in 2025.
- The market shifted significantly by the end of 2022, with reduced capital availability and increased caution from limited partners following a tech stock sell-off and a closed IPO window.
- Emerging managers who launched during easier times now face a more unforgiving market, requiring them to articulate a strong thesis, a clear worldview, and differentiated access to founders.
- Nisha Dua and Susan Lyne successfully closed BBG Ventures' fourth fund at $60 million by highlighting their track record, their firm's thesis focused on founders with firsthand problem understanding, and their access to a network of experienced professionals.