Campus Fund launches $100 million fund to invest in student, college dropout-led startups

Campus Fund, which claims to be the only SEBI-registered Category II alternative investment fund for startups led by students and recent college dropouts, has launched its third and largest fund, with a target corpus of $100 million. The firm said that the fund has achieved its first close, securing over 50% of the corpus, and has begun deploying capital.

Founded by Richa Bajpai, a serial entrepreneur and co-founder of impact tech firm Goodera, Campus Fund was conceived during her MBA at London Business School in 2020. What began as a thesis project has since evolved into an institutional venture platform aimed at democratizing startup capital and fostering entrepreneurial ambition at India’s grassroots.

“With Fund III, we double down on our conviction that student founders aren’t just dreamers — they’re doers,” said Bajpai. “The next unicorn might emerge from a dorm room in Bhopal or a garage in Surat.”

From classrooms to cap tables

Campus Fund’s investment thesis is unique in India’s venture landscape. It targets founders who are still in university, have dropped out, or have graduated within the last three years. In an ecosystem often dominated by experienced founders from elite institutions, Campus Fund makes a contrarian bet — that India’s next generation of founders may be unpolished but are relentlessly inventive.

Fund III plans to invest in 60 to 80 startups over four years, with initial investments ranging between Rs 1 crore and Rs 8 crore. Half the fund is reserved for follow-on rounds. The fund is already active, having made two early-stage bets, including one in Serendipity Space — a startup developing pharmaceutical processing capabilities in microgravity.

The fund receives over 7,000 startup applications annually, which are sourced and vetted through a pan-India network of more than 100 student scouts.

An expanding portfolio

Campus Fund’s earlier investments include Expand My Business (a B2B digital services marketplace), Digantara (space situational awareness), EtherealX (reusable rockets), Sarla (flying taxis), Sama (online dispute resolution), and GreenGrahi (insect protein). Some of these startups have gone on to raise capital from marquee global investors such as Accel, Peak XV Partners, a16z, DST Global, and Alpha Wave. Notably, the firm has begun returning capital to investors from its earlier funds.

Campus Fund’s Limited Partners include a diverse mix of family offices, successful entrepreneurs, industrialists, and financial institutions. Notable backers in Fund III include 360 One (formerly IIFL Wealth), Kanwaljit Singh of Fireside Ventures, Bharat Shah of HDFC Securities, former Kotak CFO Jaimin Bhatt, Asha Jadeja Motwani — one of Google’s earliest investors — and Sameen Farooqui of Deutsche Bank.

“This is a full-circle moment,” said Bajpai, who launched her own startup from a college dorm in 2009. “To now back students chasing bold ideas — that’s the most meaningful chapter of my career.”

As higher education decentralizes and startup infrastructure reaches Tier 2 and Tier 3 cities, Campus Fund sees a generational opportunity. “Backing student founders is no longer just a visionary bet,” Bajpai said. “It’s one of the smartest investments of this decade.”